In an effort to boost funding for trauma care centers throughout the state, the Texas Legislature passed House Bill 2048, doubling its motor vehicle assessment fee. The new law, signed in June, amends Tex. Rev. Civ. Stat. Art. 4413(37) to increase an insurer’s assessment from $2 to $4 per motor vehicle.
Taking effect on September 1, insurers may choose to pass the fee onto policyholders, but the Department of Insurance will require insurers that decide to pass on any of the fee to submit a rate and rule filing. Of the increased assessment, 20% will be directed towards vehicle theft prevention, 20% will go to the general fund, and the remainder benefits Texas trauma facilities and emergency medical services.
For any questions about Texas House Bill 2048, or for inquiries regarding assessments, licensing and contracting, please contact Westmont Associates.