2005 Texas Insurance Code CHAPTER 2001. GENERAL PROVISIONS: FIRE INSURANCE AND ALLIED LINES, INCLUDING RESIDENTIAL PROPERTY INSURANCE

INSURANCE CODE

SUBTITLE D. FIRE INSURANCE AND ALLIED LINES, INCLUDING RESIDENTIAL 
PROPERTY INSURANCE

CHAPTER 2001. GENERAL PROVISIONS:  FIRE INSURANCE AND ALLIED LINES, 
INCLUDING RESIDENTIAL PROPERTY INSURANCE


	§ 2001.001. APPLICABILITY OF SUBTITLE.  (a) Each 
insurance policy or contract insuring property in this state 
against loss by fire, including a policy or contract or portion of a 
policy or contract that insures the shore end of a marine risk 
against loss by fire, must be issued in accordance with:
		(1)  this chapter;                                                            
		(2)  Section 403.002;                                                         
		(3)  Subchapter C, Chapter 5 ;                                                
		(4)  Subchapter H, Chapter 544;                                               
		(5)  Subchapter D, Chapter 1806 ;  and                                        
		(6)  Chapters 252, 2002, 2003, 2004, 2005, 2006, and 
2171.                  
	(b)  An insurer issuing an insurance policy or contract 
described by Subsection (a), including a fire insurance company, 
marine insurance company, fire and marine insurance company, and 
fire and tornado insurance company, is governed by the laws 
described by Subsection (a).
	(c)  This section applies to an insurer or to an insurance 
policy or contract regardless of:
		(1)  the kind and character of property insured;                              
		(2)  whether the property is:                                                 
			(A)  fixed or movable;                                                       
			(B)  stationary or in transit;  or                                           
			(C)  consigned or billed for shipment inside or 
outside the boundaries of this state or to a foreign country;
		(3)  whether the insurer is organized:                                        
			(A)  under the laws of this state, another state, 
territory, or possession of the United States, or a foreign 
country;  or
			(B)  by authority of the federal government;  or                             
		(4)  the kind of insurer or the name of the insurer 
issuing the policy or contract.

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.002. RATES.  (a) Rates for all lines of insurance 
subject to a law described by Section 2001.001(a) are determined as 
provided by Chapter 2251 and Article 5.13-2. 
	(b)  The requirement imposed by Subsection (a) does not 
affect the requirement for the commissioner to conduct inspections 
of commercial property and prescribe a manual of rules and rating 
schedules for commercial property under a law described by Section 
2001.001(a).

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.003. AUTHORITY TO REQUIRE SWORN STATEMENTS.  For 
an insurer described by Section 2001.001, the department may 
require from the insurer or a director, officer, representative, or 
agent of the insurer a sworn statement covering any period that 
states:
		(1)  the rates and premiums collected for fire 
insurance on each class of risks and on all property in this state;
		(2)  the causes of fire, if known to the insurer or 
individual or if the insurer or individual possesses relevant 
information or data or can obtain the information or data at 
reasonable expense;  and
		(3)  all necessary facts and information to allow the 
department to determine enforcement and to enforce a law described 
by Section 2001.001(a). 

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.004. AUTHORITY TO INSPECT AND TAKE TESTIMONY 
REGARDING RECORDS.  (a) The commissioner or a person authorized by 
the commissioner may:
		(1)  visit:                                                                   
			(A)  a general, local, or other office of an 
insurer engaged in the business of insurance in this state;
			(B)  the insurer's home office located outside 
this state, if applicable;  and
			(C)  the office of any of the insurer's officers, 
directors, agents, or other representatives;  and
		(2)  require the insurer or an officer, director, 
agent, or other representative of the insurer to produce for 
inspection by the commissioner or the commissioner's authorized 
representative all of the books, records, and papers of the 
insurer, officer, director, agent, or representative.
	(b)  The commissioner or the commissioner's authorized 
representative may:   
		(1)  examine and make or have made copies of the books, 
records, and papers described by Subsection (a);  and
		(2)  take testimony under oath regarding the books, 
records, and papers and compel the attendance of witnesses for that 
purpose.

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.005. AUTHORITY TO REQUIRE PROVISION OF DATA.  The 
department may require:
		(1)  any or all of the fire insurance companies engaged 
in the business of insurance in this state to jointly or separately 
provide to the department any data the company or companies 
possess, including maps, tariffs, inspection reports, and any data 
affecting fire insurance risks in this state or any part of this 
state;  and
		(2)  any two or more of those companies or any joint 
agents or representatives of the companies to provide to the 
department for use in implementing a law described by Section 
2001.001(a) any data the companies, agents, or representatives 
possess.

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.006. REPORT OF INFORMATION RELATING TO CERTAIN 
FIRE LOSSES.  (a) The state fire marshal, a fire marshal of a 
political subdivision of this state, the chief of a fire department 
in this state, or a peace officer in this state may request an 
insurer investigating a fire loss of property in which damages or 
losses exceed $1,000 to release information in the insurer's 
possession relating to that loss.  The insurer shall release the 
requested information and cooperate with the official.  The 
requested information may include only:
		(1)  an insurance policy relevant to the fire loss 
under investigation and any application for a policy;
		(2)  policy premium payment records;                                          
		(3)  the history of the insured's previous claims for 
fire loss;  and       
		(4)  material relating to the investigation of the 
loss, including:         
			(A)  statements of any person;                                               
			(B)  proof of loss;  or                                                      
			(C)  other relevant evidence.                                                
	(b)  This section does not authorize a public official or 
agency to adopt or require any type of periodic report by an 
insurer.
	(c)  An insurer that has reason to suspect that a fire loss to 
the property of a person insured by the insurer was caused by 
incendiary means and that receives a request for information under 
Subsection (a) shall:
		(1)  notify the requesting official and provide the 
official with all relevant material acquired during the insurer's 
investigation of the fire loss;
		(2)  cooperate with and take any action requested of 
the insurer by a law enforcement agency;  and
		(3)  permit a person ordered by a court to inspect any 
of the insurer's records relating to the insurance policy and the 
loss.
	(d)  In the absence of fraud or malice, an insurer or a person 
who provided information on the insurer's behalf is not liable for 
damages in a civil action or subject to criminal prosecution for an 
oral or written statement made or any other action taken that is 
necessary to supply information required under this section.
	(e)  An official or a department or agency employee who 
receives information under this section shall maintain the 
confidentiality of the information until the information is 
required to be released in a criminal or civil proceeding.
	(f)  An official described by Subsection (a) may be required 
to testify as to any information in the official's possession 
regarding the fire loss of property in a civil action in which a 
person seeks recovery for the loss from an insurer under an 
insurance policy.
	(g)  A person may not intentionally:                                           
		(1)  refuse to release information requested under 
Subsection (a);          
		(2)  refuse to notify the fire marshal of a fire loss 
required to be reported under Subsection (c);
		(3)  refuse to provide the fire marshal with relevant 
information required to be provided under Subsection (c);  or
		(4)  fail to maintain the confidentiality of 
information that is confidential under Subsection (e).

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.007. CRIMINAL PENALTY.  (a) An officer or director 
of a fire insurance company described by Section 2001.001, or an 
agent or person acting on behalf of or employed by a fire insurance 
company described by Section 2001.001, commits an offense if the 
officer, director, agent, or person intentionally:
		(1)  performs or causes to be performed, alone or in 
conjunction with a corporation, company, or person, an act 
prohibited by a law described by Section 2001.001(a);
		(2)  fails to perform an act required to be performed by 
a law described by Section 2001.001(a);
		(3)  permits an act prohibited by a law described by 
Section 2001.001(a);  or
		(4)  otherwise violates a law described by Section 
2001.001(a).             
	(b)  An offense under this section is a misdemeanor 
punishable by a fine of not less than $300 or more than $1,000

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.008. IMMUNITY FROM PROSECUTION.  (a) A person is 
not excused from giving testimony or producing evidence when 
legally required at the trial of another person charged with 
violating a law relating to fire insurance on the ground that the 
testimony or evidence may incriminate the person under the laws of 
this state.
	(b)  A person may not be prosecuted or subjected to a penalty 
or forfeiture for or because of a transaction, matter, or thing 
about which the person testifies or produces evidence under this 
section.

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.009. LIMITATION ON COMPENSATION AND EXPENSES.  The 
total amount of necessary compensation for experts, clerical 
personnel, and other department employees and necessary expenses, 
including travel expenses, incurred by the department in 
implementing the laws described by Section 2001.001(a) may not 
exceed the amount of the assessments on the gross premiums of all 
fire insurance companies engaged in the business of insurance in 
this state.

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.           


	§ 2001.010. PUBLIC GUIDE RELATING TO COMMERCIAL PROPERTY 
RATING.  (a)  In this section, "rating agency" means a public or 
private legal entity that is authorized to conduct commercial 
property rating in this state.
	(b)  The commissioner shall make available to the public a 
generalized guide that:
		(1)  summarizes the procedures used by the department 
or other rating agency to rate nonresidential commercial buildings 
in this state;  and
		(2)  specifies how different construction elements and 
techniques used in a building project affect the insurance rating 
of the completed building.
	(c)  The commissioner may charge a reasonable fee to cover 
the administrative costs of producing and distributing the guide.
	(d)  The commissioner shall review the information in the 
guide in January of each odd-numbered year and shall revise the 
guide as necessary to incorporate any changes that have occurred in 
the preceding biennium that affect the information.

Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.