(a) A retail installment contract may include as a separate charge an amount for insurance coverage that is:
(1) for a risk of loss or liability reasonably related to:
(A) the commercial vehicle;
(B) the use of the commercial vehicle; or
(C) goods or services that:
(i) are related to the commercial vehicle; and
(ii) may ordinarily be insured with a commercial vehicle;
(2) written on policies or endorsement forms prescribed or approved by the commissioner of insurance; and
(3) ordinarily available in policies or endorsements offered to the public or for commercial purposes.
(b) A retail installment contract may include as a separate charge an amount for:
(1) motor vehicle property damage or bodily injury liability insurance;
(2) mechanical breakdown insurance;
(3) participation in a motor vehicle theft protection plan;
(4) insurance to pay all or part of the amount computed by subtracting the proceeds of the retail buyer’s basic collision policy on the commercial vehicle from the amount owed on the vehicle in the event of a total loss or theft of the vehicle;
(5) a warranty or service contract relating to the commercial vehicle;
(6) an identity recovery service contract; or
(7) a debt cancellation agreement.

(b-1) In this section, “identity recovery service contract” means an agreement:
(1) to provide identity recovery, as defined by § 1304.003, Occupations Code;
(2) that is entered into for a separately stated consideration and for a specified term; and
(3) that is financed through a retail installment contract.
(c) Notwithstanding any other law, service contracts and debt cancellation agreements sold by a retail seller of a commercial vehicle to a retail buyer are not subject to Chapter 101 or 226, Insurance Code.
(d) In addition to the charges for insurance coverage permitted under Subsection (a) or (b), a retail installment contract may include a charge for insurance coverage relating to:
(1) the commercial vehicle;
(2) the use of the commercial vehicle; or
(3) the retail installment contract.
(e) Insurance coverage under Subsection (d) may be provided only by:
(1) an insurer authorized under the Insurance Code to engage in the business of insurance in this state; or
(2) if permitted under the Insurance Code, a surplus lines insurer eligible to provide the insurance under Chapter 981, Insurance Code.
(f) A retail installment contract must set forth the amount of each charge for insurance coverage under Subsection (d) and the type of the coverage provided for that charge.