By: Madla S.C.R. No. 45
1-1 SENATE CONCURRENT RESOLUTION
1-2 WHEREAS, The Texas Legislature amended the Motor Vehicle
1-3 Safety Responsibility Act in 1981 to reduce the number of uninsured
1-4 drivers operating vehicles on Texas roads; and
1-5 WHEREAS, The law requires motorists, as a condition of
1-6 operating a motor vehicle, to have established a level of financial
1-7 responsibility in any one of several ways, the most common being
1-8 the purchase of a motor vehicle liability insurance policy that
1-9 meets coverage requirements established by law; the law also
1-10 requires motorists to provide evidence of financial responsibility
1-11 when requested by a law enforcement officer, when obtaining or
1-12 renewing a license or registration, and for vehicle inspections;
1-13 and
1-14 WHEREAS, Although the law resulted in a sharp decrease in the
1-15 percentage of uninsured motorists immediately after its passage,
1-16 the number increased shortly thereafter, returning close to
1-17 previous levels where it continues to hover today; and
1-18 WHEREAS, The Texas Department of Insurance has estimated that
1-19 between 17 and 26 percent of Texas drivers do not carry the
1-20 necessary vehicle liability insurance as mandated by state law;
1-21 many uninsured drivers cannot afford the costs of liability
1-22 insurance; many are also high-risk drivers who are unable to
1-23 purchase insurance in the standard market; and
1-24 WHEREAS, Many of these motorists circumvent the law by
2-1 producing fraudulent documentation of coverage or canceling a
2-2 policy after using it to get a necessary license, inspection, or
2-3 registration; now, therefore, be it
2-4 RESOLVED, That the 77th Legislature of the State of Texas
2-5 hereby direct the Texas Department of Insurance to initiate an
2-6 interim study in cooperation with key agencies, such as the
2-7 Department of Public Safety of the State of Texas, to research and
2-8 develop an economically feasible insurance verification system that
2-9 will focus on the detection, investigation, and prosecution of
2-10 motorists who falsify a standard proof of motor vehicle liability
2-11 insurance form; and, be it further
2-12 RESOLVED, That this insurance verification system may:
2-13 1. randomly verify evidence of financial responsibility,
2-14 useful for prosecution under Section 37.01, Penal Code, and Section
2-15 601.080, Transportation Code;
2-16 2. be practically installed on a progressive basis in all
2-17 applicable counties, municipalities, and jurisdictions;
2-18 3. be developed under the confidentiality and disclosure
2-19 authorities found under Article 1.10D, Insurance Code, Insurance
2-20 Fraud Unit; and
2-21 4. develop a technology fund for implementation; and, be it
2-22 further
2-23 RESOLVED, That the Texas Department of Insurance and other
2-24 involved agencies present a complete report of facts and findings
2-25 to the house and senate committees having primary jurisdiction over
2-26 insurance not later than January 1, 2003; and, be it further
3-1 RESOLVED, That the secretary of state forward an official
3-2 copy of this resolution to the commissioner of insurance of the
3-3 Texas Department of Insurance.