By Dunnam                                             H.B. No. 2019
         77R6279 AJA-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to notice to personal automobile insurance policy holders
 1-3     of the consumer bill of rights published by the Texas Department of
 1-4     Insurance.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1. Article 5.06, Insurance Code, is amended by adding
 1-7     Subdivision (12) to read as follows:
 1-8                 (12)  The commissioner by rule shall require an insurer
 1-9     to provide, at the time a personal automobile insurance policy is
1-10     issued, a statement that:
1-11                       (A)  refers to the availability of the consumer
1-12     bill of rights for personal automobile insurance policy holders
1-13     adopted by the department in accordance with Article 1.35A of this
1-14     code; and
1-15                       (B)  provides information about how to obtain the
1-16     consumer bill of rights from the department.
1-17           SECTION 2. Subchapter E, Chapter 21, Insurance Code, is
1-18     amended by adding Article 21.60 to read as follows:
1-19           Art. 21.60.  INSURER REQUIRED TO PROVIDE CERTAIN INFORMATION
1-20     WITH WRITTEN ESTIMATE OF MOTOR VEHICLE DAMAGE. (a)  In this
1-21     article:
1-22                 (1)  "Damage estimate" means an estimate of the cost to
1-23     repair damage to a motor vehicle provided in connection with
1-24     settlement of a claim under a personal automobile insurance policy.
 2-1                 (2)  "Insurer" means an insurer or other entity that
 2-2     writes a personal automobile insurance policy and includes:
 2-3                       (A)  a county mutual;
 2-4                       (B)  a farm mutual;
 2-5                       (C)  a Lloyd's plan; or
 2-6                       (D)  a reciprocal or interinsurance exchange.
 2-7           (b)  A person who provides a written damage estimate by or on
 2-8     behalf of an insurer shall include a copy of the statement
 2-9     prescribed by the commissioner under this article with the
2-10     estimate.
2-11           (c)  The commissioner by rule shall prescribe a statement to
2-12     be provided with the damage estimate that:
2-13                 (1)  refers to the availability of the consumer bill of
2-14     rights for personal automobile insurance policy holders adopted by
2-15     the department in accordance with Article 1.35A of this code; and
2-16                 (2)  provides information about how to obtain the
2-17     consumer bill of rights from the department.
2-18           SECTION 3.  (a)  Not later than November 1, 2001, the
2-19     commissioner of insurance shall adopt all rules necessary to
2-20     implement Articles 5.06(12) and 21.60, Insurance Code, as added by
2-21     this Act.
2-22           (b)  Article 21.60, Insurance Code, as added by this Act,
2-23     applies only to a written damage estimate, as described by that
2-24     article, provided on or after January 1, 2002.
2-25           SECTION 4. This Act takes effect September 1, 2001.