By Shapleigh                                           S.B. No. 534
         77R1795 DWS-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to a motor vehicle liability insurance database.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1. Subchapter B, Chapter 601, Transportation Code, is
 1-5     amended by adding Section 601.024 to read as follows:
 1-6           Sec. 601.024.  LIABILITY INSURANCE DATABASE. (a)  This
 1-7     section applies to a policy of motor vehicle liability insurance
 1-8     issued to a resident of this state.
 1-9           (b)  The department shall maintain a database containing
1-10     information about policies to which this section applies that have
1-11     expired or been canceled. On request of a law enforcement agency or
1-12     other person the department by rule determines has a legitimate
1-13     need for the information, the department shall provide information
1-14     from the database about whether a specific policy has expired or
1-15     been canceled.
1-16           (c)  The department shall adopt rules requiring motor vehicle
1-17     insurers to provide information necessary to maintain the database.
1-18           (d)  The motor vehicle liability account is an account in the
1-19     general revenue fund. Money in the account may be used only to
1-20     maintain the database established under this section.
1-21           (e)  An annual assessment is imposed on each motor vehicle
1-22     insurer at a rate of 50 cents for each policy of motor vehicle
1-23     liability insurance issued, delivered, or renewed by the insurer to
1-24     a resident of this state. The comptroller shall collect the
 2-1     assessment and deposit the money to the credit of the motor vehicle
 2-2     liability account. The comptroller may require a motor vehicle
 2-3     insurer to provide information the comptroller considers necessary
 2-4     to determine the number of policies issued, delivered, or renewed
 2-5     by the insurer that are subject to the assessment.
 2-6           SECTION 2. (a)  This Act takes effect September 1, 2001.
 2-7           (b)  The Department of Public Safety shall establish the
 2-8     database required by Section 601.024, Transportation Code, as added
 2-9     by this Act, not later than September 1, 2002. The assessment
2-10     established by that section applies to a policy of motor vehicle
2-11     liability insurance issued, delivered, or renewed by an insurer to
2-12     a resident of this state on or after the effective date of this
2-13     Act.