By Thompson H.B. No. 1041 75R4699 DLF-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to identification of uninsured motorists; providing 1-3 penalties. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 601, Transportation Code, is amended by 1-6 adding Subchapter N to read as follows: 1-7 SUBCHAPTER N. IDENTIFICATION OF UNINSURED MOTORISTS; 1-8 INSURER REPORTING REQUIREMENTS 1-9 Sec. 601.501. INSURANCE COMPANY REPORT. (a) An insurance 1-10 company that writes motor vehicle liability insurance policies 1-11 shall report to the department each motor vehicle insurance policy 1-12 issued by the company to cover a personal passenger vehicle that 1-13 lapses or otherwise terminates for any reason. 1-14 (b) The report must be made not later than the seventh day 1-15 after the date on which coverage under the policy terminated and 1-16 must include: 1-17 (1) the name, date of birth, and driver's license 1-18 number of each insured owner or operator; 1-19 (2) the address of the named insured; and 1-20 (3) the make, year, and vehicle identification number 1-21 of each private passenger motor vehicle insured under the policy. 1-22 (c) The insurance company shall provide the report in a 1-23 computer readable format as required by department rule. 1-24 (d) An insurance company that violates this section is 2-1 subject to an administrative penalty under Article 1.10E, Insurance 2-2 Code. 2-3 Sec. 601.502. NOTIFICATION TO MOTORIST. (a) If the 2-4 department receives a report under Section 601.501 that indicates 2-5 that a registered private passenger motor vehicle that is subject 2-6 to the requirements of this chapter is not covered by a policy of 2-7 motor vehicle liability insurance, the department shall notify the 2-8 registered owner of the motor vehicle of that fact and of the 2-9 requirements of this section. 2-10 (b) Not later than the 45th day after the date the notice is 2-11 mailed, the registered owner of the motor vehicle shall provide to 2-12 the department: 2-13 (1) evidence of financial responsibility that 2-14 satisfies the requirements of Section 601.051; or 2-15 (2) a sworn statement, signed by the person, that: 2-16 (A) the motor vehicle is not a motor vehicle for 2-17 which evidence of financial responsibility is required under this 2-18 chapter; or 2-19 (B) the motor vehicle is no longer owned by the 2-20 person. 2-21 Sec. 601.503. SUSPENSION OF DRIVER'S LICENSE OR VEHICLE 2-22 REGISTRATION. (a) The department, after notice and hearing, may 2-23 suspend the driver's license or vehicle registration of a person 2-24 who violates Section 601.502(b). The department may not suspend 2-25 the license or registration if the person: 2-26 (1) provides to the department evidence of financial 2-27 responsibility that satisfies the requirements of Section 601.051; 3-1 or 3-2 (2) demonstrates, to the satisfaction of the 3-3 department, that: 3-4 (A) the motor vehicle is not a motor vehicle for 3-5 which evidence of financial responsibility is required under this 3-6 chapter; or 3-7 (B) the motor vehicle is no longer owned by the 3-8 person. 3-9 (b) Suspension of a driver's license or vehicle registration 3-10 under this section is subject to Subchapter L. The license or 3-11 registration may not be reinstated unless the person complies with 3-12 Section 601.376. 3-13 Sec. 601.504. RULES. The department may adopt rules as 3-14 necessary to implement this subchapter. The department shall 3-15 consult with the Texas Department of Transportation with respect to 3-16 rules affecting the suspension of vehicle registrations. 3-17 SECTION 2. This Act takes effect September 1, 1997. 3-18 SECTION 3. An insurance company is not required to make a 3-19 report under Section 601.501, Transportation Code, as added by this 3-20 Act, before January 1, 1998. 3-21 SECTION 4. The importance of this legislation and the 3-22 crowded condition of the calendars in both houses create an 3-23 emergency and an imperative public necessity that the 3-24 constitutional rule requiring bills to be read on three several 3-25 days in each house be suspended, and this rule is hereby suspended.