SB 0544 Increases Enforcement of Auto Liability Insurance
LR Number:S2036.01I Fiscal Note:2036-01
Last Action:03/05/96 - Voted Do Pass S Transportation Committee
Effective Date:August 28, 1996
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Current Bill Summary

SB 544 - This act makes several changes to the laws on motor vehicle financial responsibility.

INSURANCE CARD - The penalty for failure to carry the card or other evidence of financial responsibility in the vehicle shall result in a $100 fine, unless proof of compliance is later shown.

FINANCIAL RESPONSIBILITY - The requirement is applied to vehicles which the owner has failed to properly register. Failure to maintain financial responsibility shall be a Class C misdemeanor with a minimum fine of $100, with no suspended imposition of sentence. Cities may not have greater penalties.

PROOF REQUIREMENT - Vehicle owners shall show evidence of financial responsibility at the time of registration. The Director of Revenue (DOR) shall inform vehicle owners of this requirement.

PAYMENT OF DAMAGES - Owners of vehicles shall be responsible for the damages caused by any other driver of the vehicle who does not have financial responsibility. Failure to uphold an agreement to pay for damages shall be subject to a suspension of up to 5 years instead of 1 or until the damages are paid.

PENALTIES - Any person whose license is suspended for failure to pay damages cannot regain the license until the damages are repaid or an agreement is written and proof of financial responsibility is filed with the DOR. The reinstatement fee following a suspension for failure to pay damages shall be $1,000. Driving with a suspended license is raised to a Class A misdemeanor with a minimum of 10 days and 100 hours of community service.

ADMINISTRATIVE DECISIONS - The time limit for a decision by the DOR is increased from 90 to 120 days.

UNINSURED MOTORIST COVERAGE - This coverage shall not be required for historic motor vehicles.