Senate Bill #2426 (2018)
AN ACT RELATING TO MOTOR AND OTHER VEHICLES - UNINSURED MOTORIST IDENTIFICATION DATABASE PROCEDURE
Mandates each motor vehicle policy insurer provide a weekly record of each policy to the department of motor vehicles. A vehicle owner not insured for four (4) reporting periods must be notified to meet certain requirements.
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2018-02-15: Introduced, referred to Senate Judiciary
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2018-03-30: Scheduled for hearing and/or consideration (04/03/2018)
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2018-04-03: Committee recommended measure be held for further study
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2018-06-01: Scheduled for consideration (06/05/2018)
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2018-06-05: Committee recommends passage of Sub A
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2018-06-06: Placed on Senate Calendar (06/12/2018)
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2018-06-12: Senate passed Sub A
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2018-06-13: Referred to House Judiciary
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2018-06-21: Placed on the House Consent Calendar (06/22/2018)
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2018-06-21: Placed on the House Consent Calendar (06/21/2018)
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2018-06-22: House passed Sub A in concurrence
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2018-07-02: Transmitted to Governor
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2018-07-02: Signed by Governor
Changes since original draft
2018 – S 2426- 2018 – S 2426 SUBSTITUTE A
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LC004777- LC004777/SUB A
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S T A T E O F R H O D E I S L A N D IN GENERAL ASSEMBLY JANUARY SESSION, A.D. 2018 ____________ A N A C T RELATING TO MOTOR AND OTHER VEHICLES - UNINSURED MOTORIST IDENTIFICATION DATABASE PROCEDURE- S TATE OF RHODE IS L AND
- IN GENERAL ASSEMBLY
- JANUARY SESSION, A.D. 2018
- ____________
- A N A C T
- RELATING TO MOTOR AND OTHER VEHICLES - UNINSURED MOTORIST
- IDENTIFICATION DATABASE PROCEDURE
- Introduced By: Senators Lombardi, Lynch Prata, Archambault, Ciccone, and
Nesselbush- Nesselbush
- Date Introduced: February 15, 2018
- Referred To: Senate Judiciary
- It is enacted by the General Assembly as follows:
SECTION 1. Section 31-47.4-3 and 31-47.4-4 of the General Laws in Chapter 31-47.4 entitled "Uninsured Motorist Identification Database Procedure" are hereby amended to read as follows: 31-47.4-3. Motor vehicle insurance reporting – Penalty. (a) Each insurer that issues a policy that includes motor vehicle liability coverage, uninsured motorist coverage, underinsured motorist coverage, or personal injury coverage under this section shall, before the seventh (7th) day of each calendar month, provide weekly to the division of motor vehicles designated agent selected in accordance with the uninsured motorist identification database program, a record of each motor vehicle insurance policy in effect for vehicles registered or garaged in Rhode Island as of the date of the previous submission that was issued by the insurer. (b) This subsection does not preclude more frequent reporting by an insurer on a voluntary basis. (c) (1) A record provided by an insurer under subsection (a) shall include: (i) The make, year, and vehicle identification number of each insured vehicle; and (ii) The policy number, effective date, and expiration date of each policy. (iii) The name, date of birth, and if available, driver's license number of each insured owner or operator, and the address of the named insured; and- SECTION 1. Sections 31-47.4-2, 31-47.4-3 and 31-47.4-4 of the General Laws in Chapter 31-47.4 entitled "Uninsured Motorist Identification Database Procedure" are hereby amended to read as follows:
- 31-47.4-2. Program creation – Administration – Selection of designated agent – Duties – Rulemaking – Audits.
- (a) There is hereby created the Uninsured Motorist Identification Database Program to:
- (1) Establish an Uninsured Motorist Identification Database to verify compliance with motor vehicle owner's or operator's security requirements under chapter 31-47 and other provisions under this chapter, and;
- (2) Assist in reducing the number of uninsured motor vehicles on the highways of the state;
- (b) The program shall be administered by the division of motor vehicles with the assistance of the designated agent.
- (c) The program will be funded by a percentage of the reinstatement fees collected pursuant to this chapter. The percentage of the reinstatement fee that will be provided to the designated agent will be determined by the division of motor vehicles. These fees will be maintained in the uninsured motorist identification restricted account.
- (d) (1) The division of motor vehicles shall contract with a third party to establish and maintain an Uninsured Motorist Identification Database for the purposes established under this chapter.
- (2) The contract may not obligate the department to pay the third party more money than is available in the account.
- (e) (1) The third party under contract under this section is the department's designated agent, and shall develop and maintain a computer database from the information provided by:
- (i) Automobile liability insurers under § 31-47.4-3; and
- (ii) The division of motor vehicles.
- (2) The database shall be developed and maintained by the designated agent in accordance with guidelines established by the division of motor vehicles so that state and local law enforcement agencies can efficiently access the records of the database, including reports useful for the implementation of the provisions of this chapter.
- (i) The reports provided by the designated agent shall be in a form and contain information approved by the division of motor vehicles.
- (ii) The reports may be made available through the Internet or through other electronic medium, if the division of motor vehicles determines that sufficient security is provided to ensure compliance regarding limitations on disclosure of information in the database.
- (f) With information provided by the division of motor vehicles, the designated agent shall, at least monthly, on a weekly basis, for submissions under subsection 31-47.4-3:
- (1) Update the database with the motor vehicle insurance information provided by the insurers in accordance with § 31-47.4-3; and
- (2) Compare all current motor vehicle registrations against the database.
- (g) The division shall provide the designated agent with the name, date of birth, address, and driver license number, if available, of all persons having active registrations. The division shall also provide the make, year and vehicle identification number for all active registrations.
- (h) In accordance with chapter 42-35, "The Administrative Procedures Act," the division of motor vehicles shall make rules and develop procedures to use the database for the purpose of administering and enforcing this chapter.
- (i) The designated agent shall archive computer data files at least semi-annually for auditing purposes.
- (2) The internal audit unit of the department of administration shall audit the program at least every three (3) years.
- (3) The audit under subdivision (h)(2) shall include verification of:
- (i) Billings made by the designated agent; and
- LC004777/SUB A - Page 2of 6
- (ii) The accuracy of the designated agent's matching of vehicle registration with insurance data.
- 31-47.4-3. Motor vehicle insurance reporting – Penalty.
- (a) Each insurer that issues a policy that includes motor vehicle liability coverage, uninsured motorist coverage, underinsured motorist coverage, or personal injury coverage under this section shall, before the seventh (7th) day of each calendar month, provide weekly to the division of motor vehicles designated agent selected in accordance with the uninsured motorist identification database program, a record of each motor vehicle insurance policy in effect for vehicles registered or garaged in Rhode Island as of the date of the previous submission that was issued by the insurer.
- (b) This subsection does not preclude more frequent reporting by an insurer on a voluntary basis.
- (c) (1) A record provided by an insurer under subsection (a) shallinclude:
- (i) The make, year, and vehicle identification number of each insured vehicle; and
- (ii) The policy number, effective date, and expiration date of each policy.
- (iii) The name, date of birth, and if available, driver's license number of each insured owner or operator, and the address of the named insured; and
- (d) Each insurer shall provide this information by an electronic means or by another form the division of motor vehicles designated agent agrees to accept.
(e) (1) The division of motor vehicles may, following procedures adopted pursuant to chapter 42-35, "The Administrative Procedures Act," assess a fine against an insurer of up to two hundred fifty dollars ($250) for each day the insurer fails to comply with this section. (2) The division of motor vehicles shall excuse the fine if an insurer shows that the failure to comply with this section was:- (e) (1) The division of motor vehicles may, following procedures adopted pursuant to chapter 42-35, "The Administrative Procedures Act,"assess a fine against an insurer of up to two hundred fifty dollars ($250) for each day the insurer fails to comply with this section.
- (2) The division of motor vehicles shallexcuse the fine if an insurer shows that the failure to comply with this section was:
- (i) Inadvertent;
- (ii) Accidental; or
- (iii) The result of excusable neglect.
- 31-47.4-4. Notice – Proof – Revocation of registration – False statement – Penalties.
- (a) If the comparison under § 31-47.4-2 shows that a motor vehicle is not insured for three (3) four (4) consecutive reporting periods as set forth in § 31-47.4-3(a), months, the division of motor vehicles shall direct that the designated agent provide notice to the owner of the motor vehicle that the owner has fifteen (15) days to provide to the designated agent:
- (1) Proof of owner's or operator's security; or
- LC004777/SUB A - Page 3of 6
- (2) Proof of exemption from the owner's or operator's security requirements.
- (b) If an owner of a motor vehicle fails to provide satisfactory proof of owner's or operator's security to the designated agent, the designated agent shall:
- (1) Provide a second (2nd) notice to the owner of the motor vehicle that the owner now has fifteen (15) days to provide:
- (i) Proof of owner's or operator's security; or
- (ii) Proof of exemption from the owner's or operator's security requirements;
- (c) For each notice provided, the designated agent shall:
- (i) Indicate information relating to the owner's failure to provide proof of owner's or operator's security in the database;
- (ii) Provide this information to the division of motor vehicles; and
- (d) If the designated agent notifies the department of motor vehicles that an owner of a motor vehicle failed to provide satisfactory proof of owner's or operator's security to the designated agent, the division of motor vehicles:
- (1) Shall revoke the registration;
- (2) Shall provide appropriate notices of the revocation, the legal consequences of operating a vehicle with revoked registration and without owner's or operator's security and instructions on how to get the registration reinstated.
(e) A registration that has been revoked under this section shall not be reinstated and a new license or registration shall not be issued to the holder of the revoked registration until the person: (1) Pays to the division of motor vehicles an administrative reinstatement fee of two hundred fifty dollars ($250), the fee imposed by the section is in addition to any other fines or penalties imposed by law; (2) Complies with the other requirements of this act. The fee imposed by this section is in addition to any other fees or penalties imposed by law. (f) The department of motor vehicles may direct the designated agent to provide the notices under subsection (d)(2). (g) Any action by the division of motor vehicles to revoke the registration of a motor vehicle under this section may be in addition to an action by a law enforcement agency to impose the penalties. (h) (1) A person may not provide a false or fraudulent statement to the division of motor vehicles or designated agent. (2) In addition to any other penalties, a person who violates paragraph (h)(1) is guilty of a misdemeanor.- (e) A registration that has been revoked under this section shall not be reinstated and a new license or registration shall not be issued to the holder of the revoked registration until the person:
- (1) Pays to the division of motor vehicles an administrative reinstatement fee of two hundred fifty dollars ($250), the fee imposed by the section is in addition to any other fines or penalties imposed by law;
- (2) Complies with the other requirements of this act. The fee imposed by this section is in addition to any other fees or penalties imposed by law.
- (f) The department of motor vehicles may direct the designated agent to provide the notices under subsection (d)(2).
- (g) Any action by the division of motor vehicles to revoke the registration of a motor vehicle under this section may be in addition to an action by a law enforcement agency to impose the penalties.
- (h) (1) A person may not provide a false or fraudulent statement to the division of motor vehicles or designated agent.
- (2) In addition to any other penalties, a person who violates paragraph (h)(1) is guilty of a
- LC004777/SUB A - Page 4of 6 misdemeanor.
- (i) This section does not affect other actions or penalties that may be taken or imposed for violation of the owner's and operator's security requirements of this title.
SECTION 2. This act shall take effect on January 1, 2019. ======== LC004777 ======== EXPLANATION BY THE LEGISLATIVE COUNCIL OF A N A C T RELATING TO MOTOR AND OTHER VEHICLES - UNINSURED MOTORIST IDENTIFICATION DATABASE PROCEDURE- SECTION 3. This act shalltake effect on January 1, 2019. ======== LC004777/SUB A ========
- LC004777/SUB A - Page 5of 6
- EXPLANATION
- BY THE LEGISLATIVE COUNCIL
- OF
- A N A C T
- RELATING TO MOTOR AND OTHER VEHICLES - UNINSURED MOTORIST
- IDENTIFICATION DATABASE PROCEDURE
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This act would mandate each insurer that issues a policy that includes motor vehicle liability coverage, uninsured motorist coverage, underinsured motorist coverage, or personal injury coverage to provide weekly to an agent of the department of motor vehicles, a record of each policy. The agent would also give notice to an owner of a vehicle who for four (4) consecutive reporting periods is shown not to be insured to provide information to the department within fifteen (15) days. This act would take effect on January 1, 2019. ======== LC004777 ========- This act would mandate each insurer that issues a policy that includes motor vehicle liability coverage, uninsured motorist coverage, underinsured motorist coverage, or personal injury coverage to provide weekly records of each policy to an agent of the division of motor vehicles. The agent shall also give notice to an owner of a vehicle who, for four (4) consecutive reporting periods, is shown not to be insured and shall be required to provide insurance information to the division within fifteen (15) days.
- This act would take effect on January 1, 2019. ======== LC004777/SUB A ========
- LC004777/SUB A - Page 6of 6
Votes
NOTE: Electronic voting records are unofficial and may not be accurate. For an official vote tally, check the
House or Senate Journal from the day of the vote.
June 12, 2018 at 5:42pm
Yeas: 36 /
Nays: 0 /
Not voting: 1 /
Recused: 0
Floor vote for PASSAGE
IN CONCURRENCE
June 22, 2018 at 4:36pm
Yeas: 69 /
Nays: 0 /
Not voting: 6 /
Recused: 0