Texas 2019 - 86th Regular

Texas House Bill HB3420 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 3420
	1	+	By: Lambert, Raney (Senate Sponsor - Menéndez) H.B. No. 3420
	2	+	(In the Senate - Received from the House May 6, 2019;
	3	+	May 10, 2019, read first time and referred to Committee on Business &
	4	+	Commerce; May 20, 2019, reported favorably by the following vote:
	5	+	Yeas 9, Nays 0; May 20, 2019, sent to printer.)
	6	+	Click here to see the committee vote
2	7
3	8
	9	+	A BILL TO BE ENTITLED
4	10		AN ACT
5	11		relating to liability coverage for certain vehicles provided by
6	12		certain automobile repair facilities.
7	13		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	14		SECTION 1. Subchapter B, Chapter 1952, Insurance Code, is
9	15		amended by adding Section 1952.060 to read as follows:
10	16		Sec. 1952.060. REQUIRED PROVISION: LIABILITY COVERAGE FOR
11	17		TEMPORARY VEHICLES DURING POLICY TERM; PRIMARY COVERAGE REQUIRED.
12	18		(a) In this section:
13	19		(1) "Repair facility" means a person who rebuilds,
14	20		repairs, or services a motor vehicle for consideration or under a
15	21		warranty, service, or maintenance contract.
16	22		(2) "Resident relative" means an individual who:
17	23		(A) resides in the same household as the insured;
18	24		and
19	25		(B) is related to the insured within the third
20	26		degree of consanguinity or affinity as described by Chapter 573,
21	27		Government Code.
22	28		(3) "Temporary vehicle" includes a vehicle that is
23	29		loaned or provided to an insured by an automobile repair facility
24	30		for the insured's use while the insured's vehicle is at the facility
25		-	for service, repair, maintenance, or damage or to obtain an
26		-	estimate and is:
	31	+	for service, repair, or another reason and is:
27	32		(A) in the lawful possession of the insured or
28	33		resident relative of the insured;
29	34		(B) not owned by the insured, any resident
30	35		relative of the insured, or any other person residing in the
31	36		insured's household; and
32	37		(C) operated by or in the possession of the
33	38		insured or resident relative of the insured until the vehicle is
34	39		returned to the repair facility.
35	40		(b) A personal automobile insurance policy, including a
36	41		policy issued by a county mutual insurance company, must define
37	42		temporary vehicle as defined by this section and include in the
38	43		policy's primary liability coverage primary liability coverage for
39	44		a temporary vehicle as a covered vehicle during the policy term.
40	45		(c) Coverage under this section is required only for a
41	46		vehicle that is:
42	47		(1) a private passenger automobile; or
43	48		(2) a pickup, utility vehicle, or van with a gross
44		-	vehicle weight of 14,000 pounds or less that is not used for the
	49	+	vehicle weight of 25,000 pounds or less that is not used for the
45	50		delivery or transportation of goods, materials, or supplies, other
46	51		than samples, unless:
47	52		(A) the delivery of the goods, materials, or
48	53		supplies is not the primary use for which the vehicle is employed;
49	54		or
50	55		(B) the vehicle is used for farming or ranching.
51	56		(d) The coverage required by this section provides primary
52	57		coverage for the insured's legal liability for bodily injury and
53	58		property damage and for damage to the temporary vehicle, not excess
54	59		coverage. The coverage must insure:
55	60		(1) the person named in the personal automobile
56	61		insurance policy; and
57	62		(2) any resident relative of the insured and licensed
58	63		operator residing in the household except for an individual not
59	64		covered in a "named driver policy" under Section 1952.0545.
60	65		(e) The policy limits of a personal automobile insurance
61	66		policy must be available for the coverage required by this section.
62	67		SECTION 2. The change in law made by this Act applies only
63	68		to a personal automobile insurance policy that is delivered, issued
64	69		for delivery, or renewed on or after January 1, 2020.
65	70		SECTION 3. This Act takes effect September 1, 2019.
66		-	______________________________ ______________________________
67		-	President of the Senate Speaker of the House
68		-	I certify that H.B. No. 3420 was passed by the House on May 3,
69		-	2019, by the following vote: Yeas 129, Nays 13, 1 present, not
70		-	voting; and that the House concurred in Senate amendments to H.B.
71		-	No. 3420 on May 24, 2019, by the following vote: Yeas 130, Nays 11,
72		-	2 present, not voting.
73		-	______________________________
74		-	Chief Clerk of the House
75		-	I certify that H.B. No. 3420 was passed by the Senate, with
76		-	amendments, on May 21, 2019, by the following vote: Yeas 28, Nays
77		-	3.
78		-	______________________________
79		-	Secretary of the Senate
80		-	APPROVED: __________________
81		-	Date
82		-	__________________
83		-	Governor
	71	+	* * * * *