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Texas Senate approves auto insurance advisory board

Wednesday, March 30, 2011 - 00:00
Texas state Sen. Mike Jackson, R-Dist. 11, has introduced Senate Bill 944, which would create an automotive insurance advisory board. The bill was filed in the Texas state Senate and referred to the Committee on Business and Commerce. It has passed the committee and the Senate and will now be considered by the House.

The bill would create a small advisory board with members reporting to the state insurance commissioner regarding automotive insurance and repair.

Texas S.B. 944 proposes to add the following to the Insurance Code in Texas.

Sec. 1952.308. ADVISORY COMMITTEE

(a) An advisory committee shall make recommendations to the commissioner regarding:
   (1) the enforcement of this subchapter;
   (2) preventing and penalizing the processing of third-party claims for damage to a motor vehicle in violation of Chapters 541 and 542;
   (3) procedures, parts or products used to repair a motor vehicle;
   (4) rules and procedures related to automobile insurance claims for the costs of towing and storing motor vehicles; and
   (5) any other matter relating to automobile insurance and the repair of motor vehicles.

(b) The advisory committee is composed of nine members appointed by the commissioner as follows:
   (1) three members who represent motor vehicle repair facilities;
   (2) three members who represent the public; and
   (3) three members who represent the automobile insurance industry.

(c) A member of the advisory committee serves without compensation but is entitled to reimbursement for reasonable expenses incurred in attending meetings of the advisory committee.

If the bill becomes law, it is set to take effect Sept. 1, 2011.

To view the text of this bill, visit ASA’s legislative website www.TakingTheHill.com.

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