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A BILL TO BE ENTITLED
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AN ACT
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relating to prohibition of certain insurer restrictions regarding |
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repair of a motor vehicle covered under an insurance policy. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 1952.301(a), Insurance Code, is amended |
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to read as follows: |
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(a) Except as provided by rules adopted by the commissioner, |
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under an automobile insurance policy that is delivered, issued for |
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delivery, or renewed in this state, an insurer may not directly or |
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indirectly limit the insurer's coverage under a policy covering |
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damage to a motor vehicle by: |
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(1) specifying the brand, type, kind, age, vendor, |
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supplier, or condition of parts or products that may be used to |
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repair the vehicle; [or] |
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(2) specifying maximum labor charges for the repair of |
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the vehicle; or |
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(3) limiting the beneficiary of the policy to [from] |
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selecting a repair person or facility to repair damage to the |
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vehicle from a list provided to the beneficiary by the insurer. |
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SECTION 2. This Act applies only to an automobile insurance |
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policy delivered, issued for delivery, or renewed on or after |
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January 1, 2008. A policy delivered, issued for delivery, or |
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renewed before January 1, 2008, is governed by the law as it existed |
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immediately before the effective date of this Act, and that law is |
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continued in effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2007. |