This is an informational bulletin to notify you of statutory provisions that affect manufacturer's general liability or products liability policies.
The 78th Texas Legislature, regular session, enacted House Bill 4 relating to reform of certain procedures and remedies in civil actions. Section 10.08 of the bill amended the Insurance Code, Article 5.15-1, to add Section 11, Vendor's Endorsement:
"An insurer may not exclude or otherwise limit coverage for physicians or health care providers under a vendor's endorsement issued to a manufacturer, as that term is defined by Section 82.001, Civil Practice and Remedies Code. A physician or health care provider shall be considered a vendor for purposes of coverage under a vendor's endorsement or a manufacturer's general liability or products liability policy."
Chapter 82, Products Liability, Section 82.001 of the Texas Civil Practice and Remedies Code can be found at the following site:
Insurers are responsible for reviewing policy forms and endorsements to ensure compliance with Section 11, Article 5.15-1. Insurers are also responsible for amending policy forms and endorsements for use with large risks as defined by Article 5.13-2, 8(f), Insurance Code, to comply with Section 11, Article 5.15-1.
Policy forms or endorsements subject to filing under Section 8, Article 5.13-2, Insurance Code, must be submitted to:
Texas Department of Insurance
Property & Casualty Intake Unit
P.O. Box 149104, MC 104-3B
Austin, Texas 78714-9104
512-322-3575
For additional information regarding this bulletin, you may contact Melvin Smith at 512-305-6711 or e-mail melvin.smith@tdi.state.tx.us.
Sincerely,
Marilyn Hamilton, Associate Commissioner
Property & Casualty Program MC 104-PC