By: Ratliff S.B. No. 693 73R1781 DLF-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to automobile, homeowner's, and farm and ranch owner's 1-3 insurance coverage for liability for injuries to a family member. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 21, Texas Motor Vehicle 1-6 Safety-Responsibility Act (Article 6701h, Vernon's Texas Civil 1-7 Statutes), is amended by adding Subsection (b-1) to read as 1-8 follows: 1-9 (b-1) The owner's policy of liability insurance must exclude 1-10 coverage for the liability of a person insured under the policy for 1-11 a bodily injury to or death of the insured or a family member of 1-12 the insured. For purposes of this subsection, "family member" 1-13 means: 1-14 (1) the spouse of the insured, including a spouse who 1-15 is not a resident of the insured's household during a period of 1-16 separation in contemplation of divorce; or 1-17 (2) a person who is a resident of the insured's 1-18 household and who is: 1-19 (A) related to the insured by blood, marriage, 1-20 or adoption; or 1-21 (B) a ward or foster child of the insured. 1-22 SECTION 2. Article 5.06, Insurance Code, is amended by 1-23 adding Subsection (9) to read as follows: 1-24 (9) A policy form adopted under this article must exclude 2-1 coverage for the liability of an individual insured under the 2-2 policy for bodily injury to or death of the insured or a family 2-3 member of the insured. For purposes of this subsection, "family 2-4 member" has the meaning assigned by Section 21(b-1), Texas Motor 2-5 Vehicle Safety-Responsibility Act (Article 6701h, Vernon's Texas 2-6 Civil Statutes). 2-7 SECTION 3. Subchapter C, Chapter 5, Insurance Code, is 2-8 amended by adding Article 5.35-2 to read as follows: 2-9 Art. 5.35-2. LIABILITY COVERAGE FOR FAMILY MEMBER. (a) In 2-10 this article "family member" means a resident of the insured's 2-11 household who is: 2-12 (1) related to the insured; or 2-13 (2) under 21 years of age and in the care of: 2-14 (A) the insured; or 2-15 (B) a person who is: 2-16 (i) a resident of the insured's household; 2-17 and 2-18 (ii) related to the insured. 2-19 (b) A policy form adopted under Article 5.35 of this code 2-20 for homeowner's or farm and ranch owner's insurance must exclude 2-21 coverage for the liability of a person insured under the policy for 2-22 bodily injury to or death of the insured or a family member of the 2-23 insured. 2-24 SECTION 4. This Act takes effect September 1, 1993, and 2-25 applies only to an insurance policy that is delivered, issued for 2-26 delivery, or renewed on or after January 1, 1994. A policy that is 2-27 delivered, issued for delivery, or renewed before January 1, 1994, 3-1 is governed by the law as it existed immediately before the 3-2 effective date of this Act, and that law is continued in effect for 3-3 that purpose. 3-4 SECTION 5. The importance of this legislation and the 3-5 crowded condition of the calendars in both houses create an 3-6 emergency and an imperative public necessity that the 3-7 constitutional rule requiring bills to be read on three several 3-8 days in each house be suspended, and this rule is hereby suspended.