Two bills filed in the Texas Senate aim to provide improved auto insurance options and protections to consumers in the state.

SB 1429, introduced by Sen. Bryan Hughes (R-District 1), would require OEM parts and procedures to repair vehicles owned by the insured for three years or less. Customers would still have the option to use “non-original equipment” — “a part, product, or repair process used in the repair of a motor vehicle that is not made by or for or used by that vehicle’s manufacturer or distributor.”

Insurers would also be barred from requiring or requesting that a repairer or facility use any specific percentage of non-original equipment to repair a vehicle, and from limiting policy beneficiaries from selecting a repairer or facility to repair their damaged vehicle.

Customers who prefer non-original equipment would have to sign a disclosure before repairs begin as part of the repair estimate.

The disclosure would include the following: “I am opting to accept the use of a non-original equipment manufacturer’s or distributor’s part, product, or repair process in the repair of my vehicle, and I understand and agree that: the attached repair estimate is based on the use of a non-original equipment manufacturer’s or distributor’s part, product, or repair process that is supplied by a manufacturer or distributor that is not my motor vehicle’s manufacturer or distributor; and the warranty for the non-original equipment manufacturer’s or distributor’s part, product, or repair process is provided by the manufacturer or distributor of that part, product, or repair process and not by my motor vehicle’s manufacturer or distributor.”

If approved, the law would take effect on Sept. 1.

Auto Body Association of Texas (ABAT) President Burl Richards told Repairer Driven News the association applauds Hughes for his initiative in filing SB 1429.

“He fought vigorously for us last session,” he said. “He cares a lot about consumer safety and the filed version of SB 1429 is a good starting point. These bills can evolve quite a bit during the legislative process and we will work with Sen. Hughes’s office to include some additional language that we feel is an important piece of the puzzle. We all know that aftermarket parts fit like socks on a rooster so it’s important to me that we address the fit, finish, and quality aspects of parts.”

Richards added that he likes the inclusion of third-party claimants.

“Their right to a safe repair is just as important,” he said. “I would like to see the inclusion of some of the language we submitted last session addressing the major quality issues surrounding aftermarket parts.”

Jill Tuggle, ABAT executive director, added that the association is looking forward to working with Hughes’s office to “progress and finesse this bill into something we can all agree on so that in the end, the consumer is the one who wins.”

“We have some work to do on the language surrounding the aftermarket part ‘opt-in’ parameters,” she said. “There should probably be some exclusions in there surrounding parts availability. We want the rules to be clear but have a little flexibility in scenarios where parts are not available. In the end, we want to ensure that a safe and proper repair plan is made by the consumer and repair professional working in tandem throughout the process.”

SB 1246, titled the “Texas Automobile Insurance Public Option Act,” has also been filed by Sen. Roland Gutierrez (D-District 19) to “establish a publicly administered auto insurance option in Texas to ensure affordability, accessibility, and competition in the auto insurance market while maintaining financial stability and consumer protections.”

According to NBC DFW, Gutierrez said he brought the bill because families are having a hard time paying for essentials due to auto insurance premiums increasing by nearly 25% over the last two years.

“The skyrocketing costs of groceries, health care, home and auto insurance have stretched Texans’ pocketbooks thin,” he said, according to the article. “It’s time that the state of Texas steps in and offers a public insurance option that will provide affordable, reliable coverage for everyone at a fraction of the cost.

“The State of Texas can provide auto insurance at a lower rate because we aren’t getting squeezed by shareholders, paying a CEO with an inflated salary, or racking up the bill on some huge marketing campaign. This is coverage that you can count on, that will force insurance giants to bring their prices down or justify the cost.”

Mandatory liability coverage as well as optional comprehensive and collision coverage would be provided to eligible drivers through the program. Additional coverage options, including uninsured/underinsured motorist and personal injury would also be offered.

The bill states that premiums would be set using actuarial principles “to ensure fiscal solvency, affordability, and market competitiveness.” Premiums and state funding would pay for the public insurance option to keep it affordable, according to the bill.

The Texas Department of Insurance would handle the implementation of a sliding scale for low-income policyholders and explore risk-based adjustments.

“The Texas Public Auto Option shall operate alongside private insurers to foster competition, stabilize rates, and provide consumer choice,” the bill says. “A biennial study shall assess the impact of the Texas Public Auto Option on the auto insurance market, premium rates, consumer satisfaction, and uninsured motorist rates.”

The bill also promises “transparent claims handling processes and an independent appeals system for disputed claims.”

If approved, the law would take effect Sept. 1 but only apply to insurance policies delivered, issued for delivery, or renewed on or after Jan. 1, 2026.

Richards and Tuggle told RDN that ABAT hasn’t discussed SB 1246 at length yet but its lobbyist is “watching it closely.”

“If it is a bill that prioritizes safe repairs and reduced premiums for Texas drivers then I’m all for it,” Richards said.

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