Amend CSSB 14 by adding the following new SECTIONS to the
bill, numbered appropriately, and renumbering the existing
SECTIONS of the bill appropriately:
SECTION ___. Subchapter E, Chapter 21, Insurance Code, is
amended by adding Article 21.79H to read as follows:
Art. 21.79H. RECOVERY OF CERTAIN COSTS FROM THIRD PARTY.
(a) This article applies to any insurer who delivers, issues for
delivery, or renews a private passenger automobile policy of
insurance in this state, including an exchange operating under
Chapter 942, or a mutual, reciprocal, association, Lloyd's plan, or
other insurer.
(b) In this article, "brings an action" has the meaning
described by Article 21.79G(e) of this code.
(c) An insurer that brings an action against a responsible
third party or that party's insurer relating to a loss covered under
a private passenger automobile insurance policy is entitled to
recover, in addition to payments made by the insurer or insured, the
costs of bringing the action, including reasonable attorney's fees
and court costs.
SECTION ___. Article 5.06-3, Insurance Code, is amended by
amending Subsection (c) and adding Subsection (i) to read as
follows:
(c) The benefits required by this Act shall be payable
without regard to the fault or non-fault of the named insured or the
recipient in causing or contributing to the accident, and without
regard to any collateral source of medical, hospital, or wage
continuation benefits. Except as provided by Subsection (i) of
this article, an [An] insurer paying benefits pursuant to this Act
shall have no right of subrogation and no claim against any other
person or insurer to recover any such benefits by reason of the
alleged fault of such other person in causing or contributing to the
accident.
(i) An insurer paying benefits pursuant to this Act,
including a county mutual insurance company, shall have a right of
subrogation and a claim against a person causing or contributing to
the accident if, on the date of loss, financial responsibility as
required by Chapter 601, Transportation Code, has not been
established for a motor vehicle involved in the accident and
operated by that person or the motor vehicle operated by that person
was insured by an insurer not authorized to engage in business in
this state.
SECTION ___. Article 21.79H, Insurance Code, as added by
this Act, applies only to an action commenced on or after January 1,
2004. An action commenced before that date is governed by the law
as it existed immediately before the effective date of this Act, and
that law is continued in effect for that purpose.
SECTION ___. The change in law made by this Act to Article
5.06-3, Insurance Code, applies only to an insurance policy
delivered, issued for delivery, or renewed on or after January 1,
2004. A policy delivered, issued for delivery, or renewed before
January 1, 2004, is governed by the law as it existed immediately
before the effective date of this Act, and that law is continued in
effect for that purpose.