Regular Session
Government Affairs & Regulatory Compliance Analysis
SB455 prohibits surplus lines insurers from mandating out-of-state arbitration or choice of law for risks located wholly in Texas. Effective for policies issued or renewed starting January 1, 2026, carriers must either adopt Texas venue/law defaults or implement strict "opt-out" workflows involving premium credits or specific mutual consent forms.
Sen. Mayes Middleton·Senate Bill·Regular Session
This legislation has regulatory implications for the following Texas businesses and organizations:
Notable regulatory updates (effective 2025-09-01). Consider how these changes may affect your operations.
Affected business types:
lowMinimal cost impact anticipated.
JD Key Consulting provides government affairs and regulatory strategy services. We help businesses navigate Texas agencies, understand legislative impacts, and advocate for their interests.
JD Key Consulting provides strategic guidance on Texas regulatory compliance and legislative impact for your business.
Key implementation requirements and action items for compliance with this legislation
JD Key Consulting specializes in Texas regulatory compliance strategy. Work directly with James Dickey—former Chairman of the Republican Party of Texas—to understand this bill's impact on your operations and develop an actionable compliance plan.
Schedule a ConsultationInformation presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.
This bill's path through the Texas Legislature
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Common questions about SB455
SB455 prohibits surplus lines insurers from mandating out-of-state arbitration or choice of law for risks located wholly in Texas. Effective for policies issued or renewed starting January 1, 2026, carriers must either adopt Texas venue/law defaults or implement strict "opt-out" workflows involving premium credits or specific mutual consent forms.
SB455 was authored by Texas Senator Mayes Middleton during the Regular Session.
SB455 was signed into law by Governor Greg Abbott on May 27, 2025.
SB455 is enforced by Texas Department of Insurance.
The regulatory priority for SB455 is rated as "moderate". Businesses and organizations should review the legislation to understand potential impacts.
The cost impact of SB455 is estimated as "low". This may vary based on industry and implementation requirements.
SB455 addresses topics including insurance, insurance--general, insurance--insurers & agents and mediation, dispute resolution, & arbitration.
Key dates for SB455: Effective date is 2025-09-01. Consult with legal counsel regarding applicability.
SB455 establishes the following penalties: administrative penalty of Unspecified (Standard Insurance Code sanctions apply) for Issuing surplus lines policies with non-compliant arbitration venue or choice of law provisions. Consult with legal counsel for specific applicability to your situation.
SB455 primarily affects insurance companies and financial institutions. These businesses should review the legislation with their legal and compliance teams to understand potential impacts.
JD Key Consulting is an Austin, Texas-based government affairs firm led by James Dickey, former Chairman of the Republican Party of Texas. We specialize in Texas regulatory compliance and legislative strategy for data centers, energy, banking, and manufacturing.
