1-1     By:  Madla                                            S.C.R. No. 45
 1-2           (In the Senate - Filed April 2, 2001; April 3, 2001, read
 1-3     first time and referred to Committee on Business and Commerce;
 1-4     May 1, 2001, reported favorably by the following vote:  Yeas 6,
 1-5     Nays 0; May 1, 2001, sent to printer.)
 1-6                        SENATE CONCURRENT RESOLUTION
 1-7           WHEREAS, The Texas Legislature amended the Motor Vehicle
 1-8     Safety Responsibility Act in 1981 to reduce the number of uninsured
 1-9     drivers operating vehicles on Texas roads; and
1-10           WHEREAS, The law requires motorists, as a condition of
1-11     operating a motor vehicle, to have established a level of financial
1-12     responsibility in any one of several ways, the most common being
1-13     the purchase of a motor vehicle liability insurance policy that
1-14     meets coverage requirements established by law; the law also
1-15     requires motorists to provide evidence of financial responsibility
1-16     when requested by a law enforcement officer, when obtaining or
1-17     renewing a license or registration, and for vehicle inspections;
1-18     and
1-19           WHEREAS, Although the law resulted in a sharp decrease in the
1-20     percentage of uninsured motorists immediately after its passage,
1-21     the number increased shortly thereafter, returning close to
1-22     previous levels where it continues to hover today; and
1-23           WHEREAS, The Texas Department of Insurance has estimated that
1-24     between 17 and 26 percent of Texas drivers do not carry the
1-25     necessary vehicle liability insurance as mandated by state law;
1-26     many uninsured drivers cannot afford the costs of liability
1-27     insurance; many are also high-risk drivers who are unable to
1-28     purchase insurance in the standard market; and
1-29           WHEREAS, Many of these motorists circumvent the law by
1-30     producing fraudulent documentation of coverage or canceling a
1-31     policy after using it to get a necessary license, inspection, or
1-32     registration; now, therefore, be it
1-33           RESOLVED, That the 77th Legislature of the State of Texas
1-34     hereby direct the Texas Department of Insurance to initiate an
1-35     interim study in cooperation with key agencies, such as the
1-36     Department of Public Safety of the State of Texas, to research and
1-37     develop an economically feasible insurance verification system that
1-38     will focus on the detection, investigation, and prosecution of
1-39     motorists who falsify a standard proof of motor vehicle liability
1-40     insurance form; and, be it further
1-41           RESOLVED, That this insurance verification system may:
1-42           1.  randomly verify evidence of financial responsibility,
1-43     useful for prosecution under Section 37.01, Penal Code, and Section
1-44     601.080, Transportation Code;
1-45           2.  be practically installed on a progressive basis in all
1-46     applicable counties, municipalities, and jurisdictions;
1-47           3.  be developed under the confidentiality and disclosure
1-48     authorities found under Article 1.10D, Insurance Code, Insurance
1-49     Fraud Unit; and
1-50           4.  develop a technology fund for implementation; and, be it
1-51     further
1-52           RESOLVED, That the Texas Department of Insurance and other
1-53     involved agencies present a complete report of facts and findings
1-54     to the house and senate committees having primary jurisdiction over
1-55     insurance not later than January 1, 2003; and, be it further
1-56           RESOLVED, That the secretary of state forward an official
1-57     copy of this resolution to the commissioner of insurance of the
1-58     Texas Department of Insurance.
1-59                                  * * * * *