82R7271 RWG-D
By: Gonzalez H.B. No. 1949
A BILL TO BE ENTITLED
AN ACT
relating to the provision of notice by an insurer to the Department
of Public Safety that a motor vehicle liability insurance policy is
no longer in effect and related driver's license suspensions.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 601.086, Transportation Code, is amended
to read as follows:
Sec. 601.086. [RESPONSE OF] INSURANCE COMPANY NOTICE IF
POLICY NOT IN EFFECT. Not later than the seventh day after the date
a motor vehicle liability insurance policy expires or is
terminated, the [An] insurance company that issued the policy [is
notified by the department of an accident in connection with which
an owner or operator has reported a motor vehicle liability
insurance policy with the company] shall advise the department of
the date on which the [if a] policy expired or was terminated [is
not in effect as reported].
SECTION 2. Section 601.231, Transportation Code, is amended
by adding Subsections (c), (d), and (e) to read as follows:
(c) Except as provided by Subsection (d), on the 14th day
after the date an individual's motor vehicle liability insurance
policy terminates, as indicated in a notice provided to the
department by an insurance company under Section 601.086, the
individual's driver's license is suspended.
(d) An individual's license is not suspended under
Subsection (c) if the individual has provided the department with
evidence of financial responsibility from a source other than the
insurance policy referenced by the notice before the suspension
date prescribed by Subsection (c) or establishes that the
individual is not required to maintain financial responsibility.
(e) The department shall reinstate a license suspended
under Subsection (c) once the individual whose license was
suspended provides the department with evidence of financial
responsibility or establishes that the individual is not required
to maintain financial responsibility.
SECTION 3. This Act takes effect September 1, 2011.