Texas prompt payment deadline calculator
Map Texas claim-notice, decision and payment dates to the applicable prompt-payment provisions.
Illustrate Texas Insurance Code Chapter 542 timing from your claim records. The statutory rules, coverage and facts of a particular claim still control.
Start with a hypothetical example
These examples are fictional demonstrations, not claim facts.
Written determination records
Keep the carrier's written acceptance or rejection, the complete-items receipt, and any catastrophe or extension notice. A dated written record turns a timing question into a document that can be evaluated with the policy and claim file.
Related reading and tools
Frequently Asked Questions
What does this Texas prompt-payment worksheet calculate?
It illustrates statutory dates from the dates and toggles entered. It does not decide whether a claim is covered, whether a carrier is liable, or whether damages are owed.
How are business days counted?
The illustration skips Saturdays, Sundays and the Texas state holidays listed for 2026 and 2027. A date outside that published holiday range produces an explicit calculation error instead of an unmarked assumption. Texas Insurance Code §542.055: acknowledge the claim, begin investigating, and request needed items not later than the 15th day after notice; an eligible surplus lines insurer uses the 30th business day. Last reviewed September 16, 2026.
What changes for an arson investigation?
When the carrier has a reasonable basis to believe the loss resulted from arson, the decision illustration uses 30 calendar days after all requested items. A timely written notice that more time is needed uses 45 calendar days after that notice.
What is the 60-day payment line?
Section 542.058 is shown as a 60-calendar-day delay threshold after all requested items. It is not a finding that a claim is covered or that damages are owed.
Does the interest number show what is owed?
No. The 18 percent simple-interest figure is an illustration on the amount you enter, from the applicable illustrated payment date to the selected as-of date or payment date. It is not an amount owed.
Policy provisions · Last reviewed September 16, 2026
- Texas Insurance Code §§ 542.055-.060 and Chapter 542A §§ 542A.001, 542A.003 and 542A.007. Last reviewed September 16, 2026.
Supporting Records Needed
- Notice of claim, claim number and acknowledgment or investigation correspondence.
- Every requested item with the date it was delivered and proof of receipt.
- Written acceptance, rejection or written notice that more time was needed.
- Payment record, explanation of benefits and any correspondence about delay.
- Policy declarations, endorsements and surplus-lines eligibility information.
- Weather-catastrophe or disaster declaration and any arson-related correspondence.
Related Reading
Educational illustration based on your inputs. Not legal, coverage or claim advice. Your policy language controls.
Texas prompt payment deadline calculator Summary
Generated on
The linked URL in a saved PDF reopens these inputs. The worksheet values are printed below.
Inputs
| Reported date | Not enteredSource: Texas Insurance Code §542.055: acknowledge the claim, begin investigating, and request needed items not later than the 15th day after notice; an eligible surplus lines insurer uses the 30th business day. Last reviewed September 16, 2026. |
| Acknowledgment date | Not enteredSource: Texas Insurance Code §542.055: acknowledge the claim, begin investigating, and request needed items not later than the 15th day after notice; an eligible surplus lines insurer uses the 30th business day. Last reviewed September 16, 2026. |
| All requested items received | Not enteredSource: Texas Insurance Code §542.056: give written acceptance or rejection not later than the 15th business day after all requested items; when there is a reasonable basis to believe the loss resulted from arson, the period is the 30th day. If the carrier gives written notice that more time is needed within that period, acceptance or rejection is due not later than the 45th day after that notice. Last reviewed September 16, 2026. |
| Decision | acceptanceSource: Texas Insurance Code §542.056: give written acceptance or rejection not later than the 15th business day after all requested items; when there is a reasonable basis to believe the loss resulted from arson, the period is the 30th day. If the carrier gives written notice that more time is needed within that period, acceptance or rejection is due not later than the 45th day after that notice. Last reviewed September 16, 2026. |
| Payment date | Not enteredSource: Texas Insurance Code §542.057: payment is due not later than the fifth business day after notice of acceptance. Last reviewed September 16, 2026. |
| Surplus lines | NoSource: Texas Insurance Code §542.055: acknowledge the claim, begin investigating, and request needed items not later than the 15th day after notice; an eligible surplus lines insurer uses the 30th business day. Last reviewed September 16, 2026. |
| Written extension notice | NoSource: Texas Insurance Code §542.056: give written acceptance or rejection not later than the 15th business day after all requested items; when there is a reasonable basis to believe the loss resulted from arson, the period is the 30th day. If the carrier gives written notice that more time is needed within that period, acceptance or rejection is due not later than the 45th day after that notice. Last reviewed September 16, 2026. |
| Weather catastrophe extension | NoSource: Texas Insurance Code §542.059: the applicable deadlines extend by 15 days during a commissioner-declared weather-related catastrophe or major natural disaster. Last reviewed September 16, 2026. |
| Arson investigation toggle | NoSource: Texas Insurance Code §542.056: give written acceptance or rejection not later than the 15th business day after all requested items; when there is a reasonable basis to believe the loss resulted from arson, the period is the 30th day. If the carrier gives written notice that more time is needed within that period, acceptance or rejection is due not later than the 45th day after that notice. Last reviewed September 16, 2026. |
| Optional holiday convention | IncludedSource: Texas Government Code §662.003(c); official State Auditor's Office holiday schedules at https://hr.sao.texas.gov/Documents/Holidays/Holidays2026.pdf and https://hr.sao.texas.gov/Documents/Holidays/Holidays2027.pdf; Last reviewed September 16, 2026. |
| Interest amount | Not enteredSource: Texas Insurance Code §542.060(a), (c): this worksheet illustrates 18% simple interest plus reasonable attorney's fees; in an action to which Chapter 542A applies, simple interest is the rate determined on the judgment date by adding 5% to the rate under Texas Finance Code §304.003, together with reasonable and necessary attorney's fees. Interest is an illustration, not an amount owed. Last reviewed September 16, 2026. |
| Interest as-of date | Client dateSource: Texas Insurance Code §542.060(a), (c): this worksheet illustrates 18% simple interest plus reasonable attorney's fees; in an action to which Chapter 542A applies, simple interest is the rate determined on the judgment date by adding 5% to the rate under Texas Finance Code §304.003, together with reasonable and necessary attorney's fees. Interest is an illustration, not an amount owed. Last reviewed September 16, 2026. |
Results
Policy provisions · Last reviewed September 16, 2026
- Texas Insurance Code §§ 542.055-.060 and Chapter 542A §§ 542A.001, 542A.003 and 542A.007. Last reviewed September 16, 2026.