73R8934 MWV-D
By Horn H.B. No. 1757
Substitute the following for H.B. No. 1757:
By Counts C.S.H.B. No. 1757
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the term of an automobile insurance policy.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Article 5.06, Insurance Code, is amended by
1-5 adding Subsection (9) to read as follows:
1-6 (9) An insurance policy or other document evidencing proof
1-7 of purchase of a personal automobile insurance policy written for a
1-8 term of less than 30 days may not be used to obtain an original or
1-9 renewal driver's license, an automobile registration or license
1-10 plates, or a motor vehicle inspection certificate and must contain
1-11 a statement as follows:
1-12 "TEXAS LAW PROHIBITS USE OF THIS DOCUMENT TO OBTAIN A MOTOR
1-13 VEHICLE INSPECTION CERTIFICATE, AN ORIGINAL OR RENEWAL DRIVER'S
1-14 LICENSE, OR AN AUTOMOBILE REGISTRATION OR LICENSE PLATES."
1-15 SECTION 2. Section 6(c), Chapter 173, Acts of the 47th
1-16 Legislature, Regular Session, 1941 (Article 6687b, Vernon's Texas
1-17 Civil Statutes), is amended to read as follows:
1-18 (c) An application for an original or renewal driver's
1-19 license must be accompanied by evidence of financial responsibility
1-20 or a statement that the applicant does not own a motor vehicle for
1-21 which maintenance of financial responsibility is required under the
1-22 Texas Motor Vehicle Safety-Responsibility Act (Article 6701h,
1-23 Vernon's Texas Civil Statutes). Evidence of financial
1-24 responsibility presented under this subsection must be in at least
2-1 the minimum amounts required by Subdivision 10, Section 1, Texas
2-2 Motor Vehicle Safety-Responsibility Act (Article 6701h, Vernon's
2-3 Texas Civil Statutes), must cover each motor vehicle that the
2-4 applicant owns and for which the applicant is required to maintain
2-5 financial responsibility, and may be shown in the manner specified
2-6 under Section 1B(a)<(b)> of that Act. A personal automobile
2-7 insurance policy used as evidence of financial responsibility under
2-8 this subsection must be written for a term of 30 days or more as
2-9 required by Article 5.06, Insurance Code. A statement that the
2-10 applicant does not own an applicable motor vehicle must be sworn to
2-11 and signed by the applicant.
2-12 SECTION 3. Subsection (a), Section 2a, Chapter 88, General
2-13 Laws, Acts of the 41st Legislature, 2nd Called Session, 1929
2-14 (Article 6675a-2a, Vernon's Texas Civil Statutes), is amended to
2-15 read as follows:
2-16 (a) The owner of a motor vehicle covered by Section 1A,
2-17 Texas Motor Vehicle Safety-Responsibility Act (Article 6701h,
2-18 Vernon's Texas Civil Statutes), shall submit with the application
2-19 for registration under Section 3 of this Act evidence of financial
2-20 responsibility that is <currently> valid. A personal automobile
2-21 insurance policy used as evidence of financial responsibility under
2-22 this subsection must be written for a term of 30 days or more as
2-23 required by Article 5.06, Insurance Code.
2-24 SECTION 4. Section 140(a), Uniform Act Regulating Traffic on
2-25 Highways (Article 6701d, Vernon's Texas Civil Statutes), is amended
2-26 to read as follows:
2-27 (a) Every motor vehicle, trailer, semitrailer, pole trailer,
3-1 or mobile home, registered in this state and operated on the
3-2 highways of this state, shall have the tires, brake system
3-3 (including power brake unit), lighting equipment, horns and warning
3-4 devices, mirrors, windshield wipers, front seat belts in vehicles
3-5 where seat belt anchorages were part of the manufacturer's original
3-6 equipment on the vehicle, steering system (including power
3-7 steering), wheel assembly, safety guards or flaps if required by
3-8 Section 139A of this Act, tax decal if required by Section 141(d)
3-9 of this Act, sunscreening devices unless the vehicle is exempt from
3-10 sunscreen device restrictions under Section 134C(k) or (l) of this
3-11 Act, exhaust system, and exhaust emission system inspected at
3-12 state-appointed inspection stations or by State Inspectors as
3-13 hereinafter provided. Provisions relating to the inspection of
3-14 trailers, semitrailers, pole trailers, or mobile homes shall not
3-15 apply when the registered or gross weight of such vehicles and the
3-16 load carried thereon is four thousand five hundred (4,500) pounds
3-17 or less. Only the mechanism and equipment designated in this
3-18 section may be inspected, and the owner shall not be required to
3-19 have any other equipment or part of his motor vehicle inspected as
3-20 a prerequisite for the issuance of an inspection certificate. At
3-21 the time of inspection the owner or operator shall furnish evidence
3-22 of financial responsibility. The evidence of financial
3-23 responsibility may be shown in the manner specified under Section
3-24 1B(a)<(b)>, Texas Motor Vehicle Safety-Responsibility Act (Article
3-25 6701h, Vernon's Texas Civil Statutes). A personal automobile
3-26 insurance policy used as evidence of financial responsibility under
3-27 this subsection must be written for a term of 30 days or more as
4-1 required by Article 5.06, Insurance Code. An inspection
4-2 certificate may not be issued for a vehicle for which the owner or
4-3 operator fails to furnish the required evidence of financial
4-4 responsibility. An inspection facility or station is not liable to
4-5 any person, including a third party, for issuing an inspection
4-6 certificate in reliance on evidence of financial responsibility
4-7 submitted to the facility or station. If the inspection facility
4-8 or station is the seller of a motor vehicle, the inspection
4-9 facility or station may rely on an oral insurance binder.
4-10 SECTION 5. Section 1 of this Act takes effect September 1,
4-11 1993, and applies only to an insurance policy or other document
4-12 evidencing proof of purchase of a personal automobile insurance
4-13 policy that is delivered, issued for delivery, or renewed on or
4-14 after January 1, 1994. A policy or other document evidencing proof
4-15 of purchase of a personal automobile insurance policy delivered,
4-16 issued for delivery, or renewed before January 1, 1994, is governed
4-17 by the law as it existed immediately before the effective date of
4-18 Section 1 of this Act, and that law is continued in effect for that
4-19 purpose.
4-20 SECTION 6. Sections 2, 3, and 4 of this Act take effect
4-21 January 1, 1994.
4-22 SECTION 7. The importance of this legislation and the
4-23 crowded condition of the calendars in both houses create an
4-24 emergency and an imperative public necessity that the
4-25 constitutional rule requiring bills to be read on three several
4-26 days in each house be suspended, and this rule is hereby suspended.