Apex Alerts Agents to the Impact of Texas House Bill 718
Apex is informing agents and partners of the implementation of Texas House Bill 718 (HB 718), a significant transportation-related law that becomes effective on July 1, 2025. The legislation, passed by the 88th Texas Legislature in 2023, updates the issuance and use of certain vehicle tags and license plates to reduce fraud and strengthen public safety.
Key Changes Under HB 718:
- Elimination of Paper Temporary Tags: Multiple temporary paper tags and permits traditionally issued during vehicle sales, including buyer’s tags, Internet down tags, and 30-day permits, have been phased out.
- Metal Plate Requirement: Licensed Texas vehicle dealers must now issue metal license plates at the time of sale in lieu of most paper temporary tags.
- Use of webDEALER System: Title and registration transactions must be processed through the state’s webDEALER system, ensuring electronic submission and tracking for compliance and accountability.
- Vehicle Tag Retention and Transfer: Licensed plates now remain with a vehicle when it is resold or transferred, and dealers must comply with updated disposition and reporting procedures.
“These changes reflect Texas’ ongoing efforts to enhance public safety, combat criminal misuse of temporary tags, and improve the transparency and reliability of vehicle registration”
Bryan Ward, CEO of Apex
What This Means for the Market
While this law does not directly regulate insurance products, it affects the broader auto market, including vehicle registration practices and lienholder records, which can ultimately intersect with auto insurance underwriting and claims processes. Apex will continue to monitor regulatory developments and update agents as new compliance information becomes available. For further guidance on HB 718 or its operational implications, agents may refer to the TxDMV resources.
Agents with questions may contact Marketing@ApolloMGA.com or 855-371-7310.