S.B. No. 1238 is a legislative act aimed at prohibiting insurance discrimination based on an individual's marital status following the death of their spouse. The bill amends Section 544.002 of the Insurance Code by adding new subsections (d) and (e). Subsection (d) explicitly states that insurers cannot refuse to continue coverage or limit the extent of coverage for individuals who are widowed or whose marital status reflects the death of a spouse. Additionally, it prohibits insurers from charging different rates to these individuals compared to those who are married. Subsection (e) clarifies that this prohibition does not prevent title insurance companies or agents from imposing reasonable requirements on widowed individuals for determining heirship or probate matters.

The bill also includes a provision that the changes will not apply to insurance policies that are delivered, issued for delivery, or renewed before the effective date of the act, which is set for September 1, 2025. This ensures that existing policies remain governed by the previous law. The bill has passed both the Senate and the House with overwhelming support, indicating a strong legislative consensus on the need to protect widowed individuals from discriminatory insurance practices.

Statutes affected:
Introduced: Insurance Code 544.002 (Insurance Code 544)
Senate Committee Report: Insurance Code 544.002 (Insurance Code 544)
Engrossed: Insurance Code 544.002 (Insurance Code 544)
House Committee Report: Insurance Code 544.002 (Insurance Code 544)
Enrolled: Insurance Code 544.002 (Insurance Code 544)