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Senate Bill 1567 |
Senate Author: Davis |
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Effective: 9-1-13 |
House Sponsor: Eiland |
Senate Bill 1567 amends the Insurance Code to prohibit an agent or insurer from delivering or issuing for delivery in Texas a personal automobile insurance policy unless the policy provides at least the minimum coverage specified by the Texas Motor Vehicle Safety Responsibility Act. The bill requires an agent or insurer, before accepting any premium or fee for a named driver policy, to disclose to the applicant or insured, orally and in writing, that a named driver policy does not provide coverage for individuals residing in the insured's household that are not named on the policy. The bill requires the agent or insurer to receive a copy of the disclosure that is signed by the applicant or insured before accepting the premium or fee and requires the agent or insurer to require the applicant or insured to confirm contemporaneously in writing the provision of the required oral disclosure. The bill requires an agent or insurer that delivers or issues for delivery a named driver policy to specifically include the required disclosure in the policy and conspicuously identify the required disclosure on the front of any proof of insurance document issued to the insured.
Senate Bill 1567 amends the Transportation Code to add the required disclosure for a named driver policy to the contents of a standard proof of motor vehicle liability insurance form prescribed by the Texas Department of Insurance.