Relating to the regulation of private passenger vehicle rental companies.

HB 1395 would require rental companies to issue partial refunds for damage waiver fees if renters return vehicles early. It changes the definition of a "rental agreement" to 30 days (from 180 days) and clarifies that businesses primarily licensed under Chapter 2301 of the Occupations Code are excluded from the definition of "rental company." The law would only apply to agreements signed on or after September 1, 2025, with existing contracts governed by prior rules. This directly affects renters who return vehicles early and rental companies operating in Texas under the defined terms.