TX
Texas House Bill HB2039

Texas 2023 - 88th Regular

Texas House Bill HB2039 Compare Versions

OldNewDifferences
11 88R9273 SCL-D
22 By: Hull H.B. No. 2039
33
44
55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to automobile liability insurance for digital network
88 company drivers.
99 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1010 SECTION 1. The heading to Chapter 1954, Insurance Code, is
1111 amended to read as follows:
1212 CHAPTER 1954. INSURANCE FOR DIGITAL [TRANSPORTATION] NETWORK
1313 COMPANY DRIVERS
1414 SECTION 2. Section 1954.001, Insurance Code, is amended to
1515 read as follows:
1616 Sec. 1954.001. DEFINITIONS. In this chapter:
1717 (1) "Delivery available period" means the period when
1818 a driver:
1919 (A) has logged on to a digital network and is
2020 available to receive requests to provide delivery services from a
2121 delivery network company;
2222 (B) is operating a personal vehicle; and
2323 (C) is not providing delivery services or
2424 operating in the delivery service period.
2525 (2) "Delivery network company" means a corporation,
2626 partnership, sole proprietorship, or other entity operating in this
2727 state that uses a digital network to connect a delivery network
2828 company customer to a delivery network company driver to provide
2929 delivery services.
3030 (3) "Delivery network company customer" means a person
3131 who orders the delivery of goods that are delivered by a delivery
3232 network company driver at the direction of the person.
3333 (4) "Delivery network company driver" means an
3434 individual who provides delivery services through a delivery
3535 network company's digital network using a personal vehicle.
3636 (5) "Delivery service period" means the period:
3737 (A) beginning when a delivery network company
3838 driver begins operating a personal vehicle on the way to pick up
3939 goods for a delivery or series of deliveries as documented through a
4040 digital network controlled by a delivery network company;
4141 (B) continuing while the driver transports the
4242 requested goods; and
4343 (C) ending on delivery of the requested goods to:
4444 (i) the delivery network company customer
4545 or the last customer in a series of deliveries;
4646 (ii) a location designated by the customer
4747 or arrival at the last location designated in a series of
4848 deliveries; or
4949 (iii) a location designated by the company,
5050 including for purposes of returning the goods.
5151 (6) "Delivery services" means the fulfillment of
5252 delivery requests made by a delivery network company customer
5353 through a digital network, including the pickup and delivery of
5454 goods. The term includes a series of deliveries to different
5555 customers or to different locations at the direction of a customer.
5656 (7) "Digital network" means any online-enabled
5757 application, software, website, or system offered or used by a
5858 digital [transportation] network company that enables:
5959 (A) a prearranged ride with a transportation
6060 network company driver; or
6161 (B) delivery services from a delivery network
6262 company driver.
6363 (8) "Digital network company" means a delivery network
6464 company or transportation network company.
6565 (9) "Digital network company driver" means a delivery
6666 network company driver or transportation network company driver.
6767 (10) [(2)] "Personal vehicle" means a vehicle that is
6868 used by a digital [transportation] network company driver and is:
6969 (A) owned, leased, or otherwise authorized for
7070 use by the driver; and
7171 (B) not a taxicab, limousine, or similar for-hire
7272 vehicle.
7373 (11) [(3)] "Prearranged ride" means transportation
7474 provided by a transportation network company driver to a
7575 transportation network company rider, beginning at the time a
7676 driver accepts a ride requested by a rider through a digital network
7777 controlled by a transportation network company and ending at the
7878 time the last requesting rider departs from the driver's personal
7979 vehicle. The term does not include:
8080 (A) a shared expense carpool or vanpool
8181 arrangement or service; or
8282 (B) transportation provided using a taxicab,
8383 limousine, or similar for-hire vehicle.
8484 (12) [(4)] "Transportation network company" means a
8585 corporation, partnership, sole proprietorship, or other entity
8686 operating in this state that uses a digital network to connect a
8787 transportation network company rider to a transportation network
8888 company driver for a prearranged ride.
8989 (13) [(5)] "Transportation network company driver"
9090 means an individual who:
9191 (A) receives connections to potential
9292 transportation network company riders and related services from a
9393 transportation network company in exchange for payment of a fee to
9494 the company; and
9595 (B) uses a personal vehicle to offer or provide a
9696 prearranged ride to a transportation network company rider on
9797 connection with the rider through a digital network controlled by
9898 the company in exchange for compensation or payment of a fee.
9999 (14) [(6)] "Transportation network company rider"
100100 means an individual who uses a transportation network company's
101101 digital network to connect with a transportation network company
102102 driver who provides a prearranged ride to the individual in the
103103 driver's personal vehicle between points chosen by the individual.
104104 SECTION 3. Subchapter A, Chapter 1954, Insurance Code, is
105105 amended by adding Sections 1954.003 and 1954.004 to read as
106106 follows:
107107 Sec. 1954.003. APPLICABILITY OF OTHER LAW. This chapter
108108 does not limit the scope of federal or state law regarding delivery
109109 or transport of goods. A person providing a delivery service that is
110110 subject to other law shall comply with the other law. In the event
111111 of a conflict between this chapter and the other law, the other law
112112 prevails.
113113 Sec. 1954.004. CONSTRUCTION OF CHAPTER. This chapter may
114114 not be construed to invalidate, limit, or restrict:
115115 (1) an automobile insurer's ability under the law to
116116 write an insurance policy; or
117117 (2) an automobile insurer's ability under the law to
118118 cancel or not renew an insurance policy.
119119 SECTION 4. Section 1954.051, Insurance Code, is amended by
120120 amending Subsections (a) and (d) and adding Subsection (b-1) to
121121 read as follows:
122122 (a) A digital [transportation] network company driver or
123123 digital [transportation] network company on the driver's behalf
124124 shall maintain primary automobile insurance as required by this
125125 subchapter.
126126 (b-1) Insurance maintained under this subchapter must allow
127127 a delivery network company driver to use a personal vehicle to
128128 provide delivery services for compensation and cover the driver
129129 during the delivery available period, if applicable, and delivery
130130 service period.
131131 (d) The coverage requirements of this subchapter may be
132132 satisfied by:
133133 (1) automobile insurance maintained by the digital
134134 [transportation] network company driver;
135135 (2) automobile insurance maintained by the digital
136136 [transportation] network company; or
137137 (3) a combination of Subdivisions (1) and (2).
138138 SECTION 5. Subchapter B, Chapter 1954, Insurance Code, is
139139 amended by adding Section 1954.0535 to read as follows:
140140 Sec. 1954.0535. INSURANCE REQUIREMENTS: DELIVERY AVAILABLE
141141 PERIOD AND DELIVERY SERVICE PERIOD. During the delivery available
142142 period and delivery service period, the automobile insurance policy
143143 must provide:
144144 (1) the following minimum amounts of liability
145145 insurance coverage:
146146 (A) $50,000 for bodily injury to or death of each
147147 person in an incident;
148148 (B) $100,000 for bodily injury to or death of a
149149 person per incident; and
150150 (C) $25,000 for damage to or destruction of
151151 property of others in an incident;
152152 (2) uninsured or underinsured motorist coverage where
153153 required by Section 1952.101; and
154154 (3) personal injury protection coverage where
155155 required by Section 1952.152.
156156 SECTION 6. Sections 1954.054 and 1954.055, Insurance Code,
157157 are amended to read as follows:
158158 Sec. 1954.054. LAPSE OF OR INSUFFICIENT COVERAGE. If an
159159 insurance policy maintained by a digital [transportation] network
160160 company driver under this subchapter has lapsed or does not provide
161161 the coverage required by this subchapter, the digital
162162 [transportation] network company shall provide the coverage
163163 required by this subchapter beginning with the first dollar of a
164164 claim against the driver.
165165 Sec. 1954.055. RELATION TO PERSONAL AUTOMOBILE
166166 INSURANCE. Coverage under an automobile insurance policy
167167 maintained by a digital [the transportation] network company is not
168168 contingent on a digital [transportation] network company driver's
169169 personal automobile insurer initially denying a claim.
170170 SECTION 7. Section 1954.056(b), Insurance Code, is amended
171171 to read as follows:
172172 (b) A digital [transportation] network company driver shall
173173 carry proof of insurance that satisfies Sections 1954.052 and
174174 1954.053 or Section 1954.0535, as applicable, with the driver when
175175 the driver uses a vehicle in connection with a digital
176176 [transportation] network company's digital network. In the event
177177 of an accident, a driver shall provide the proof of insurance to a
178178 directly interested person, automobile insurer, and investigating
179179 peace officer on request under Section 601.053, Transportation
180180 Code. On request, a driver shall also disclose to a directly
181181 interested person, automobile insurer, and investigating peace
182182 officer whether, at the time of the accident, the driver was, as
183183 applicable:
184184 (1) logged on to the transportation network company's
185185 digital network[;] or
186186 [(2)] engaged in a prearranged ride; or
187187 (2) logged on to the delivery network company's
188188 digital network during a delivery available period or delivery
189189 service period.
190190 SECTION 8. The heading to Subchapter C, Chapter 1954,
191191 Insurance Code, is amended to read as follows:
192192 SUBCHAPTER C. RELATIONSHIP BETWEEN DIGITAL [TRANSPORTATION]
193193 NETWORK COMPANY AND DIGITAL [TRANSPORTATION] NETWORK COMPANY
194194 DRIVER
195195 SECTION 9. Sections 1954.101 and 1954.102, Insurance Code,
196196 are amended to read as follows:
197197 Sec. 1954.101. REQUIRED DISCLOSURES. Before a digital
198198 [transportation] network company driver may accept a request for a
199199 prearranged ride or delivery services on a digital [transportation]
200200 network company's digital network, the company shall disclose in
201201 writing the following:
202202 (1) the insurance policy, including the types of
203203 coverage and the limits for the policy, that the company provides
204204 while a driver uses a personal vehicle in connection with the
205205 company's digital network; and
206206 (2) that the driver's personal automobile insurance
207207 policy may not provide coverage, depending on the policy's terms,
208208 while the driver is logged on to, as applicable:
209209 (A) the transportation network company's digital
210210 network and is available to receive transportation requests or is
211211 engaged in a prearranged ride; or
212212 (B) the delivery network company's digital
213213 network during the delivery available period or delivery service
214214 period.
215215 Sec. 1954.102. CONTROL OF DIGITAL [TRANSPORTATION] NETWORK
216216 COMPANY DRIVERS. A digital [transportation] network company does
217217 not control, direct, or manage a personal vehicle or a digital
218218 [transportation] network company driver who connects to the
219219 company's digital network except as agreed by written contract.
220220 SECTION 10. Section 1954.151(a), Insurance Code, is amended
221221 to read as follows:
222222 (a) An insurer may exclude from coverage under a personal
223223 automobile insurance policy issued to an owner or operator of a
224224 personal vehicle any loss or injury that occurs while a digital
225225 [transportation] network company driver using the personal
226226 vehicle, as applicable:
227227 (1) is logged on to a transportation network company's
228228 digital network [;] or
229229 [(2)] is engaged in a prearranged ride; or
230230 (2) is logged on to a delivery network company's
231231 digital network during a delivery available period or delivery
232232 service period.
233233 SECTION 11. Section 1954.152(a), Insurance Code, is amended
234234 to read as follows:
235235 (a) This subchapter does not require a personal automobile
236236 insurance policy to cover a digital [transportation] network
237237 company driver while:
238238 (1) the driver is logged on to a transportation
239239 network company's digital network;
240240 (2) the driver is engaged in a prearranged ride; [or]
241241 (3) the driver is logged on to a delivery network
242242 company's digital network during a delivery available period or
243243 delivery service period; or
244244 (4) the driver otherwise uses a vehicle to transport
245245 passengers for compensation.
246246 SECTION 12. Section 1954.153(b), Insurance Code, is amended
247247 to read as follows:
248248 (b) An automobile insurer that defends or indemnifies a
249249 claim against a digital [transportation] network company driver for
250250 which coverage is excluded under the terms of the policy as
251251 authorized by this subchapter has a right of contribution against
252252 another insurer that provides automobile insurance to the driver in
253253 satisfaction of the coverage requirements under Section 1954.052,
254254 [or] 1954.053, or 1954.0535, as applicable.
255255 SECTION 13. Sections 1954.154 and 1954.155, Insurance Code,
256256 are amended to read as follows:
257257 Sec. 1954.154. ASSISTANCE IN CLAIM INVESTIGATION. In an
258258 insurance claim investigation, a digital [transportation] network
259259 company and any insurer providing coverage under Subchapter B shall
260260 assist each insurer involved in the claim by providing information
261261 to directly interested persons and an insurer of the digital
262262 [transportation] network company driver. Information provided
263263 under this section must include:
264264 (1) the precise times that, as applicable:
265265 (A) a driver logged on and off of the
266266 transportation network company's digital network in the 12-hour
267267 period immediately preceding and the 12-hour period immediately
268268 following the accident; or
269269 (B) a driver began and ended the delivery
270270 available period and delivery service period on the delivery
271271 network company's digital network in the 12-hour period immediately
272272 preceding and the 12-hour period immediately following the
273273 accident; and
274274 (2) a clear description of the coverage, exclusions,
275275 and limits provided under an automobile insurance policy maintained
276276 under Subchapter B.
277277 Sec. 1954.155. PAYMENT OF CERTAIN CLAIMS. If there is a
278278 lien on a personal vehicle and the digital [transportation] network
279279 company's insurer covers a claim arising out of an incident that
280280 occurred during a prearranged ride or delivery available period or
281281 delivery service period, as applicable, the insurer shall issue
282282 payment for the claim:
283283 (1) directly to the person who is repairing the
284284 vehicle; or
285285 (2) jointly to the owner of the personal vehicle and
286286 the primary lienholder.
287287 SECTION 14. This Act takes effect January 1, 2024.