Bill Text: MI SB0392 | 2013-2014 | 97th Legislature | Introduced

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Bill Title: Insurance; no-fault; proof of insurance; allow electronic verification. Amends secs. 3101a & 3102 of 1956 PA 218 (MCL 500.3101a & 500.3102). TIE BAR WITH: SB 0391'13

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2013-10-02 - Referred To Committee Of The Whole [SB0392 Detail]

Download: Michigan-2013-SB0392-Introduced.html

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SENATE BILL No. 392

 

 

May 23, 2013, Introduced by Senator HUNE and referred to the Committee on Transportation.

 

 

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

by amending sections 3101a and 3102 (MCL 500.3101a and 500.3102),

 

section 3101a as amended by 2011 PA 91 and section 3102 as amended

 

by 1990 PA 79.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3101a. (1) Except as otherwise provided in this section,

 

an insurer, in conjunction with the issuance of an a policy for

 

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 Except as otherwise provided in

 

this section, the policyholder shall be filed file the secretary of

 

state's copy with the secretary of state by the policyholder upon

 

on application for a vehicle registration. The secretary of state

 

shall not maintain the certificate of insurance received under this

 

subsection on file.

 

     (2) Beginning December 30, 2011, an insurer, in conjunction

 

with the issuance of an automobile insurance policy, shall provide

 

do both of the following:

 

     (a) Provide to the insured 1 certificate of insurance for each

 

insured vehicle. , and for The insurer may provide the certificate

 

of insurance in electronic form if requested by the insured.

 

     (b) For private passenger nonfleet automobiles listed on the

 

policy, shall supply to the secretary of state, in the format and

 

timeline as required by the secretary of state, which shall not be

 

required more frequently than every 14 days, the automobile

 

insurer's name, the named insured, the named insured's address, the

 

vehicle identification number for each such vehicle listed on the

 

policy, and the policy number. Until December 31, 2014, the

 

secretary of state shall provide policy information received under

 

this subsection subdivision to the department of community health

 

as required for the department of community health to comply with

 

2006 PA 593, MCL 550.281 to 550.289. In determining the format

 

under this subsection, subdivision, the secretary of state shall

 

consult with insurers. As used in this subsection, subdivision,

 

"private passenger nonfleet automobile" means that term as defined

 

in section 3303.

 

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

 

insurance a transmission of the insured vehicle's vehicle

 

identification number. Policy information submitted by an insurer

 

and received by the secretary of state under this section is

 

confidential, is not subject to the freedom of information act,

 

1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed to

 

any person except the department of community health for purposes

 

of 2006 PA 593, MCL 550.281 to 550.289, or pursuant in response to

 

an order by 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.

 

     (4) 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.

 

     (5) The department of community health shall report to the

 

senate and house of representatives appropriations committees and

 

standing committees concerning insurance issues on the number of

 

claims and total dollar amount recovered from automobile insurers

 

pursuant to under 2006 PA 593, MCL 550.281 to 550.289. The reports

 

required by this subsection shall be given to the appropriations

 

committees and standing committees concerning insurance issues by

 

December 30, 2012 and December 30, 2013 and shall cover the

 

immediately preceding 12-month period.

 

     Sec. 3102. (1) A nonresident owner or registrant of a motor

 

vehicle or motorcycle not registered in this state shall not

 

operate or permit the motor vehicle or motorcycle to be operated in

 

this state for an aggregate of more than 30 days in any calendar

 

year unless he or she continuously maintains security for the

 

payment of benefits pursuant to under this chapter.

 

     (2) An owner or registrant of a motor vehicle or motorcycle

 

with respect to which security is required , who operates the motor

 

vehicle or motorcycle or permits it to be operated upon a public

 

highway in this state , without having in full force and effect

 

security complying with this section or section 3101 or 3103 is

 

guilty of a misdemeanor. A person who operates a motor vehicle or

 

motorcycle upon a public highway in this state with the knowledge

 

that the owner or registrant does not have security in full force

 

and effect is guilty of a misdemeanor. A person convicted of a

 

misdemeanor under this section shall be fined is subject to a fine

 

of not less than $200.00 nor more than $500.00, imprisoned

 

imprisonment for not more than 1 year, or both.

 

     (3) The failure of a person to produce evidence, in paper or

 

electronic form, that a motor vehicle or motorcycle has in full

 

force and effect security complying with this section or section

 

3101 or 3103 on the date of the issuance of the citation , creates

 

a rebuttable presumption in a prosecution under subsection (2) that

 

the motor vehicle or motorcycle did not have in full force and

 

effect security complying with this section or section 3101 or 3103

 

on the date of the issuance of the citation.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No. 391                                    

 

          of the 97th Legislature is enacted into law.