Tex. Occ. Code § 2307.004 · Chapter 2307. INSURER INTERESTS IN REPAIR FACILITIES
CONTRACTUAL CONDITIONS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) An insurer that owns an interest in a repair facility may use only one favored facility agreement.
(b) Except as otherwise provided by this subsection, the terms under which the insurer enters into a favored facility agreement must be identical for all repair facilities, including a tied repair facility. An insurer may vary the terms as necessary to implement technical differences required by geographical factors or other legitimate business factors.
(c) Except as provided by Subsection (d), an insurer may not cancel a favored facility agreement until the expiration of the 30th day after the date on which the insurer provides notice to the repair facility of the insurer's intent to cancel the agreement. The insurer shall include with the notice a statement explaining the reason for the cancellation of the agreement.
(d) An insurer may summarily cancel a favored facility agreement with a repair facility if the insurer, a policyholder of the insurer, or another beneficiary under the insurer's policy establishes reasonable grounds to believe that the repair facility is fraudulent in its dealings with the insurer or the policyholder or other beneficiaries under the insurer's policy.
Notes and commentary — not statutory text
History
Added by Acts 2003, 78th Leg., ch. 1045, Sec. 1, eff. Sept. 1, 2003.
Renumbered from Occupations Code, Section 2306.004 by Acts 2005, 79th Leg., Ch. 728 (H.B. 2018), Sec. 23.001(76), eff. September 1, 2005.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/OC/htm/OC.2307.htm
- Text hash
- sha256 21f1d52192bb85b6ed06b406d2d9a40d2d42ae0772e45e65807178b70c597e88
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.