By Madla                                              S.C.R. No. 45
         77R11169 JXC-D                           
                                CONCURRENT RESOLUTION
 1-1           WHEREAS, The Texas Legislature amended the Motor Vehicle
 1-2     Safety Responsibility Act in 1981 to reduce the number of uninsured
 1-3     drivers operating vehicles on Texas roads; and
 1-4           WHEREAS, The law requires motorists, as a condition of
 1-5     operating a motor vehicle, to have established a level of financial
 1-6     responsibility in any one of several ways, the most common being
 1-7     the purchase of a motor vehicle liability insurance policy that
 1-8     meets coverage requirements established by law; the law also
 1-9     requires motorists to provide evidence of financial responsibility
1-10     when requested by a law enforcement officer, when obtaining or
1-11     renewing a license or registration, and for vehicle inspections;
1-12     and
1-13           WHEREAS, Although the law resulted in a sharp decrease in the
1-14     percentage of uninsured motorists immediately after its passage,
1-15     the number increased shortly thereafter, returning close to
1-16     previous levels where it continues to hover today; and
1-17           WHEREAS, The Texas Department of Insurance has estimated that
1-18     between 17 and 26 percent of Texas drivers do not carry the
1-19     necessary vehicle liability insurance as mandated by state law;
1-20     many uninsured drivers cannot afford the costs of liability
1-21     insurance; many are also high-risk drivers who are unable to
1-22     purchase insurance in the standard market; and
1-23           WHEREAS, Many of these motorists circumvent the law by
1-24     producing fraudulent documentation of coverage or canceling a
 2-1     policy after using it to get a necessary license, inspection, or
 2-2     registration; now, therefore, be it
 2-3           RESOLVED, That the 77th Legislature of the State of Texas
 2-4     hereby direct the Texas Department of Insurance to initiate an
 2-5     interim study in cooperation with key agencies, such as the Texas
 2-6     Department of Public Safety, to research and develop an
 2-7     economically feasible insurance verification system that will focus
 2-8     on the detection, investigation, and prosecution of motorists who
 2-9     falsify a standard proof of motor vehicle liability insurance form;
2-10     and, be it further
2-11           RESOLVED, That this insurance verification system may:
2-12           1.  randomly verify evidence of financial responsibility,
2-13     useful for prosecution under Section 37.01, Penal Code, and Section
2-14     601.080, Transportation Code;
2-15           2.  be practically installed on a progressive basis in all
2-16     applicable counties, municipalities, and jurisdictions;
2-17           3.  be developed under the confidentiality and disclosure
2-18     authorities found under Article 1.10D, Insurance Code, Insurance
2-19     Fraud Unit; and
2-20           4.  develop a technology fund for implementation; and, be it
2-21     further
2-22           RESOLVED, That the department and other involved agencies
2-23     present a complete report of facts and findings to the house and
2-24     senate committees having primary jurisdiction over insurance not
2-25     later than January 1, 2003; and, be it further
2-26           RESOLVED, That the secretary of state forward an official
2-27     copy of this resolution to the commissioner of insurance of the
 3-1     Texas Department of Insurance.