In Your Business

Proposed Senate bill calling for hailstorm litigation reform finds favor in insurance industry

Source: setexasrecord.com

AUSTIN – Texas lawmakers have filed Senate Bill 10 in an effort to pass legislation that would decrease, or halt altogether, hailstorm litigation abuse.

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Hail litigation has spiraled out of control in Texas, mainly because of a small group of bad actors who abuse the system,” said Hancock in a statement published Feb. 13. “Senate Bill 10 will address this problem, improve transparency and protect Texas consumers from sky-high premiums without infringing on their right to make an insurance claim or sue their insurance company when it's not holding up its end of a deal.”

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The bill will still allow for an insured person’s right to sue, but they will only be able to sue for deceptive trade practices or unfair settlement rather than both, which is happening now. It would also curb lawsuits brought by lawyers, adjusters and roofers, who the insurance industry said preys on people who might have only filed a claim before they became involved.

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