Bill Text: MI HB4633 | 2009-2010 | 95th Legislature | Introduced

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Bill Title: Insurance; no-fault; paperless insurance verification system; provide for. Amends sec. 3101a of 1956 PA 218 (MCL 500.3101a).

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2009-03-24 - Printed Bill Filed 03/20/2009 [HB4633 Detail]

Download: Michigan-2009-HB4633-Introduced.html

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HOUSE BILL No. 4633

 

March 19, 2009, Introduced by Rep. Johnson and referred to the Committee on Insurance.

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

by amending section 3101a (MCL 500.3101a), as amended by 1996 PA

 

456.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3101a. (1) An insurer, in conjunction with the issuance

 

of an automobile insurance policy, as defined in section 3303,

 

shall provide 2 certificates of insurance for each insured vehicle.

 

The insurer shall mark 1 of the certificates as the secretary of

 

state's copy, which copy, except as otherwise provided in

 

subsection (2), shall be filed with the secretary of state by the

 

policyholder upon application for a vehicle registration. The

 

secretary of state shall not maintain the certificate of insurance

 

received under this subsection on file.

 

     (2) The secretary of state shall accept as proof of vehicle

 

insurance a transmission, in the format required by the secretary

 

of state, of the insured vehicle's vehicle identification number.

 

Vehicle Except as otherwise provided in section 520a of the

 

Michigan vehicle code, 1949 PA 300, MCL 257.520a, vehicle

 

identification numbers received by the secretary of state under

 

this subsection are confidential and shall not be disclosed to any

 

person except pursuant to an order by order of a court of competent

 

jurisdiction in connection with a claim or fraud investigation or

 

prosecution. The transmission to the secretary of state of a

 

vehicle identification number is proof of insurance to the

 

secretary of state for motor vehicle registration purposes only and

 

is not evidence that a policy of insurance actually exists between

 

an insurer and an individual.

 

     (3) An insurer shall provide the unparsed data required by the

 

department of state police under section 520a of the Michigan

 

vehicle code, 1949 PA 300, MCL 257.520a. As used in this

 

subsection, "unparsed data" means that term as defined in section

 

520a of the Michigan vehicle code, 1949 PA 300, MCL 257.520a.

 

     (4) Once an insurer has received notification of the

 

implementation of the NLETS-authorized paperless verification

 

system under section 520a of the Michigan vehicle code, 1949 PA

 

300, MCL 257.520a, subsections (1) and (2) no longer apply to that

 

insurer. The secretary of state shall accept as proof of vehicle

 

insurance an automated verification that a motor vehicle is insured

 

obtained through the NLETS-authorized paperless verification system

 

for motor vehicle insurance coverage under section 520a of the

 

Michigan vehicle code, 1949 PA 300, MCL 257.520a.

 

     (5) (3) A person who supplies false information to the

 

secretary of state under this section or who issues or uses an

 

altered, fraudulent, or counterfeit certificate of insurance is

 

guilty of a misdemeanor punishable by imprisonment for not more

 

than 1 year , or a fine of not more than $1,000.00, or both.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No. 4634(request no.

 

01338'09) of the 95th Legislature is enacted into law.