Texas Insurance Code Title 5, Chapter 557 - Insured Property Subject To Security Interest

SUBCHAPTER A INSURANCE PROCEEDS HELD BY LENDER PENDING REPAIR OF RESIDENTIAL REAL PROPERTY

• Texas Section 557.001 - Definitions
  In this subchapter: (1) "Lender" means a person holding a mortgage, lien, deed of trust, or other security interest in property. (2) "Residential real property"...
• Texas Section 557.002 - Notification By Lender To Insured Concerning Insurance Proceeds
  (a) If a claim under an insurance policy for damage to residential real property is paid to the insured and a lender, and the lender...
• Texas Section 557.003 - Lender's Release Or Refusal To Release Insurance Proceeds
  Not later than the 10th day after the date a lender receives from the insured a request for release of all or part of the...
• Texas Section 557.004 - Payment Of Interest; Rate
  A lender who fails to provide notice as required by Section 557.002 or 557.003 or to release insurance proceeds as required by Section 557.003 shall...
• Texas Section 557.005 - Accrual Of Interest
  (a) If a lender fails to provide notice as required by Section 557.002 or 557.003, interest begins to accrue on the date the lender received...

SUBCHAPTER B LIENHOLDER APPROVAL OF INSURANCE CLAIM PAYMENT RELATING TO PERSONAL PROPERTY

• Texas Section 557.006 - Interest Not Required On Insurance Proceeds Applied To Reduce Note
  A lender is not required to pay interest on insurance proceeds applied, in accordance with the terms and conditions of a deed of trust or...
• Texas Section 557.051 - Lienholder Approval Of Payment
  If payment of an insurance claim relating to personal property requires the endorsement of a check or draft by a holder of a lien on...
• Texas Section 557.052 - Civil Penalty
  (a) A lienholder who violates Section 557.051 is liable for a civil penalty not to exceed $500 for each violation. (b) The attorney general may...

Last modified: September 28, 2016