are very reluctant to do so even at the request of the
Department thus impacting availability of coverage to amusement ride
owners/operators.  This bill will allow amusement ride owners/operators
to continue to purchase a split limit policy or a combined single limit
policy without diminishing the amount of bodily injury coverage required
by current law.

C.S.H.B. 2879 will help
to aid insurance availability in very limited market for owners and
operators of amusement ride devices in Texas.

Current law includes challenge
courses in the definition of amusement rides.  C.S.H.B. 2879 will
exempt challenge courses from the current definition of amusement rides.  

RULEMAKING AUTHORITY

It is the committee's opinion
that this bill does not expressly grant any additional rulemaking authority
to a state officer, department, agency, or institution. 

ANALYSIS

Section 1: 
Amends Section 2151.002(1) of the Occupations Code by adding (C) which
will establish that challenge courses that include logs, tires, platforms,
beams, bridges, poles, ladders, nets, climbing walls or towers, traverses,
cables, swings, or zip lines that are constructed and used for educational
purposes are not included in the definition of "amusement ride".

Section 2: 
Amends Sec. 2151.101(a) of the Occupations Code to provide the following
insurance requirements for amusement rides:

(A)  for Class A amusement rides:

(i)  $100,000 bodily injury and $50,000 property damage per occurrence with
a $300,000 annual aggregate; or

(ii)  a $150,000 per occurrence combined single limit with a
$300,000 annual aggregate [for Class A amusement rides]; and

(B)  for Class B amusement rides:

(i)  $1,000,000 bodily injury and $500,000 property damage per occurrence; or (ii) 
$1,500,000 per occurrence combined single limit [for Class B amusement rides];

Section 3: 
This Act is applicable only to an insurance policy, certificate, or
contract delivered, issued for delivery, or renewed on or after January
1, 2006.

Section 4:  Effective date

EFFECTIVE DATE

September 1, 2005. The
Act applies beginning with January 1, 2006.

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 2879 amends the
original bill by adding Section 1 which will exempt challenge courses
from the definition of "amusement ride" as defined in Section
2151.002(1) of the Occupations Code.