Bill > SB1429

This bill modifies Texas insurance law to establish new requirements for how insurers handle motor vehicle repairs, focusing on parts and repair processes. For new motor vehicles (less than 36 months old), insurers must require original equipment manufacturer (OEM) parts and repair processes unless the vehicle owner specifically opts to use non-original equipment through a detailed written disclosure. The bill prohibits insurers from limiting an insured's choice of repair facility and restricts insurers from requiring specific percentages of non-original equipment be used in repairs. For vehicles over 36 months old, insurers have more flexibility in parts and repair options. The written disclosure for non-original equipment must be signed before repairs begin, attached to the repair estimate, use at least 12-point font, and include specific language explaining that the non-OEM parts come with a warranty from a different manufacturer. The changes will apply to insurance policies delivered, issued, or renewed on or after January 1, 2026, giving insurers time to adapt to the new requirements. The bill aims to provide consumers more transparency and choice in vehicle repairs while ensuring they understand the implications of using non-original equipment parts.

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https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB1429