TX HB345

Establishes a standardized appraisal process for resolving disputed loss amounts under residential property insurance policies, applying to various insurer types including capital stock, mutual, county mutual, Lloyd's plans, and the FAIR Plan Association, but excluding the Texas Windstorm Insurance Association and commercial policies

Requires policyholders and insurers to each select a competent, impartial appraiser within 20 days of an appraisal demand, with appraisers required to determine the loss amount within 30 days (extendable by another 30 days by agreement)

If appraisers disagree, they must select an impartial umpire who has 30 days to determine the loss amount by choosing one of the submitted amounts or an amount in between; either party may request court appointment of an umpire if appraisers cannot agree

Prohibits appraisers from being paid on contingency or success-based fees, requiring hourly or flat-fee compensation; umpire expenses and other appraisal costs are split equally between policyholder and insurer, while each party pays their own appraiser

Applies to insurance policies delivered, issued, or renewed on or after January 1, 2026, and extends deadlines by an additional 30 days for losses resulting from weather-related catastrophes or major natural disasters