84R22029 JTS-F
	By: Paddie, Larson, Kuempel,	H.B. No. 2440
	Rodriguez of Bexar, Fletcher, et al.
	Substitute the following for H.B. No. 2440:
	By:  Pickett	C.S.H.B. No. 2440

	A BILL TO BE ENTITLED
	AN ACT
	relating to transportation network companies; imposing and
	authorizing fees; requiring an occupational permit; authorizing a
	civil penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subtitle C, Title 14, Occupations Code, is
	amended by adding Chapter 2402 to read as follows:
	CHAPTER 2402. TRANSPORTATION NETWORK COMPANIES
	SUBCHAPTER A. GENERAL PROVISIONS
	Sec. 2402.001.  DEFINITIONS. In this chapter:
	(1)  "Board" means the board of the department.
	(2)  "Department" means the Texas Department of Motor
	Vehicles.
	(3)  "Digital network" means any online-enabled
	application, software, website, or system offered or used by a
	transportation network company that enables the prearrangement of a
	ride with a transportation network driver.
	(4)  "Personal vehicle" means a vehicle that is used by
	a transportation network driver and is:
	(A)  owned, leased, or otherwise authorized for
	use by the driver; and
	(B)  not a taxicab, limousine, or similar for-hire
	vehicle.
	(5)  "Transportation network company" means a
	corporation, partnership, sole proprietorship, or other entity
	operating in this state that uses a digital network to connect a
	transportation network rider to transportation network services
	provided by a transportation network driver.  The term does not
	include an entity arranging nonemergency medical transportation
	under a contract with the state or a managed care organization for
	individuals qualifying for Medicaid or Medicare.
	(6)  "Transportation network driver" means an
	individual who:
	(A)  receives connections to potential
	transportation network riders and related services from a
	transportation network company in exchange for payment of a fee to
	the company; and
	(B)  uses a personal vehicle to offer or provide
	transportation network services to a transportation network rider
	on connection with the rider through a digital network controlled
	by the company in exchange for compensation or payment of a fee.
	(7)  "Transportation network rider" means an
	individual who uses a transportation network company's digital
	network to connect with a transportation network driver who
	provides transportation network services to the individual in the
	driver's personal vehicle between points chosen by the individual.
	(8)  "Transportation network services" means
	transportation provided by a transportation network driver to a
	transportation network rider, beginning at the time the driver
	accepts a ride requested by the rider through a digital network
	controlled by a transportation network company, continuing while
	the driver transports the rider, and ending at the time the last
	requesting rider departs from the driver's personal vehicle. The
	term does not include transportation provided using a taxicab,
	limousine, or other similar for-hire vehicle authorized to be
	licensed under Section 215.004, Local Government Code, or Section
	22.081, Transportation Code.
	Sec. 2402.002.  NATURE OF TRANSPORTATION NETWORK COMPANIES,
	DRIVERS, AND VEHICLES. (a) Transportation network companies and
	transportation network drivers:
	(1)  are not common carriers, contract carriers, or
	motor carriers; and
	(2)  do not provide:
	(A)  taxicab, limousine, or similar for-hire
	service; or
	(B)  street hail service.
	(b)  A transportation network company:
	(1)  except as agreed by written contract:
	(A)  does not control, direct, or manage a
	transportation network driver who connects to the company's digital
	network; and
	(B)  does not own, control, operate, or manage
	personal vehicles used by transportation network drivers; and
	(2)  is not a taxicab company or for-hire vehicle
	owner.
	Sec. 2402.003.  CONTROLLING AUTHORITY. (a) Notwithstanding
	any other provision of law, transportation network companies and
	transportation network drivers are governed exclusively by this
	chapter and any rules adopted by the board under this chapter.
	Except as provided by Subsection (b) or (c), a municipality or other
	local entity may not:
	(1)  impose a tax on or require a license for a
	transportation network company or a transportation network driver;
	or
	(2)  subject a transportation network company or
	transportation network driver to the municipality's or other local
	entity's rate, entry, operational, or other requirements.
	(b)  This chapter does not supersede a municipal, county, or
	other local government regulation regarding transportation network
	services at an airport.
	(c)  This chapter does not prohibit a municipality from
	requiring by ordinance a transportation network company to access
	the electronic clearinghouse and subscription service under
	Section 411.0845, Government Code, for transportation network
	drivers.
	Sec. 2402.004.  DRIVER AS COMMERCIAL TRANSPORTATION
	COMPANY. A transportation network driver is a commercial
	transportation company for the purposes of Chapter 660, Government
	Code.
	SUBCHAPTER B.  PERMIT REQUIRED
	Sec. 2402.051.  PERMIT REQUIRED. (a) A person may not
	operate a transportation network company in this state without
	obtaining and maintaining a permit issued by the department.
	(b)  The department shall issue a permit to each applicant
	that meets the requirements of this chapter and pays the fee
	required by Section 2402.052.
	Sec. 2402.052.  FEE. (a) A transportation network company
	must pay a fee of $115,000 annually to the department to maintain a
	permit under this chapter.
	(b)  A fee collected by the department under this section
	shall be deposited to the credit of the Texas Department of Motor
	Vehicles fund.
	Sec. 2402.053.  PERMIT APPLICATION. (a) An application for
	a transportation network company permit must be on a form
	prescribed by the department. The application must include
	information that meets the requirements of this chapter and
	information the board by rule determines is necessary to determine
	the applicant's qualifications to adequately serve the public.
	(b)  The applicant shall notify the department of any
	material change in the information included in an application not
	later than the 10th calendar day after the date the change occurs.
	The department shall prescribe a form for the disclosure of
	material changes.
	Sec. 2402.054.  TERM; RENEWAL. (a) A permit issued under
	this chapter is valid for two years. The department shall prescribe
	the form and requirements necessary to apply for a renewal of a
	permit.
	(b)  The department shall notify each person holding a permit
	under this chapter of the date of permit expiration and the amount
	of the fee required for permit renewal. The department shall send
	the notice not later than the 30th day before the date of the permit
	expiration.
	SUBCHAPTER C.  OPERATION OF TRANSPORTATION NETWORK COMPANIES
	Sec. 2402.101.  AGENT. A transportation network company
	shall maintain an agent for service of process in this state.
	Sec. 2402.102.  FARES. A transportation network company
	charging a fare for its services shall:
	(1)  disclose to transportation network riders the fare
	calculation method within the company's software application
	service or on the company's Internet website; and
	(2)  before a transportation network rider enters the
	transportation network driver's personal vehicle, provide the
	rider with:
	(A)  the applicable rates being charged for the
	service; and
	(B)  the option to receive an estimated fare.
	Sec. 2402.103.  IDENTIFICATION OF VEHICLES AND DRIVERS. The
	transportation network company's software application or Internet
	website must display, before a transportation network rider enters
	the transportation network driver's personal vehicle:
	(1)  a picture of the transportation network driver;
	and
	(2)  the vehicle's license plate number.
	Sec. 2402.104.  ELECTRONIC RECEIPT. Within a reasonable
	period of time following the completion of a trip, a transportation
	network company shall transmit an electronic receipt to the
	transportation network rider that lists:
	(1)  the origin and destination of the trip;
	(2)  the total time and distance of the trip; and
	(3)  an itemization of the total fare paid, if any.
	Sec. 2402.105.  INSURANCE. Insurance requirements for
	transportation network companies and transportation network
	drivers are governed by Chapter 1954, Insurance Code.
	Sec. 2402.106.  ZERO-TOLERANCE POLICY FOR DRUG OR ALCOHOL
	USE. (a) A transportation network company shall:
	(1)  implement a zero-tolerance policy that prohibits a
	transportation network driver from using or being under the
	influence of drugs or alcohol when the driver:
	(A)  is providing transportation network
	services; or
	(B)  is logged on to the transportation network
	company's digital network but is not providing transportation
	network services; and
	(2)  post on its Internet website:
	(A)  notice of the policy; and
	(B)  procedures to report a complaint about a
	driver with whom a transportation network rider was matched and who
	the rider reasonably suspects was using or was under the influence
	of drugs or alcohol during the course of the trip.
	(b)  On receipt of a complaint alleging a violation of the
	zero-tolerance policy, the transportation network company shall:
	(1)  conduct an investigation into the reported
	incident; and
	(2)  immediately suspend the transportation network
	driver's access to the company's digital network for the duration of
	the investigation.
	(c)  The transportation network company shall maintain
	records relevant to a complaint for a period of at least two years
	after the date the complaint is received.
	Sec. 2402.107.  DRIVER REQUIREMENTS. (a) Before allowing an
	individual to act as a transportation network driver on its digital
	network, a transportation network company shall:
	(1)  require the individual to submit an application to
	the company, which must include information regarding the
	individual's address, age, driver's license, driving history, motor
	vehicle registration, motor vehicle liability insurance, and other
	information required by the company;
	(2)  conduct, or have a third party conduct, a local and
	national criminal background check for each individual that
	includes the use of:
	(A)  a commercial multistate and
	multijurisdiction criminal records locator with primary source
	validation; and
	(B)  the national sex offender registry database
	maintained by the United States Department of Justice or successor
	agency; and
	(3)  obtain and review the individual's driving record.
	(b)  The transportation network company may not permit to act
	as a transportation network driver on its digital network an
	individual who:
	(1)  has been convicted of:
	(A)  more than three offenses classified by the
	Department of Public Safety as moving violations in the preceding
	three-year period; or
	(B)  one of the following offenses in the
	preceding three-year period:
	(i)  evading arrest or detention under
	Section 38.04, Penal Code;
	(ii)  reckless driving under Section
	545.401, Transportation Code;
	(iii)  driving without a valid driver's
	license under Section 521.025, Transportation Code; or
	(iv)  driving with an invalid driver's
	license under Section 521.457, Transportation Code;
	(2)  has been convicted, in the preceding seven-year
	period, of driving while intoxicated under Section 49.04 or 49.045,
	Penal Code;
	(3)  has been convicted at any time of:
	(A)  fraud;
	(B)  a sexual offense;
	(C)  use of a motor vehicle to commit:
	(i)  a felony;
	(ii)  a crime involving property damage;
	(iii)  theft;
	(iv)  an act of violence; or
	(v)  an offense of making a terroristic
	threat; or
	(D)  an offense listed in Section 3g(a)(1),
	Article 42.12, Code of Criminal Procedure;
	(4)  is a match in the national sex offender registry
	database;
	(5)  does not possess a valid driver's license;
	(6)  does not possess proof of registration or
	financial responsibility for the motor vehicle used to provide
	transportation network services; or
	(7)  is younger than 19 years of age.
	Sec. 2402.108.  VEHICLE SAFETY AND EMISSIONS. A
	transportation network company shall require that each motor
	vehicle that a transportation network driver will use to provide
	transportation network services meets the requirements of Chapter
	548, Transportation Code.
	Sec. 2402.109.  NO STREET HAILS. A transportation network
	driver may accept only rides booked through a transportation
	network company's digital network or software application service
	and may not solicit or accept street hails.
	Sec. 2402.110.  NO CASH TRIPS. The transportation network
	company shall prohibit solicitation or acceptance of cash payments
	from transportation network riders and notify transportation
	network drivers of the prohibition. A transportation network
	driver may not solicit or accept cash payments from riders.  Payment
	for transportation network services may be made only electronically
	using the transportation network company's digital network or
	software application.
	Sec. 2402.111.  NO DISCRIMINATION; ACCESSIBILITY. (a) A
	transportation network company shall adopt policies concerning
	nondiscrimination that comply with state and federal law.
	(b)  A transportation network driver shall follow all
	policies concerning nondiscrimination and accessibility that
	comply with state and federal law.
	(c)  A transportation network driver shall comply with all
	applicable laws relating to accommodation of service animals.
	(d)  A transportation network company may not impose
	additional charges for providing services to persons with physical
	disabilities because of those disabilities.
	(e)  A transportation network company shall provide
	transportation network riders an opportunity to indicate whether
	they require a wheelchair-accessible vehicle. If a transportation
	network company is unable to arrange wheelchair-accessible
	transportation network service, the company shall direct the rider
	to an alternate provider of wheelchair-accessible service, if
	available.
	(f)  A transportation network driver may not discriminate in
	the provision of transportation network services based on the
	geographic location of a departure point or destination, except
	that a driver may refuse a request for a ride that is farther than 30
	miles between the departure point and the destination.
	Sec. 2402.112.  ACCESSIBLE TRANSPORTATION; SURCHARGE. (a)
	The department may impose a fee, not to exceed $10,000 annually, on
	transportation network companies, taxicab companies, and limousine
	and other for-hire vehicle companies that do not provide
	wheelchair-accessible service and remit the fees to the comptroller
	for deposit in a trust fund outside the state treasury to be held by
	the comptroller and administered by the department to provide
	grants to transportation network companies, taxicab companies, and
	limousine and other for-hire vehicle companies that provide
	wheelchair-accessible service.
	(b)  A grant distributed under Subsection (a):
	(1)  may be in an amount not to exceed $15,000; and
	(2)  may be distributed only to a company that meets a
	minimum level of service as determined by board rule.
	(c)  The department shall implement a program in conjunction
	with any transportation network company operating in Austin on
	September 1, 2015, that desires to participate to conduct a pilot
	project to offer services to persons with disabilities.
	(d)  Not later than January 1, 2017, the department, in
	conjunction with any transportation network company that
	participated in the pilot project, shall report to the public and
	the legislature on the findings of the program implemented under
	Subsection (c) regarding:
	(1)  the average fares for providing the services;
	(2)  costs incurred in providing the services;
	(3)  the average response time for providing the
	services; and
	(4)  other information useful to the legislature in
	developing public policy related to transportation network
	companies.
	Sec. 2402.113.  RECORDS. A transportation network company
	shall maintain:
	(1)  individual trip records for at least one year
	after the date the trip was provided; and
	(2)  transportation network driver records at least
	until the first anniversary of the date on which a transportation
	network driver's activation on the company's digital network has
	ended.
	Sec. 2402.114.  PERSONALLY IDENTIFIABLE INFORMATION. (a) A
	transportation network company may not disclose a transportation
	network rider's personally identifiable information to a third
	party unless:
	(1)  the rider consents to the disclosure;
	(2)  disclosure is required by a legal obligation; or
	(3)  disclosure is required to:
	(A)  protect or defend the terms of use of the
	service; or
	(B)  investigate violations of those terms.
	(b)  In addition to the disclosures authorized under
	Subsection (a), a transportation network company may share a
	transportation network rider's name or telephone number with the
	transportation network driver providing transportation network
	services to the rider to facilitate correct identification of the
	rider by the transportation network driver or to facilitate
	communication between the rider and the transportation network
	driver.
	SUBCHAPTER D. ENFORCEMENT
	Sec. 2402.151.  RECORD AUDITS. (a) The department may audit
	the records of a transportation network company in connection with
	the performance of its duties under this chapter through:
	(1)  investigations of specific alleged violations; or
	(2)  a random sample of the transportation network
	company's records related to transportation network drivers.
	(b)  A transportation network company whose place of
	business is located outside of this state may choose to make records
	available at a location outside of this state if:
	(1)  the company and the department agree on the
	location; and
	(2)  the company agrees to reimburse the department
	for:
	(A)  necessary travel expenses; and
	(B)  a per diem as set by the state for each day
	that an inspection or investigation related to the records is
	conducted.
	(c)  Records maintained by a transportation network company
	regarding transportation network driver background checks under
	Section 2402.107 or transportation network riders' personally
	identifiable information are not subject to release under Chapter
	552, Government Code, and the department does not have a right of
	access to those records for purposes of that chapter.
	(d)  Failure to provide records as required by this section
	is a violation of this chapter.
	Sec. 2402.152.  HEARINGS. (a) A hearing arising under this
	chapter or a board rule adopted under this chapter must be conducted
	in accordance with this chapter, any order, decision, or rule of the
	board, and Chapter 2001, Government Code.
	(b)  A hearing may be informally disposed of in accordance
	with Chapter 2001, Government Code.
	(c)  A hearing under this chapter must be held by an
	administrative law judge of the State Office of Administrative
	Hearings.
	(d)  An administrative law judge has all of the board's
	authority as provided by this chapter to conduct hearings arising
	under this chapter, including the power to:
	(1)  hold a hearing;
	(2)  administer an oath;
	(3)  receive pleadings and evidence;
	(4)  issue a subpoena to compel the attendance of a
	witness;
	(5)  compel the production of papers and documents;
	(6)  issue an interlocutory order, including a cease
	and desist order in the form of a temporary restraining order or a
	temporary injunction;
	(7)  make findings of fact and conclusions of law; and
	(8)  issue a proposal for decision and recommend a
	final order.
	Sec. 2402.153.  DISCIPLINARY ACTION; CIVIL PENALTY. (a)
	The department, after notice and opportunity for hearing, may deny
	an application for a permit or suspend or revoke a permit if the
	applicant or permit holder:
	(1)  makes a material misrepresentation or omission in
	any application or other information filed under this chapter or
	board rules;
	(2)  violates this chapter or a board rule or order;
	(3)  violates any law relating to the operation of a
	transportation network company; or
	(4)  fails to maintain the qualifications for a permit.
	(b)  A proceeding under this section is subject to Chapter
	2001, Government Code.
	(c)  In addition to the authority under Subsection (a), the
	board, after notice and opportunity for hearing, may request that
	the attorney general bring an action against a person that has
	violated this chapter or board rules to collect a civil penalty in
	an amount not to exceed $10,000 for each violation. Each act in
	violation of this chapter and board rules and each day a violation
	continues is a separate violation. In determining the amount of
	the penalty, the board shall consider:
	(1)  the seriousness of the violation, including the
	nature, circumstances, extent, and gravity of any prohibited act,
	and the harm or potential harm to the safety of the public;
	(2)  the economic damage to the public caused by the
	violation;
	(3)  the history of previous violations;
	(4)  the amount necessary to deter a future violation;
	(5)  efforts to correct the violation; and
	(6)  any other matter that justice may require.
	(d)  Notwithstanding any other law to the contrary, a civil
	penalty recovered under this section shall be deposited in the
	state treasury to the credit of the Texas Department of Motor
	Vehicles fund.
	Sec. 2402.154.  COMPLAINT PROCEDURE AND NOTICE. (a) A
	transportation network company shall establish and maintain a
	complaint procedure through which any transportation network rider
	or other person using the transportation network service may submit
	a complaint with the department about the company, the
	transportation network service, a transportation network driver,
	or another affiliate of the company.
	(b)  A transportation network company shall provide notice
	of the complaint procedure provided by this section to each
	transportation network rider and to each person that contacts the
	company to inquire about transportation network services.
	(c)  A transportation network company shall provide notice
	of the complaint procedure under this section on each electronic
	receipt required by Section 2402.104.
	(d)  The department shall approve the content and manner of
	delivery of the notice required by Subsections (a), (b), and (c).
	(e)  Failure to provide notice as required by this section is
	a violation of this chapter.
	SECTION 2.  Subtitle C, Title 10, Insurance Code, is amended
	by adding Chapter 1954 to read as follows:
	CHAPTER 1954. INSURANCE FOR TRANSPORTATION NETWORK DRIVERS
	SUBCHAPTER A. GENERAL PROVISIONS
	Sec. 1954.001.  DEFINITIONS. In this chapter, the following
	terms have the meanings assigned by Section 2402.001, Occupations
	Code:
	(1)  "digital network";
	(2)  "personal vehicle";
	(3)  "transportation network company";
	(4)  "transportation network driver";
	(5)  "transportation network rider"; and
	(6)  "transportation network services".
	Sec. 1954.002.  APPLICABILITY OF CHAPTER. This chapter
	applies to automobile insurance policies in this state, including
	policies issued by a Lloyd's plan, a reciprocal or interinsurance
	exchange, and a county mutual insurance company.
	SUBCHAPTER B. INSURANCE REQUIREMENTS
	Sec. 1954.051.  GENERAL INSURANCE REQUIREMENT. (a) A
	transportation network driver or transportation network company on
	the driver's behalf shall maintain primary automobile insurance as
	required by this subchapter.
	(b)  Insurance maintained under this subchapter must allow a
	transportation network driver to use a personal vehicle to
	transport transportation network riders for compensation and cover
	the driver while:
	(1)  the driver is logged on to the transportation
	network company's digital network as provided by Section 1954.052;
	or
	(2)  the driver is providing transportation network
	services as provided by Section 1954.053.
	(c)  Insurance maintained under this subchapter must comply
	with the law applicable to personal automobile insurance in this
	state, including this subtitle and Chapter 601, Transportation
	Code.
	(d)  The coverage requirements of this subchapter may be
	satisfied by:
	(1)  automobile insurance maintained by the
	transportation network driver;
	(2)  automobile insurance maintained by the
	transportation network company; or
	(3)  a combination of Subdivisions (1) and (2).
	(e)  Insurance required under this subchapter may be placed
	with an automobile insurer authorized to engage in business in this
	state or with an eligible surplus lines insurer.
	Sec. 1954.052.  INSURANCE REQUIREMENTS:  WHEN NOT PROVIDING
	SERVICES. At the time a transportation network driver is logged on
	to the transportation network company's digital network and is
	available to receive transportation network requests but is not
	providing transportation network services, the automobile
	insurance policy must provide:
	(1)  the following minimum amounts of liability
	insurance coverage:
	(A)  $50,000 for bodily injury to or death for
	each person in an incident;
	(B)  $100,000 for bodily injury to or death of a
	person per incident; and
	(C)  $25,000 for damage to or destruction of
	property of others in an incident;
	(2)  uninsured or underinsured motorist coverage where
	required by Section 1952.101; and
	(3)  personal injury protection coverage where
	required by Section 1952.152.
	Sec. 1954.053.  INSURANCE REQUIREMENTS:  WHILE PROVIDING
	SERVICES. At the time a transportation network driver is providing
	transportation network services, the automobile insurance policy
	must provide, at minimum:
	(1)  coverage with a total aggregate limit of liability
	of $1 million for death, bodily injury, and property damage for each
	incident;
	(2)  uninsured or underinsured motorist coverage where
	required by Section 1952.101; and
	(3)  personal injury protection coverage where
	required by Section 1952.152.
	Sec. 1954.054.  LAPSE OF OR INSUFFICIENT COVERAGE. If an
	insurance policy maintained by a transportation network driver
	under this subchapter has lapsed or does not provide the coverage
	required by this subchapter, the transportation network company
	shall provide the coverage required by this subchapter beginning
	with the first dollar of a claim against the driver.
	Sec. 1954.055.  RELATION TO PERSONAL AUTOMOBILE INSURANCE.
	Coverage under an automobile insurance policy maintained by the
	transportation network company is not contingent on a
	transportation network driver's personal automobile insurer
	initially denying a claim.
	Sec. 1954.056.  FINANCIAL RESPONSIBILITY. (a) Insurance
	satisfying the requirements of this subchapter satisfies the
	financial responsibility requirement for an automobile under
	Chapter 601, Transportation Code.
	(b)  A transportation network driver shall carry proof of
	insurance that satisfies Sections 1954.052 and 1954.053 with the
	driver when the driver uses a personal vehicle in connection with a
	transportation network company's digital network. In the event of
	an accident, a driver shall provide the proof of insurance to a
	directly interested person, automobile insurer, and investigating
	peace officer on request under Section 601.053, Transportation
	Code. On request, a driver shall also disclose to a directly
	interested person, automobile insurer, and investigating peace
	officer whether, at the time of the accident, the driver was:
	(1)  logged on to the company's digital network; or
	(2)  providing transportation network services.
	Sec. 1954.057.  PAYMENT DIRECTLY TO REPAIRING BUSINESS.  If
	a transportation network company's insurer makes a payment for a
	claim covered under comprehensive or collision coverage, the
	transportation network company shall cause its insurer to issue the
	payment directly to the business repairing the vehicle or jointly
	to the owner of the vehicle and the primary lienholder on the
	covered vehicle.
	SUBCHAPTER C. REQUIRED DISCLOSURES TO TRANSPORTATION NETWORK
	DRIVER
	Sec. 1954.101.  REQUIRED DISCLOSURES. Before a
	transportation network driver may accept a request for
	transportation network services on a transportation network
	company's digital network, the company shall disclose in writing
	the following:
	(1)  the insurance policy, including the types of
	coverage and the limits for the policy, that the company provides
	while a driver uses a personal vehicle in connection with the
	company's digital network; and
	(2)  that the driver's personal automobile insurance
	policy may not provide coverage, depending on the policy's terms,
	while the driver is logged on to the company's digital network and
	is available to receive transportation requests or is engaged in
	transportation network services.
	SUBCHAPTER D. PERSONAL AUTOMOBILE INSURANCE
	Sec. 1954.151.  AUTHORIZED EXCLUSIONS FROM COVERAGE. (a)
	An insurer may exclude from coverage under a personal automobile
	insurance policy issued to an owner or operator of a personal
	vehicle any loss or injury that occurs while a transportation
	network driver using the personal vehicle:
	(1)  is logged on to a transportation network company's
	digital network; or
	(2)  is providing transportation network services.
	(b)  Subsection (a) applies to any coverage included in a
	personal automobile insurance policy, including:
	(1)  liability coverage for bodily injury and property
	damage;
	(2)  personal injury protection coverage under
	Subchapter D, Chapter 1952;
	(3)  uninsured and underinsured motorist coverage;
	(4)  medical payment coverage;
	(5)  comprehensive physical damage coverage; and
	(6)  collision physical damage coverage.
	(c)  An exclusion authorized under this section applies
	notwithstanding a financial responsibility requirement under
	Chapter 601, Transportation Code.
	(d)  This subchapter may not be construed to invalidate or
	limit an exclusion contained in a policy form, including a policy
	form in use or approved for use in this state before September 1,
	2015, that excludes coverage for automobiles used to carry persons
	or property for compensation or available for hire by the public.
	Sec. 1954.152.  COVERAGE UNDER PERSONAL AUTOMOBILE
	INSURANCE NOT REQUIRED.  (a)  This subchapter does not require a
	personal automobile insurance policy to cover a transportation
	network driver while:
	(1)  the driver is logged on to a transportation
	network company's digital network;
	(2)  the driver is providing transportation network
	services; or
	(3)  the driver otherwise uses a vehicle to transport
	passengers for compensation.
	(b)  This section does not prevent an insurer from providing
	coverage that may be excluded under this section if the insurer
	elects to provide the coverage in the policy or by endorsement.
	Sec. 1954.153.  DEFENSE OR INDEMNIFICATION OF CLAIM. (a) An
	automobile insurer that issues a personal automobile insurance
	policy that includes an exclusion from coverage authorized by
	Section 1954.151 does not have a duty to defend or indemnify a claim
	arising from an event subject to the exclusion.
	(b)  An automobile insurer that defends or indemnifies a
	claim against a transportation network driver for which coverage is
	excluded under the terms of the policy as authorized by this
	subchapter has a right of contribution against another insurer that
	provides automobile insurance to the driver in satisfaction of the
	coverage requirements under Section 1954.052 or 1954.053, as
	applicable.
	Sec. 1954.154.  ASSISTANCE IN CLAIM INVESTIGATION. In an
	insurance claim investigation, a transportation network company
	and any insurer providing coverage under Subchapter B shall assist
	each insurer involved in the claim by providing information to
	directly interested persons and an insurer of the transportation
	network driver. Information provided under this section must
	include:
	(1)  the precise times that a driver logged on and off
	of the transportation network company's digital network in the
	12-hour period immediately preceding and the 12-hour period
	immediately following the accident; and
	(2)  a clear description of the coverage, exclusions,
	and limits provided under an automobile insurance policy maintained
	under Subchapter B.
	SECTION 3.  This Act takes effect September 1, 2015.