BILL ANALYSIS

H.B. 4961

By: Gerdes

Judiciary & Civil Jurisprudence

Committee Report (Unamended)

BACKGROUND AND PURPOSE

According to the Texas Department of Motor Vehicles, an estimated 20 percent of Texas drivers are uninsured. However, the bill author has informed the committee that unfair situations may arise under current law with regard to good actors who insure their motor vehicles as required under state law. For example, if an insured driver does not opt in for uninsured motorist coverage, the insured driver can be left without recourse if they are struck by an uninsured driver. The bill author has further informed the committee that if an insured driver is at fault, the damages to an uninsured vehicle or its driver are covered at the cost of the insured driver's insurance and that the uninsured driver can also sue for noneconomic damages, such as pain or suffering. H.B. 4961 seeks to create more parity regarding noneconomic damage liability for a collision with a motorist who failed to establish financial responsibility as required under state law.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 4961 amends the Civil Practice and Remedies Code to prohibit an individual from recovering noneconomic damages for the individual's injury or property damage sustained as a result of a motor vehicle collision for which the individual failed to establish financial responsibility in accordance with the Texas Motor Vehicle Safety Responsibility Act. The bill also prohibits the personal representative of such an individual who died as a result of a motor vehicle collision from recovering noneconomic damages in a wrongful death action brought under statutory provisions governing tort liability for the individual's death.

H.B. 4961 establishes that its provisions relating to liability for noneconomic damages provided by the bill are an exercise of authority under the Texas Constitution's provisions governing the limitation of liability for noneconomic damages and take effect only if the bill receives a vote of three-fifths of all the members elected to each house. The bill applies only to a cause of action that accrues on or after the bill's effective date.

EFFECTIVE DATE

September 1, 2025.