Terms Used In Texas Insurance Code 1301.065

  • Contract: A legal written agreement that becomes binding when signed.
  • Tort: A civil wrong or breach of a duty to another person, as outlined by law. A very common tort is negligent operation of a motor vehicle that results in property damage and personal injury in an automobile accident.

A preferred provider contract may not require any physician, health care provider, or physicians’ group to execute a hold harmless clause to shift the insurer’s tort liability resulting from the insurer’s acts or omissions to the preferred provider.