RS H.B. 2793 75(R) BILL ANALYSIS INSURANCE H.B. 2793 By: Averitt 4-17-97 Committee Report (Unamended) BACKGROUND Certain damage to automobile windshields can be repaired rather than replacing the entire windshield. Some companies offer to waive the deductible if the policyholder chooses to have such damage repaired, thus containing costs for the insurance company and the policyholder. There is, however, no specific authority in the Insurance Code allowing this waiver of deductible. PURPOSE As proposed, H.B. 2793 would specifically authorize an insurance company to adopt a uniform and non-discriminatory policy that provides for the waiver of an insured's deductible when the insured agrees to have damaged automobile windshield glass on the insured's vehicle repaired rather than replaced. RULEMAKING AUTHORITY Rulemaking authority is expressly granted in SECTION 1 of the bill (Subchapter E, Chapter 21, Article 21.79H, Insurance Code) SECTION BY SECTION ANALYSIS SECTION 1. - Amend Subchapter E, Chapter 21, Insurance Code, by adding 21.79H as follows: Art. 21.79H. WAIVER OF MOTOR VEHICLE INSURANCE DEDUCTIBLES ON REPAIR OF A DAMAGED AUTOMOBILE WINDSHIELD. A motor vehicle insurer may adopt a uniform waiver of an insured's deductible when the insured agrees to repair the windshield instead of replacing it. SECTION 2. - Effective Date, September 1, 1997 SECTION 3. - Emergency Clause