Bill Text: TX HB949 | 2013-2014 | 83rd Legislature | Enrolled
Bill Title: Relating to continuation of automobile insurance coverage for certain motor vehicles acquired during a personal automobile insurance policy term.
Spectrum: Slight Partisan Bill (Democrat 3-1)
Status: (Passed) 2013-06-14 - Effective on 9/1/13 [HB949 Detail]
Download: Texas-2013-HB949-Enrolled.html
H.B. No. 949 |
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relating to continuation of automobile insurance coverage for | ||
certain motor vehicles acquired during a personal automobile | ||
insurance policy term. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 1952.001, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 1952.001. APPLICABILITY OF CHAPTER. Except as | ||
otherwise provided by this chapter [ |
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applies to an insurer writing automobile insurance in this state, | ||
including an insurance company, corporation, reciprocal or | ||
interinsurance exchange, mutual insurance company, association, | ||
Lloyd's plan, or other insurer. | ||
SECTION 2. Subchapter B, Chapter 1952, Insurance Code, is | ||
amended by adding Section 1952.059 to read as follows: | ||
Sec. 1952.059. REQUIRED PROVISION: COVERAGE FOR CERTAIN | ||
VEHICLES ACQUIRED DURING POLICY TERM. (a) This section applies to | ||
an insurer authorized to write automobile insurance in this state, | ||
including an insurance company, reciprocal or interinsurance | ||
exchange, mutual insurance company, capital stock company, county | ||
mutual insurance company, Lloyd's plan, or other entity. | ||
(b) A personal automobile insurance policy must contain a | ||
provision defining a covered vehicle in accordance with this | ||
section for a motor vehicle acquired by the insured during the | ||
policy term. | ||
(c) Coverage under this section is required only for a | ||
vehicle that is: | ||
(1) a private passenger automobile; or | ||
(2) a pickup, utility vehicle, or van with a gross | ||
vehicle weight of 25,000 pounds or less that is not used for the | ||
delivery or transportation of goods, materials, or supplies, other | ||
than samples, unless: | ||
(A) the delivery of the goods, materials, or | ||
supplies is not the primary use for which the vehicle is employed; | ||
or | ||
(B) the vehicle is used for farming or ranching. | ||
(d) Coverage under this section is required only for a | ||
vehicle that is acquired during the policy term and of which the | ||
insurer is notified on or before: | ||
(1) the 20th day after the date on which the insured | ||
becomes the owner of the vehicle; or | ||
(2) a later date specified by the policy. | ||
(e) Coverage under this section for a vehicle that replaces | ||
a covered vehicle shown in the declarations for the policy must be | ||
the same as the coverage for the vehicle being replaced. An insured | ||
must notify the insurer of a replacement vehicle during the time | ||
prescribed by Subsection (d) only if the insured wishes to: | ||
(1) add coverage for damage to the vehicle; or | ||
(2) continue existing coverage for damage to the | ||
vehicle after the period prescribed by Subsection (d) expires. | ||
(f) Coverage under this section for a vehicle that is | ||
acquired during the policy term in addition to the covered vehicles | ||
shown in the declarations for the policy and of which the insurer is | ||
notified as prescribed by Subsection (d) must be the broadest | ||
coverage provided under the policy for any covered vehicle shown in | ||
the declarations. | ||
SECTION 3. The change in law made by this Act applies only | ||
to an insurance policy delivered, issued for delivery, or renewed | ||
on or after January 1, 2014. An insurance policy delivered, issued | ||
for delivery, or renewed before January 1, 2014, is governed by the | ||
law in effect immediately before the effective date of this Act, and | ||
that law is continued in effect for that purpose. | ||
SECTION 4. This Act takes effect September 1, 2013. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I certify that H.B. No. 949 was passed by the House on April | ||
11, 2013, by the following vote: Yeas 144, Nays 1, 2 present, not | ||
voting; and that the House concurred in Senate amendments to H.B. | ||
No. 949 on May 15, 2013, by the following vote: Yeas 143, Nays 0, 3 | ||
present, not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
I certify that H.B. No. 949 was passed by the Senate, with | ||
amendments, on May 9, 2013, by the following vote: Yeas 30, Nays 0. | ||
______________________________ | ||
Secretary of the Senate | ||
APPROVED: __________________ | ||
Date | ||
__________________ | ||
Governor |