Bill > HB4062

This bill modifies the exemption criteria for large risks in property and casualty insurance policy form requirements under the Texas Insurance Code. Specifically, the bill increases the thresholds that determine when an insured entity is exempt from certain regulatory requirements. The new thresholds raise the total insured property values from $5 million to $20 million, total annual gross revenues from $10 million to $100 million, and premium amounts for different types of insurance: property insurance premiums increase from $25,000 to $100,000, general liability insurance premiums from $25,000 to $100,000, and multiperil insurance premiums from $50,000 to $250,000. These changes mean that larger businesses with higher property values, revenues, or insurance premiums will be exempt from specific insurance policy form regulations. The bill stipulates that these new exemption criteria will apply only to insurance policies delivered, issued, or renewed on or after January 1, 2026, ensuring a clear transition period. The act is set to take effect on September 1, 2025, giving insurance providers and businesses time to prepare for the new requirements.

Business and Industry

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB4062