Relating to the circumstances in which a rental company may void a damage waiver for a rental vehicle.

SB 2987 (Texas) limits when rental companies can void damage waivers for rental vehicles. It prohibits voiding waivers unless damage resulted from intentional harm, reckless driving (like DUI), unauthorized use (e.g., for hire, towing, speed contests, or international travel without permission), fraudulent renter information, or failure to report a stolen vehicle properly. The law directly affects renters (by protecting them from arbitrary waiver cancellations) and rental companies (by restricting their grounds for voiding waivers). It applies only to new rental agreements entered on or after September 1, 2025.