H.B. No. 2879




AN ACT
relating to requirements for certain amusement rides. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter C, Chapter 2151, Occupations Code, is amended by adding Section 2151.107 to read as follows: Sec. 2151.107. EXCEPTION FOR CERTAIN CHALLENGE COURSES MEETING INSURANCE REQUIREMENT. (a) In this section, "challenge course" means a challenge, ropes, team building, or obstacle course, which may include logs, tires, platforms, beams, bridges, poles, ropes, ladders, nets, climbing walls, rock climbing walls, climbing towers, traverses, rock climbing devices, cables, swings, or zip lines, that is constructed and used for educational, team and confidence building, or physical fitness purposes. (b) A challenge course or any part of a challenge course is not considered an amusement ride subject to regulation under this chapter if the person who operates the challenge course has a combined single limit or split limit insurance policy currently in effect written by an insurance company authorized to do business in this state or by a surplus lines insurer, as defined by Chapter 981, Insurance Code, or has an independently procured policy subject to Chapter 101, Insurance Code, insuring the operator against liability for injury to persons arising out of the use of the challenge course in an amount of at least: (1) for a challenge course with a fixed location: (A) $100,000 bodily injury and $50,000 property damage per occurrence with a $300,000 annual aggregate; or (B) a $150,000 per occurrence combined single limit with a $300,000 annual aggregate; and (2) for a challenge course other than one with a fixed location: (A) $1,000,000 bodily injury and $500,000 property damage per occurrence; or (B) $1,500,000 per occurrence combined single limit. SECTION 2. Section 2151.101(a), Occupations Code, is amended to read as follows: (a) A person may not operate an amusement ride unless the person: (1) has had the amusement ride inspected at least once a year by an insurer or a person with whom the insurer has contracted; (2) obtains a written certificate from the insurer or person with whom the insurer has contracted stating that the amusement ride: (A) has been inspected; (B) meets the standards for insurance coverage; and (C) is covered by the insurance required by Subdivision (3); (3) has a combined single limit or split limit [an] insurance policy currently in effect written by an insurance company authorized to do business in this state or by a surplus lines insurer, as defined by Chapter 981, Insurance Code, or has an independently procured policy subject to Chapter 101, Insurance Code, insuring the owner or operator against liability for injury to persons arising out of the use of the amusement ride in an amount of not less than: (A) for Class A amusement rides: (i) $100,000 bodily injury and $50,000 property damage per occurrence with a $300,000 annual aggregate; or (ii) a $150,000 per occurrence combined single limit with a $300,000 annual aggregate [for Class A amusement rides]; and (B) for Class B amusement rides: (i) $1,000,000 bodily injury and $500,000 property damage per occurrence; or (ii) $1,500,000 per occurrence combined single limit [for Class B amusement rides]; (4) files with the commissioner, as required by this chapter, the inspection certificate and the insurance policy or a photocopy of the certificate or policy authorized by the commissioner; and (5) files with each sponsor, lessor, landowner, or other person responsible for the amusement ride being offered for use by the public a photocopy of the inspection certificate and the insurance policy required by this subsection. SECTION 3. This Act applies only to an insurance policy, certificate, or contract delivered, issued for delivery, or renewed on or after January 1, 2006. A policy, certificate, or contract delivered, issued for delivery, or renewed before January 1, 2006, 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 4. This Act takes effect September 1, 2005. ______________________________ ______________________________ President of the Senate Speaker of the House I certify that H.B. No. 2879 was passed by the House on May 10, 2005, by a non-record vote. ______________________________ Chief Clerk of the House I certify that H.B. No. 2879 was passed by the Senate on May 25, 2005, by the following vote: Yeas 31, Nays 0. ______________________________ Secretary of the Senate APPROVED: _____________________ Date _____________________ Governor