Bill Text: HI HB1528 | 2018 | Regular Session | Introduced

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Bill Title: Relating To Motor Vehicles.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-11-30 - Carried over to 2018 Regular Session. [HB1528 Detail]

Download: Hawaii-2018-HB1528-Introduced.html

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HOUSE OF REPRESENTATIVES	H.B. NO.	1528
TWENTY-NINTH LEGISLATURE, 2017
STATE OF HAWAII

A BILL FOR AN ACT

 

 

relating to motor vehicles.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

PART I

     SECTION 1.  Chapter 291C, Hawaii Revised Statutes, is amended by adding a new section to part XVI to be appropriately designated and to read as follows:

     "§291C-    Mopeds; importation, sale, and operation prohibitions.  (a)  Beginning on January 1, 2019, the importation and sale of any moped powered by a combustion engine shall be prohibited.

     (b)  Beginning on January 1, 2025, the operation of any moped powered by a combustion engine on any public highway, roadway, or street shall be prohibited."

PART  II

     SECTION 2.  Section 431:10G-101, Hawaii Revised Statutes, is amended as follows:

     1.   By adding two new definitions to be appropriately inserted and to read:

     ""Moped" has the same meaning as prescribed by section 286-2.

     "Moped accident" means an accident arising out of the operation, maintenance, or use of a moped, but not involving a motor vehicle."

     2.   By amending the definition of "owner" to read:

     ""Owner" means a person who holds the legal title to a motorcycle, [or] motor scooter, or; except that when a motorcycle, [or] motor scooter, or moped is the subject of a security agreement or lease with a term of not less than one year, with the debtor or lessee having the right of possession, the term owner shall mean the debtor or lessee.  Whenever transfer of title to a motorcycle, [or] motor scooter, or moped occurs, the seller shall be considered the owner until delivery of the executed title to the buyer.  Upon delivery of the executed title, the buyer holding the equitable title shall be considered the owner."

     SECTION 3.  Section 431:10G-102, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-102  Conditions of operation and registration of motorcycles, [and] motor scooters, and mopeds.  No person shall drive a motorcycle, [or] motor scooter, or moped upon any public street, road, or highway of this State at any time unless such motorcycle, [or] motor scooter, or moped is insured at all times under a liability policy as provided in section 431:10G-301; provided that this article shall not apply to any antique motorcycle, [or] motor scooter, or moped as defined in section 249-1."

     SECTION 4.  Section 431:10G-103, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-103  Motorcycle, [or] motor scooter, or moped self-insurance.  The motorcycle, [or] motor scooter, or moped insurance required by section 431:10G-102 may be satisfied by any owner of a motorcycle, [or] motor scooter, or moped if:

     (1)  Such owner provides proof of qualifications as a self-insurer, and a surety bond or other securities affording security substantially equivalent to that afforded under a policy meeting the requirements of section 431:10G-301 and providing coverage at all times for the entire motorcycle, [or] motor scooter, or moped registration period, as determined and approved by the commissioner under rules; and

     (2)  The commissioner is satisfied that in case of injury, death, or property damage, any claimant would have the same rights against such owner as the claimant would have had if a policy meeting the requirements of section 431:10G-301 had been applicable to such motorcycle, [or] motor scooter[.], or moped."

     SECTION 5.  Section 431:10G-104, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-104  Prerequisites for obtaining coverage.  (a)  Any person seeking to obtain the liability coverage required by this part after June 7, 1989, shall first:

     (1)  Have obtained a valid motorcycle, [or] motor scooter, or moped license; or

     (2)  Have obtained a valid motorcycle, [or] motor scooter, or moped learner's permit and have taken and passed a motorcycle education course approved by the department of transportation.

     (b)  A temporary insurance binder covering a period of not more than ninety days may be issued to a person who has a valid motorcycle, [or] motor scooter, or moped learner's permit.  To obtain a temporary binder, a person shall submit proof to the insurer of the person's enrollment in an approved motorcycle education course.  The temporary insurance binder shall be subject to cancellation should the person fail to take, complete, and pass the course for which proof was submitted to the insurer."

     SECTION 6.  Section 431:10G-105, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-105  Tort liability.  (a)  With respect to accidental harm incurred in or arising out of a motorcycle accident, [or] motor scooter accident, or moped accident, tort liability is not abolished.

     (b)  Any owner or operator of a motorcycle, [or] motor scooter, or moped involved in a motor vehicle accident as defined in section 431:10C-103 and who incurs accidental harm as defined in section 431:10C-103, including such person's representative or legal guardian, shall have a cause of action in tort as provided in section 431:10C-306."

     SECTION 7.  Section 431:10G-106, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-106  Verification of insurance.  Every insurer shall issue to each of its insureds a paper or electronic proof of insurance card for each motorcycle, [or] motor scooter, or moped for which a liability policy under this article is written.  The electronic proof of insurance card may be accessed directly through the licensed insurer's website, application, or database.  The proof of insurance card shall show the following:

     (1)  Name, make, year, and factory or serial number of the motorcycle, [or] motor scooter, or moped; provided that insurers of five or more motorcycles, [or] motor scooters, or mopeds that are under common registered ownership and used in the regular course of business shall not be required to indicate the name, make, year, and the factory or serial number of each motorcycle, [or] motor scooter[;], or moped;

     (2)  Policy number;

     (3)  Names of the insured and the insurer; and

     (4)  Effective dates of coverage including the expiration date.

The proof of insurance card shall be carried on, or accessible on a mobile electronic device, as defined in section 291C-137, by the person operating the insured motorcycle, [or] motor scooter, or moped at all times and shall be exhibited to a law enforcement officer upon demand."

     SECTION 8.  Section 431:10G-107, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-107  Drivers education fund underwriters fee; motorcycle, [and] motor scooter, and moped operators education fund.  (a)  The commissioner shall assess and levy upon each insurer, and self-insurer, a drivers education fund underwriters fee of $2 a year on each motorcycle, [or] motor scooter, or moped insured by each insurer or self-insurer.  This fee shall be due and payable on an annual basis by means and at a time to be determined by the commissioner.

     (b)  There is created in the treasury of the State a special fund to be known as the motorcycle, [and] motor scooter, and moped operators education fund.  The commissioner shall deposit the fees collected under this section into the motorcycle, [and] motor scooter, and moped operators education fund.

     (c)  The fees deposited for each fiscal year into the motorcycle, [and] motor scooter, and moped operators education fund, when appropriated, shall be available to the department of transportation for the administration of a drivers education program for operators of motorcycles, [or] motor scooters[.], or mopeds.  The department of transportation may spend the amount collected from these fees for the purposes of this section."

     SECTION 9.  Section 431:10G-108, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-108  Penalties.  Any person who violates this article shall be subject to a citation by the police and shall be subject to a nonsuspendable fine of not less than $100 nor more than $1,000, thirty days imprisonment, a one year driver's license suspension, or any combination thereof, for each violation.

     Any person cited under this section shall have an opportunity to present a good faith defense, including but not limited to lack of knowledge or proof of insurance.  The general penalty provision of this section shall not apply to:

     (1)  Any operator of a motorcycle, [or] motor scooter, or moped owned by another person if the operator's own insurance covers such driving;

     (2)  Any operator of a motorcycle, [or] motor scooter, or moped owned by that person's employer during the normal scope of that person's employment; or

     (3)  Any operator of a borrowed motorcycle, [or] motor scooter, or moped if the operator holds a reasonable belief that the subject vehicle is insured."

     SECTION 10.  Section 431:10G-201, Hawaii Revised Statutes, is amended as follows:

     1.   By amending its title and subsection (a) to read:    "§431:10G-201  Making of motorcycle, [and] motor scooter, and moped insurance rates.  (a)  All premium rates for motorcycle, [and] motor scooter, and moped insurance shall be made in accordance with the following provisions:

     (1)  Rates shall not be excessive, inadequate, or unfairly discriminatory;

     (2)  Due consideration shall be given to:

         (A)  Past and prospective loss experience within and outside this State, catastrophe hazards, if any, reasonable margin for profit, and contingencies, dividends, savings, or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members or subscribers;

         (B)  Past and prospective expenses both country-wide and those specially applicable to this State in the sale and administration of motorcycles, [and] motor scooters, and mopeds insurance; and

         (C)  Investment income from reserves, unearned insurance premiums, and other unearned proceeds received on account of motorcycle, [and] motor scooter, and moped insurance sold, and all other factors that may be deemed relevant, if they are established to have a probable effect upon losses, expense, or rates, such as but not limited to types of vehicles, occupations, and involvement in past accidents;

     (3)  The systems of expense provisions included in the rates for use by any insurer or group of insurers may differ from those of other insurers or groups of insurers to reflect the requirements of the operating methods of any insurer or group with respect to any class of insurance, or with respect to any subdivision or combination thereof for which subdivision or combination separate expense provisions are applicable; and

     (4)  Risks may be grouped by classifications for the establishing of rates and minimum premiums.  Classification rates may be modified to produce rates for individual risks in accordance with rating plans which establish standards for measuring variations in hazards or expense provisions, or both.  The standards may measure any differences among risks that can be demonstrated to have a probable effect upon losses or expenses."

     2.   By amending subsection (c) to read:

     "(c)  After June 7, 1989, each insurer of a motorcycle, [or] motor scooter, or moped shall provide a fifteen per cent reduction off premium charges each insurer assesses for each new and renewal policy for liability coverage issued pursuant to this article if the applicant has successfully completed a motorcycle education course approved by the department of transportation."

     SECTION 11.  Section 431:10G-202, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  Every insurer shall file with the commissioner every manual of classification, rule, rate, rating plan, designation of rating territories, or standard for motorcycle, [or] motor scooter, or moped insurance which it proposes to use.  Every filing shall state the proposed effective date of the filing and the character and extent of the coverage contemplated."

     SECTION 12.  Section 431:10G-206, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10G-206  Rate administration.  Except as otherwise provided in this article, the commissioner shall implement and evaluate motorcycle, [and] motor scooter, or moped insurance rates in compliance with article 14."

     SECTION 13.  Section 431:10G-301, Hawaii Revised Statutes, is amended as follows:

     1.   By amending its title and subsection (a) to read:

     "§431:10G-301  Required motorcycle, [and] motor scooter, and moped policy coverage.  (a)  An insurance policy covering a motorcycle, [or] motor scooter, or moped shall provide insurance in the following amounts to pay, on behalf of the owner or any operator of the insured motorcycle, [or] motor scooter, or moped, sums that the owner or any operator may legally be obligated to pay for injury, death, or damage to the property of others, except property owned by, being transported by, or in charge of the insured that arise out of the ownership, operation, maintenance, or use of the motorcycle, [or] motor scooter[:], or moped:

     (1)  Liability coverage of not less than $20,000 per person, with an aggregate limit of $40,000 per accident, for all damages arising out of accidental harm sustained as a result of any one accident; and

     (2)  Liability coverage of not less than $10,000 for all damages arising out of injury to or destruction of property, including motorcycles, [or] motor scooters, or mopeds and including the loss of use thereof, but not including property owned by, being transported by, or in the charge of the insured, as a result of any one accident[.];

     (3)  With respect to any motorcycle, motor scooter, or moped registered or principally garaged in this State, liability coverage provided therein or supplemental thereto, in limits for bodily injury or death set forth in paragraph (1), under provisions filed with and approved by the commissioner, for the protection of persons insured thereunder who are legally entitled to recover damages from owners or operators of uninsured motor vehicles, as well as owners or operators of motorcycles, motor scooter, or mopeds, because of bodily injury, sickness, or disease, including death, resulting therefrom; provided that the coverage required under this paragraph shall not be applicable where any named insured in the policy rejects the coverage in writing; and

     (4)  Coverage for loss resulting from bodily injury or death suffered by any person legally entitled to recover damages from owners or operators of underinsured motor vehicles, as well as motorcycles, motor scooters, or mopeds.  An insurer may offer underinsured motorcycle, motor scooter, or moped coverage required by this paragraph in the same manner as uninsured motorcycle, motor scooter, or moped coverage; provided that the offer of both shall:

         (A)  Be conspicuously displayed so as to be readily noticeable by the insured;

         (B)  Set forth the premium for the coverage adjacent to the offer in a manner that the premium is clearly identifiable with the offer and may be easily subtracted from the total premium to determine the premium payment due in the event the insured elects not to purchase the option; and

         (C)  Provide for written rejection of the coverage by requiring the insured to affix the insured's signature in a location adjacent to or directly below the offer."

      2.  By amending subsection (c) to read:

     (c)  Any operator or passenger of a motorcycle, [or] motor scooter, or moped as defined in section 286-2 who receives injuries or dies in a motor vehicle accident may not claim personal injury protection benefits under a motor vehicle insurance policy, unless expressly provided for in the motor vehicle policy."

PART III

     SECTION 14.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

     SECTION 15.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 16.  This Act shall take effect upon its approval.

 

INTRODUCED BY:	_____________________________

 

 

Report Title:

Insurance; Motorcycles; Motor Scooters; Mopeds

 

Description:

Prohibits the importation and sale of combustion engine mopeds beginning on January 1, 2019.  Prohibits combustion engine mopeds from being operated on public highways, roadways, or streets beginning on January 1, 2025.  Requires motorcycles, motor scooters, and mopeds to have liability and bodily injury insurance coverage and the option to obtain uninsured and underinsured insurance coverage.  Requires mopeds to meet various insurance requirements established for motorcycles and motor scooters.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.