True or False: An inspector must have held a license at the time the act occurred to be eligible for coverage under the inspection recovery fund.

The statement is true. In order to be eligible for coverage under the inspection recovery fund, it is necessary for the inspector to have held a valid license at the time the act in question occurred. This requirement ensures that the inspector was operating within the legal framework and professional standards set by the Texas Real Estate Commission (TREC) at that time. Holding an active license signifies that the inspector was authorized and recognized as qualified to perform inspections, which is integral to claiming coverage through the recovery fund.

The implications of this requirement are significant for maintaining high standards in the inspection industry. It emphasizes accountability and legality, ensuring that only those inspectors who adhered to the licensing requirements can be held liable under the fund, which has been established to protect consumers in cases of negligence or misconduct.