1. (a) An insurance policy provision that states that a misrepresentation, including a false statement, made in a proof of loss or death makes the policy void or voidable:

   1. (1) has no effect; and
   2. (2) is not a defense in a suit brought on the policy.

2. (b) Subsection (a) does not apply if it is shown at trial that the misrepresentation:

   1. (1) was fraudulently made;
   2. (2) misrepresented a fact material to the question of the insurer's liability under the policy; and
   3. (3) misled the insurer and caused the insurer to waive or lose a valid defense to the policy.

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