Texas Seeks Comments on Proposed Rule Prohibiting Named Driver Policies
The Texas Department of Insurance is accepting comments on a newly posted rule proposal that repeals and amends requirements for the delivery or renewal of named driver automobile policies.
This rule implements HB 259, which passed in 2019 and prohibits Texas automobile insurers from delivering, issuing for delivery, or renewing a named driver policy that was not also an operator’s policy, defined by the bill as a policy that covers the named insured when operating an automobile the insured does not own.
The law was effective Jan. 1, 2020, for new or renewed policies issued on or after that date.
See the web page, Proposed and Adopted Rules for 2020, (https://www.tdi.texas.gov/rules/2020/index.html) for a copy of the draft and instructions for submitting comments.