INSURANCE CODE

CHAPTER 554. BURDEN OF PROOF AND PLEADING


	§ 554.001.  APPLICABILITY OF CHAPTER.  This chapter 
applies to each insurer or health maintenance organization engaged 
in the business of insurance or the business of a health maintenance 
organization in this state, regardless of form and however 
organized, including:
		(1)  a stock life, health, or accident insurance 
company;                   
		(2)  a mutual life, health, or accident insurance 
company;                  
		(3)  a stock fire or casualty insurance company;                              
		(4)  a mutual fire or casualty insurance company;                             
		(5)  a Mexican casualty insurance company;                                    
		(6)  a Lloyd's plan;                                                          
		(7)  a reciprocal or interinsurance exchange;                                 
		(8)  a fraternal benefit society;                                             
		(9)  a title insurance company;                                               
		(10)  an attorney's title insurance company;                                  
		(11)  a stipulated premium company;                                           
		(12)  a nonprofit legal services corporation;                                 
		(13)  a statewide mutual assessment company;                                  
		(14)  a local mutual aid association;                                         
		(15)  a local mutual burial association;                                      
		(16)  an association exempt under Section 887.102;                            
		(17)  a nonprofit hospital, medical, or dental service 
corporation, including a corporation subject to Chapter 842;
		(18)  a county mutual insurance company;                                      
		(19)  a farm mutual insurance company;  and                                   
		(20)  an insurer or health maintenance organization 
engaged in the business of insurance or the business of a health 
maintenance organization in this state that does not hold a 
certificate of authority issued by the department or is not 
otherwise authorized to engage in business in this state.

Added by Acts 2003, 78th Leg., ch. 1274, § 2, eff. April 1, 2005.          


	§ 554.002.  BURDEN OF PROOF AND PLEADING.  In a suit to 
recover under an insurance or health maintenance organization 
contract, the insurer or health maintenance organization has the 
burden of proof as to any avoidance or affirmative defense that the 
Texas Rules of Civil Procedure require to be affirmatively pleaded.  
Language of exclusion in the contract or an exception to coverage 
claimed by the insurer or health maintenance organization 
constitutes an avoidance or an affirmative defense.

Added by Acts 2003, 78th Leg., ch. 1274, § 2, eff. April 1, 2005.