Texas § 887.208 CONTESTED CLAIMS.

Texas Statutes

§ 887.208 — CONTESTED CLAIMS.

Texas § 887.208

Code INInsurance Code

This text of Texas § 887.208 (CONTESTED CLAIMS.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Insurance Code Code Ann. § 887.208 (2026).

Text

Sec. 887.208. CONTESTED CLAIMS.

(a)An association may not contest a claim:

(1)only for delay or for a captious or inconsequential reason; or

(2)to force settlement at less than full payment.

(b)An association shall notify a claimant of the association's intent to deny liability on a claim not later than the 60th day after the date the association receives due proof of claim.

(c)An association that does not notify a claimant as provided by Subsection (b) is presumed as a matter of law to have accepted liability on the claim.

(d)The commissioner shall revoke the certificate of authority of any association the commissioner finds is operating fraudulently or improperly contesting claims.

(e)An association shall report to the department the costs of contests in the annual statement under

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Sec. 887.208. CONTESTED CLAIMS. (a) An association may not contest a claim:
(1) only for delay or for a captious or inconsequential reason; or
(2) to force settlement at less than full payment.
(b) An association shall notify a claimant of the association's intent to deny liability on a claim not later than the 60th day after the date the association receives due proof of claim.
(c) An association that does not notify a claimant as provided by Subsection (b) is presumed as a matter of law to have accepted liability on the claim.
(d) The commissioner shall revoke the certificate of authority of any association the commissioner finds is operating fraudulently or improperly contesting claims.
(e) An association shall report to the department the costs of contests in the annual statement under Section 887.060 . The report must be verified by an officer of the association.