HBA-RBT H.B. 72 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 72 By: Chavez Insurance 2/8/1999 Introduced BACKGROUND AND PURPOSE Currently, a person must present proof of insurance to obtain or renew a driver's license or register a vehicle. Some individuals cancel the insurance policy after receiving a license or registration. H.B. 72 requires the insurance company to report a policy cancellation to the Department of Public Safety, which will then suspend the person's driver's license. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 502.153, Transportation Code, by adding Subsection (j), as follows: (j) Requires insurance companies to report an auto liability policy that has been canceled or has expired to the Texas Department of Public Safety (department). Provides that the department will then suspend the owner's driver's license until the policy is reinstated and proof of financial responsibility for the registered vehicle can be verified. SECTION 2. Effective date: September 1, 1999. SECTION 3. Emergency clause.