Regarding auto insurance, there was a big push about 5 years ago for the insurance companies to send information to the DPS. I got caught up in that because my insurance company mis-typed the VIN on our RV and I got a letter saying that I had no insurance. It took a bit to get that fixed.
Regarding safety inspections. Here is a link to the requirements.https://www.dps.texas.gov/rsd/vi/inspection/inspectionCriteria.aspx
I have a diesel powered RV that is not subject to the emissions test so all I get is the safety check. Does any reasonable person truly believe that a business can verify all of the things on that list for $7. So that results in two choices
1. Omit the checks on many of the items to keep the time spent by the inspector. Most garage rates are at least $40 an hour (I've paid $195/hour on the RV).
2. Find additional charges to make up the difference. I was flunked for "too many cracks" in an accessory drive belt, even though the DPS requirement says that isn't a criteria for failure. Pennsylvania is really good at add on charges. They top off your windshield washer fluid for $10, charge $50 to repack your wheel bearing and a number of other things. I expected to pay $100 every time I took a car for inspection in PA, those inspections were twice a year, not once and it has been a number of years ago that I lived there. I thought it was wonderful when we moved to NJ where the State Police do all of the inspections, including driving the car onto a skid pad and jamming on the brakes. There, I flunked for not having my license plate attached in the right location.
I'm pretty sure that the emissions inspections are a Federal mandate. I think it was about 15 years go that Texas set up separate emission stations and there was a big bru-ha-ha over that. I had a Honda Civic that had almost always flunked the emissions check from the time that I brought it to Texas in 1988. I had to pour treatment into the gas tank before I took it for inspection. One of the inspection guys told me about that trick. I was really concerned about the separate State inspection location but it turned out that it was less stringent that what I had been going through with the Honda. Anyway, I think it was less than two years later that all the State emissions sites were closed. I had another Honda throw a check engine code for the EVAP system and it cost me $1,000 to get that one fixed so that it would pass. It takes special "smoke" equipment to diagnose it since that system cannot be manually checked. I'm a guy who normally does much of my own work and this one just frosted me.