Bill Text: TX HB1810 | 2013-2014 | 83rd Legislature | Comm Sub
Bill Title: Relating to certain exclusions for personal automobile liability insurance.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2013-05-04 - Committee report sent to Calendars [HB1810 Detail]
Download: Texas-2013-HB1810-Comm_Sub.html
83R24862 SCL-D | |||
By: Lucio III | H.B. No. 1810 | ||
Substitute the following for H.B. No. 1810: | |||
By: Smithee | C.S.H.B. No. 1810 |
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relating to certain exclusions for personal automobile liability | ||
insurance. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Chapter 1952, Insurance Code, is amended by | ||
adding Subchapter H to read as follows: | ||
SUBCHAPTER H. PERMISSIVE DRIVER AND SPECIFICALLY NAMED DRIVER | ||
EXCLUSIONS | ||
Sec. 1952.351. DEFINITIONS. In this subchapter: | ||
(1) "Permissive driver exclusion" means a provision or | ||
endorsement of a personal automobile liability insurance policy | ||
that excludes drivers who do not reside in the insured's household | ||
and who receive permission from the insured to drive the insured's | ||
vehicle from coverage under the policy. The term does not include a | ||
provision or endorsement of a personal automobile liability | ||
insurance policy that excludes from coverage: | ||
(A) specific named persons; or | ||
(B) family members and residents of the insured's | ||
household who are not listed as authorized drivers in a provision or | ||
endorsement of the policy. | ||
(2) "Specifically named driver exclusion" means a | ||
provision or endorsement of a personal automobile liability | ||
insurance policy that excludes specific named persons from coverage | ||
under the policy. | ||
Sec. 1952.352. APPLICABILITY. This subchapter applies to | ||
an insurer writing personal automobile liability insurance in this | ||
state, including an insurance company, corporation, reciprocal or | ||
interinsurance exchange, mutual insurance company, capital stock | ||
company, association, county mutual insurance company, Lloyd's | ||
plan, and other insurer. | ||
Sec. 1952.353. PERMISSIVE DRIVER EXCLUSIONS PROHIBITED. An | ||
insurer may not use a permissive driver exclusion for a personal | ||
automobile liability insurance policy delivered, issued for | ||
delivery, or renewed in this state. | ||
Sec. 1952.354. REQUIRED DISCLOSURE REGARDING SPECIFICALLY | ||
NAMED DRIVER EXCLUSIONS. (a) Before accepting any premium or fee | ||
for a policy with a specifically named driver exclusion, an agent or | ||
insurer must make the following written disclosure to the applicant | ||
or insured: | ||
WARNING: THIS POLICY DOES NOT PROVIDE COVERAGE FOR | ||
INDIVIDUALS SPECIFICALLY NAMED AS EXCLUDED FROM | ||
COVERAGE. | ||
(b) An agent or insurer that delivers or issues for delivery | ||
a policy in this state with a specifically named driver exclusion | ||
shall specifically include in the policy and conspicuously identify | ||
on the front of any proof of insurance document issued to the | ||
insured the required disclosure under Subsection (a). | ||
SECTION 2. Section 912.152(a), Insurance Code, is amended | ||
to read as follows: | ||
(a) A county mutual insurance company is subject to: | ||
(1) Sections 1952.051-1952.055; | ||
(2) Subchapter H, Chapter 1952; | ||
(3) Subchapter B, Chapter 2002; | ||
(4) [ |
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(5) [ |
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SECTION 3. Section 1952.001, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 1952.001. APPLICABILITY OF CHAPTER. Except as | ||
provided by Sections [ |
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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 4. Section 601.081, Transportation Code, is amended | ||
to read as follows: | ||
Sec. 601.081. STANDARD PROOF OF MOTOR VEHICLE LIABILITY | ||
INSURANCE FORM. (a) In this section, "specifically named driver | ||
exclusion" has the meaning assigned by Section 1952.351, Insurance | ||
Code. | ||
(b) A standard proof of motor vehicle liability insurance | ||
form prescribed by the Texas Department of Insurance must include: | ||
(1) the name of the insurer; | ||
(2) the insurance policy number; | ||
(3) the policy period; | ||
(4) the name and address of each insured; | ||
(5) the policy limits or a statement that the coverage | ||
of the policy complies with the minimum amounts of motor vehicle | ||
liability insurance required by this chapter; [ |
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(6) the make and model of each covered vehicle; and | ||
(7) for a policy with a specifically named driver | ||
exclusion, the required disclosure under Section 1952.354, | ||
Insurance Code. | ||
SECTION 5. The changes in law made by this Act apply only to | ||
a personal automobile liability insurance policy that is delivered, | ||
issued for delivery, or renewed on or after January 1, 2014. A | ||
policy delivered, issued for delivery, or renewed before January 1, | ||
2014, is governed by the law as it existed immediately before the | ||
effective date of this Act, and that law is continued in effect for | ||
that purpose. | ||
SECTION 6. This Act takes effect September 1, 2013. |