1 | 1 | | By: Carona S.B. No. 1097 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | A BILL TO BE ENTITLED |
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5 | 5 | | AN ACT |
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6 | 6 | | relating to the establishment and determination of financial |
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7 | 7 | | responsibility for a motor vehicle; providing a penalty. |
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8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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9 | 9 | | SECTION 1. Subsection (a), Section 601.052, Transportation |
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10 | 10 | | Code, is amended to read as follows: |
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11 | 11 | | (a) Section 601.051 does not apply to: |
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12 | 12 | | (1) the operation of a motor vehicle that: |
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13 | 13 | | (A) is a former military vehicle or is at least 25 |
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14 | 14 | | years old; |
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15 | 15 | | (B) is used only for exhibitions, club |
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16 | 16 | | activities, parades, and other functions of public interest and not |
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17 | 17 | | for regular transportation; and |
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18 | 18 | | (C) for which the owner files with the Texas |
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19 | 19 | | Department of Insurance [department] an affidavit, signed by the |
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20 | 20 | | owner, stating that the vehicle is a collector's item and used only |
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21 | 21 | | as described by Paragraph (B); |
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22 | 22 | | (2) the operation of a golf cart not required to be |
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23 | 23 | | registered under Section 502.0071 [502.284]; or |
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24 | 24 | | (3) a volunteer fire department for the operation of a |
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25 | 25 | | motor vehicle the title of which is held in the name of a volunteer |
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26 | 26 | | fire department. |
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27 | 27 | | SECTION 2. Section 601.053, Transportation Code, is amended |
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28 | 28 | | by amending Subsection (b) and adding Subsection (c) to read as |
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29 | 29 | | follows: |
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30 | 30 | | (b) Except as provided by Subsection (c), an [An] operator |
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31 | 31 | | who does not exhibit evidence of financial responsibility under |
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32 | 32 | | Subsection (a) is presumed to have operated the vehicle in |
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33 | 33 | | violation of Section 601.051. |
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34 | 34 | | (c) Subsection (b) does not apply if the peace officer |
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35 | 35 | | determines through use of the verification program established |
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36 | 36 | | under Subchapter N that financial responsibility has been |
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37 | 37 | | established for the vehicle. |
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38 | 38 | | SECTION 3. Subsections (a), (d), and (e), Section 601.121, |
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39 | 39 | | Transportation Code, are amended to read as follows: |
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40 | 40 | | (a) A person may establish financial responsibility by |
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41 | 41 | | filing with the Texas Department of Insurance [department] a bond: |
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42 | 42 | | (1) with at least two individual sureties, each of |
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43 | 43 | | whom owns real property in this state that is not exempt from |
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44 | 44 | | execution under the constitution or laws of this state; |
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45 | 45 | | (2) conditioned for payment in the amounts and under |
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46 | 46 | | the same circumstances as required under a motor vehicle liability |
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47 | 47 | | insurance policy; |
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48 | 48 | | (3) that is not cancelable before the sixth day after |
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49 | 49 | | the date that [the] department receives written notice of the |
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50 | 50 | | cancellation; and |
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51 | 51 | | (4) [accompanied by the fee required by Subsection |
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52 | 52 | | (e); and |
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53 | 53 | | [(5)] approved by that [the] department. |
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54 | 54 | | (d) On filing of a bond, the Texas Department of Insurance |
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55 | 55 | | [department] shall issue to the person who filed the bond a |
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56 | 56 | | certificate of compliance with this section. |
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57 | 57 | | (e) The Texas Department of Insurance [department] shall |
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58 | 58 | | file notice of the bond in the office of the county clerk of the |
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59 | 59 | | county in which the real property is located. The notice must |
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60 | 60 | | include a description of the property described in the bond. The |
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61 | 61 | | county clerk or the county clerk's deputy, on receipt of the notice, |
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62 | 62 | | shall acknowledge the notice and record it in the lien records. The |
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63 | 63 | | recording of the notice is notice in accordance with statutes |
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64 | 64 | | governing the recordation of a lien on real property. |
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65 | 65 | | SECTION 4. Subsection (c), Section 601.122, Transportation |
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66 | 66 | | Code, is amended to read as follows: |
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67 | 67 | | (c) The comptroller may not accept the deposit and the Texas |
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68 | 68 | | Department of Insurance [department] may not accept the certificate |
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69 | 69 | | unless the deposit or certificate is accompanied by evidence that |
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70 | 70 | | an unsatisfied judgment of any character against the person making |
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71 | 71 | | the deposit does not exist in the county in which the person making |
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72 | 72 | | the deposit resides. |
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73 | 73 | | SECTION 5. Subsection (c), Section 601.123, Transportation |
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74 | 74 | | Code, is amended to read as follows: |
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75 | 75 | | (c) On receipt of the deposit, the county judge shall issue |
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76 | 76 | | to the person making the deposit a certificate stating that a |
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77 | 77 | | deposit complying with this section has been made. The certificate |
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78 | 78 | | must be acknowledged by the sheriff of that county and filed with |
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79 | 79 | | the Texas Department of Insurance [department]. |
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80 | 80 | | SECTION 6. Subsections (a), (b), and (d), Section 601.124, |
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81 | 81 | | Transportation Code, are amended to read as follows: |
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82 | 82 | | (a) A person in whose name more than 25 motor vehicles are |
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83 | 83 | | registered may qualify as a self-insurer by obtaining a certificate |
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84 | 84 | | of self-insurance issued by the Texas Department of Insurance |
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85 | 85 | | [department] as provided by this section. |
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86 | 86 | | (b) The Texas Department of Insurance [department] may |
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87 | 87 | | issue a certificate of self-insurance to a person if: |
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88 | 88 | | (1) the person applies for the certificate; and |
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89 | 89 | | (2) that [the] department is satisfied that the person |
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90 | 90 | | has and will continue to have the ability to pay judgments obtained |
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91 | 91 | | against the person. |
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92 | 92 | | (d) The Texas Department of Insurance [department] for |
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93 | 93 | | cause may cancel a certificate of self-insurance after a hearing. |
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94 | 94 | | The self-insurer must receive at least five days' notice of the |
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95 | 95 | | hearing. Cause includes failure to pay a judgment before the 31st |
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96 | 96 | | day after the date the judgment becomes final. |
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97 | 97 | | SECTION 7. Subchapter N, Chapter 601, Transportation Code, |
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98 | 98 | | as added by Chapter 892 (S.B. 1670), Acts of the 79th Legislature, |
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99 | 99 | | Regular Session, 2005, is amended by adding Sections 601.455 and |
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100 | 100 | | 601.456 to read as follows: |
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101 | 101 | | Sec. 601.455. EVIDENCE OF FINANCIAL RESPONSIBILITY |
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102 | 102 | | PROVIDED BY ALTERNATE METHOD. The Texas Department of Insurance |
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103 | 103 | | shall provide the agent selected under Section 601.453 of this |
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104 | 104 | | subchapter with information regarding financial responsibility |
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105 | 105 | | that is established under Section 601.121, 601.122, 601.123, or |
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106 | 106 | | 601.124 as necessary for the agent to carry out this subchapter, |
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107 | 107 | | subject to the agent's contract with the implementing agencies and |
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108 | 108 | | rules adopted under this subchapter. |
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109 | 109 | | Sec. 601.456. CONFIDENTIALITY OF INFORMATION; PENALTY. |
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110 | 110 | | (a) Except as otherwise provided by this subchapter or another law |
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111 | 111 | | of this state, information obtained by the agent under this |
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112 | 112 | | subchapter is confidential. The agent may use the information only |
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113 | 113 | | as authorized under this subchapter and is prohibited from using |
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114 | 114 | | the information for a commercial purpose. |
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115 | 115 | | (b) A person commits an offense if the person knowingly |
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116 | 116 | | discloses or uses information obtained under this subchapter for a |
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117 | 117 | | purpose that is not authorized under this subchapter or another law |
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118 | 118 | | of this state. |
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119 | 119 | | (c) An offense under this section is a Class B misdemeanor. |
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120 | 120 | | SECTION 8. This Act takes effect September 1, 2009. |
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