Assembly Bill No. 37–Assemblywoman Gibbons

 

Prefiled January 31, 2003

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Referred to Committee on Commerce and Labor

 

SUMMARY—Revises applicability of certain reduction of premiums of certain policies of insurance related to motor vehicles. (BDR 57‑771)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to insurance; revising the applicability of a certain reduction in the premiums of certain policies of insurance related to motor vehicles; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1. NRS 690B.029 is hereby amended to read as

1-2  follows:

1-3  690B.029  1.  A policy of insurance against liability arising

1-4  out of the ownership, maintenance or use of a motor vehicle

1-5  delivered or issued for delivery in this state to a person who is [55]

1-6  50 years of age or older must contain a provision for the reduction in

1-7  the premiums for 3-year periods if the insured:

1-8  (a) Successfully completes, after attaining [55] 50 years of age

1-9  and every 3 years thereafter, a course of traffic safety approved by

1-10  the Department of Motor Vehicles; and

1-11      (b) For the 3-year period before completing the course of traffic

1-12  safety and each 3-year period thereafter:

1-13          (1) Is not involved in an accident involving a motor vehicle

1-14  for which the insured is at fault;

1-15          (2) Maintains a driving record free of violations; and

2-1       (3) Has not been convicted of or entered a plea of guilty,

2-2  guilty but mentally ill or nolo contendere to a moving traffic

2-3  violation or an offense involving:

2-4           (I) The operation of a motor vehicle while under the

2-5  influence of intoxicating liquor or a controlled substance; or

2-6           (II) Any other conduct prohibited by NRS 484.379 or

2-7  484.3795 or a law of any other jurisdiction that prohibits the same or

2-8  similar conduct.

2-9  2.  The reduction in the premiums provided for in subsection 1

2-10  must be based on the actuarial and loss experience data available to

2-11  each insurer and must be approved by the Commissioner. Each

2-12  reduction must be calculated based on the amount of the premium

2-13  before any reduction in that premium is made pursuant to this

2-14  section, and not on the amount of the premium once it has been

2-15  reduced.

2-16      3.  A course of traffic safety that an insured is required to

2-17  complete as the result of moving traffic violations must not be used

2-18  as the basis for a reduction in premiums pursuant to this section.

2-19      4.  The organization that offers a course of traffic safety

2-20  approved by the Department of Motor Vehicles shall issue a

2-21  certificate to each person who successfully completes the course. A

2-22  person must use the certificate to qualify for the reduction in the

2-23  premiums pursuant to this section.

2-24      5.  The Commissioner shall review and approve or disapprove a

2-25  policy of insurance that offers a reduction in the premiums pursuant

2-26  to subsection 1. An insurer must receive written approval from the

2-27  Commissioner before delivering or issuing a policy with a provision

2-28  containing such a reduction.

2-29      Sec. 2.  The amendatory provisions of this act apply to a policy

2-30  of insurance that is delivered, issued for delivery or renewed on or

2-31  after October 1, 2003.

 

2-32  H