Understanding A Declarations Page Of An Insurance Policy

Weatherford attorneys and those in Willow Park, Hudson Oaks, Aledo, Springtown, Milsap, Brock and other places in Parker County need to be able to understand a declarations page in an insurance policy.
Some policies, especially first-party policies, contain a contractual time limit on claims. The policy must be read carefully to determine whether it contains a provision that otherwise alters the statute of limitations applicable to contract actions.
One example is found in the Texas Homeowners Policy — Form B (HOB). It contains a contractual two year and one day limitations period. This contractual limitations period supersedes the standard four year contractual statute of limitations period that normally exists. This provision was upheld in the 199, Texarkana Court of Appeals case, Stevens v. State Farm Fire & Cas. Co. As a result of this ruling, a breach of contract action involving the HOB policy must be brought no later than two years and one day after the homeowner’s claim is denied by the insurer.
To avoid ambiguity and confusion, almost all insurance policies will define key terms used in the policy. Reading and understanding these terms is important because the definition of a term defined in the policy will rule over the common understanding / definition of the term.
Most insurance policies are going to contain endorsements. Endorsements modify the standard forms drafted by the insurance company. They may alter or vary any term or condition of the policy. Most people will tend to ignore these endorsement as just more confusing paperwork. It is a mistake to not read and understand these.
Endorsements should be attached to insurance policies, but failure to attach them does not invalidate them. A separate contract can be incorporated into an insurance policy by an explicit reference clearly stating the parties’ intent to include that contract as part of their agreement. This has been allowed by the Texas Supreme Court by the opinion in Urrutia v. Decker, a 1999, case.
In the Decker case a rental agreement extending liability insurance to a motor vehicle lessee and supplying the limits of coverage was a valid endorsement to an insurance policy.
This can be confusing to even a lot of insurance agents. When in doubt, it is best to seek the advice of an insurance law attorney.