Texas House Bill HB31

Texas 2009 - 81st Regular

• Filed: 11/10/08

Caption

Relating to the amount of liability insurance required to be maintained on certain buses owned by a motor carrier.

Impact

The implementation of HB31 is likely to significantly raise the financial responsibilities of motor carriers involved in the transportation of large groups of passengers. By establishing a high minimum threshold for liability insurance, the bill seeks to ensure that in the event of an accident or incident, there will be sufficient funds available to cover damages to passengers and property. This increased insurance requirement is expected to promote greater accountability among motor carriers, potentially leading to improved safety standards in passenger transportation.

Summary

House Bill 31 aims to revise the liability insurance requirements for certain buses owned by motor carriers in Texas. It mandates that any bus designed or used to transport 26 or more passengers must maintain a minimum liability insurance coverage of at least $10 million. This amendment to the Transportation Code is intended to enhance the safety measures associated with public transportation and ensure that adequately insured vehicles are operating on Texas roads.

Contention

While supporters of the bill argue that the higher insurance requirements are essential for protecting passengers and promoting safety, some stakeholders, including certain motor carriers, may view the increased financial burden as excessive. There could be concerns regarding the feasibility of securing such high insurance premiums, especially for smaller carriers or those operating on tighter budgets. Furthermore, the bill has sparked discussions about balancing safety with the economic impacts on transportation providers, particularly in a competitive business environment.