79R12833 JD-D
By: Phillips H.B. No. 2893
Substitute the following for H.B. No. 2893:
By: Krusee C.S.H.B. No. 2893
A BILL TO BE ENTITLED
AN ACT
relating to a motor vehicle liability insurance compliance program;
providing civil and criminal penalties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 601, Transportation Code, is amended by
adding Subchapter N to read as follows:
SUBCHAPTER N. MOTOR VEHICLE LIABILITY INSURANCE COMPLIANCE PROGRAM
Sec. 601.501. ESTABLISHMENT OF PROGRAM. (a) The
department shall establish a motor vehicle liability insurance
compliance program.
(b) In establishing the program, the department may request
and obtain advice and assistance from any other agency of this or
another state, including the Texas Department of Insurance and the
Texas Department of Transportation.
(c) The department may contract with one or more public or
private entities to administer the program.
Sec. 601.502. REPORTING REQUIREMENTS. (a) The motor
vehicle liability insurance compliance program shall require that,
on or after the effective date of this subchapter, when an insurance
company authorized to write motor vehicle liability insurance in
this state or its designated agent issues or renews a motor vehicle
liability insurance policy that provides the minimum coverages
required by this chapter to a person who is required to maintain
insurance under this chapter and who is the holder of a Texas
driver's license or a Texas commercial driver's license, or
terminates or cancels such a policy, the insurance company or its
designated agent shall furnish to the department or administering
entity the following information:
(1) the insurance policy number;
(2) the effective date of the policy;
(3) the make, model, license plate number, and vehicle
identification number of each vehicle covered by the policy; and
(4) any other information reasonably required by the
department.
(b) The required information relating to an insurance
policy that is issued or renewed shall be provided to the department
or administering entity not later than the third business day after
the date of issuance or renewal.
(c) The required information relating to an insurance
policy that is terminated or canceled shall be provided to the
department before the effective date of the termination or
cancellation.
Sec. 601.503. ELECTRONIC REPORTING. (a) Each insurance
company or its designated agent shall provide information required
under Section 601.502 through an electronic system in the format
specified by the department or administering entity.
(b) The format specified by the department or administering
entity under Subsection (a) should be compatible with insurance
industry standards. The format must allow the information to be
submitted individually or in bulk.
(c) Any proprietary information provided by an insurance
company or an agent under this section remains the property of the
insurance company or the agent.
Sec. 601.504. COMPUTER DATABASE. From the information
provided by insurance companies or their designated agents under
this subchapter, the department or administering entity shall
develop and maintain a computer database to be used in the
administration and enforcement of this subchapter.
Sec. 601.505. CONFIDENTIALITY OF INFORMATION. (a)
Information in the computer database is confidential and not
subject to required public disclosure under Chapter 552, Government
Code.
(b) The department or administering entity shall develop
procedures to enable law enforcement officers, and other state or
local governmental entities that enforce this Act, to have access
to the information in the computer database. The department or
administering entity shall maintain the confidentiality of the
information in making information available to other entities
authorized to receive the information. The department may provide
for direct access to the information in the computer database and
may establish and maintain a toll-free telephone number that
provides access to that information.
(c) For the purpose of verifying that financial
responsibility has been established for a motor vehicle, the
procedures developed under Subsection (b) must provide that
information in the computer database may be readily accessed at all
times by:
(1) a driver's license office, in connection with an
application under Chapter 521 or 522 for an original, renewal, or
duplicate driver's license or commercial driver's license;
(2) a county tax assessor-collector or a full-service
or limited purpose deputy, in connection with an application under
Chapter 502 for an original or renewal registration of a motor
vehicle;
(3) an inspector, in connection with an inspection of
a vehicle under Chapter 548; and
(4) any peace officer of this state, in connection
with the enforcement of this chapter.
(d) The department or administering entity shall
periodically update the database to identify new insurance policies
and to determine whether previous insurance policies are still in
effect.
(e) A person commits an offense if the person:
(1) discloses information in the computer database to
a person who is not authorized to receive the information; or
(2) permits a person described by Subdivision (1) to
view, read, or copy the information.
(f) An offense under Subsection (e) is a state jail felony.
Sec. 601.506. CERTAIN FEES AND CHARGES PROHIBITED. An
insurance company or designated agent subject to the motor vehicle
liability insurance compliance program may not assess or collect
from the policyholder of a motor vehicle liability insurance policy
subject to this section a charge or fee because the company or agent
is required to comply with any part of the program.
SECTION 2. This Act takes effect September 1, 2005.