An insurer violates this chapter if the insurer fails to comply with a claim brought under this chapter by:

1. (1) denying the claim on the grounds that the claim is not timely; or
2. (2) asserting a statute of limitations defense in an action brought under Section 553.002.

Added by Acts 2003, 78th Leg., ch. 1274, Sec. 2, eff. April 1, 2005.