Texas Insurance Law Newsbrief - March 31, 2020

March 31, 2020

TEXAS SUPREME COURT REAFFIRMS POLICYHOLDER HAS NO STANDING TO SUE AUTO INSURER OVER RATES NEGOTIATED WITH MEDICAL PROVIDERS

Last Friday, the Supreme Court of Texas addressed the question of whether the holder of an auto insurance policy with Personal Injury Protection (PIP) benefits may complain because his medical providers were paid based on rates negotiated with his health insurance rather than their list rates.  Read more...

SOUTHERN DISTRICT DISALLOWS POST-SUIT ADJUSTER ELECTIONS UNDER INSURANCE CODE 542A

Last week, the Southern District of Texas joined the Eastern District of Texas in holding that if an insurer elects to accept responsibility for its adjuster and wishes to use that election as the basis for removal to federal court on diversity grounds, it must make the election before a lawsuit is filed.  Read more...

FEDERAL JUDGE EXAMINES AUTO EXCLUSION AND EXCEPTIONS IN A CGL POLICY

In a tragic case involving a fascinating question of insurance policy interpretation, a federal district judge in Sherman held a CGL insurer was required to cover a loss that took place in a van despite its auto exclusion.  Read more...

HOUSTON COURT OF APPEALS AFFIRMS SUMMARY JUDGMENT FOR LIABILITY INSURER AFTER INSURED’S BANKRUPTCY

In an interesting intersection of bankruptcy law and insurance law, a Houston court of appeals recently affirmed summary judgment for a liability insurer for a claim against a bankrupt insured.  Read more...