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A BILL TO BE ENTITLED
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AN ACT
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relating to the potential effect of certain convictions on |
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automobile insurance rates. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 1953.051, Insurance Code, as effective |
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April 1, 2009, is amended to read as follows: |
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Sec. 1953.051. CERTAIN RATING PLANS PROHIBITED. (a) A |
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rating plan regarding the writing of automobile insurance, other |
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than insurance written under Chapter 2151, may [not]: |
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(1) assign a rate consequence to a [charge or] |
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conviction for a violation of Subtitle C, Title 7, Transportation |
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Code; or |
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(2) [otherwise] cause premiums for automobile |
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insurance to be increased because of a [charge or] conviction |
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described by Subdivision (1). |
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(b) The application of Subsection (a) may not result in an |
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adverse rate consequence being assigned to or otherwise cause |
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premiums for automobile insurance to be increased for an insured |
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who does not have a conviction for a violation of Subtitle C, Title |
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7, Transportation Code. |
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SECTION 2. The change in law made by this Act applies only |
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to an automobile insurance policy that is delivered, issued for |
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delivery, or renewed on or after the effective date of this Act. An |
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automobile insurance policy that is delivered, issued for delivery, |
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or renewed before the effective date of this Act is covered by the |
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law in effect at the time the policy was delivered, issued for |
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delivery, or renewed, and that law is continued in effect for that |
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purpose. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2009. |