Text: HF02453 Text: HF02455 Text: HF02400 - HF02499 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 HOUSE FILE 2454 1 2 1 3 AN ACT 1 4 RELATING TO MOTOR VEHICLE OPERATOR PROOF OF FINANCIAL 1 5 RESPONSIBILITY AND PROVIDING AN EFFECTIVE DATE AND FOR 1 6 RETROACTIVE APPLICABILITY. 1 7 1 8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 1 9 0 MARGINS L 1 10 Section 1. Section 321.20B, subsections 1, 2, and 3, Code 1 11 Supplement 1997, are amended to read as follows: 1 12 1. Notwithstanding chapter 321A, which requires certain 1 13 persons to maintain proof of financial responsibility, a 1 14 person shall not drive a motor vehiclewhich is registered in1 15this stateon the highways of this state unless financial 1 16 liability coverage, as defined in section 321.1, subsection 1 17 24A, is in effect for the motor vehicle and unless the driver 1 18 has in the motor vehicle the proof of financial liability 1 19 coverage card issued for the motor vehicle, or if the vehicle 1 20 is registered in another state, other evidence that financial 1 21 liability coverage is in effect for the motor vehicle. 1 22 This subsection does not apply to the operator of a motor 1 23 vehicle owned by or leased to the United States, this state or 1 24 another state, or any political subdivision of this state or 1 25 of another state, or to a motor vehicle which is subject to 1 26 section325.26, 327.15, 327A.5,325A.6 or 327B.6. 1 27 2. a. An insurance company transacting business in this 1 28 state shall issue to its insured owners of motor vehicles 1 29 registered in this state a financial liability coverage card 1 30 for eachregisteredmotor vehicle insured. Each financial 1 31 liability coverage card shall identify the registration number 1 32 or vehicle identification number of the motor vehicle insured 1 33 and shall indicate the expiration date of the applicable 1 34 insurance coverage. The financial liability coverage card 1 35 shall also contain the name and address of the insurer or the 2 1 name of the insurer and the name and address of theinsurer2 2 insurance agency, the name of the insured,the type of2 3coverage provided,and an emergency telephone number of the 2 4 insurer or emergency telephone number of the insurance agency. 2 5 b. The insurance division and the department, as 2 6 appropriate, shall adopt rules regarding the contents of a 2 7 financial liability coverage card to be issued pursuant to 2 8 this section. Notwithstanding the provisions of this section, 2 9 a fleet ownershallis notberequired to maintain in each 2 10 vehicle a financial liability coverage card with the 2 11 individual registration number or the vehicle identification 2 12 number of the vehicle included on the card. Such fleet owner 2 13 shall be required to maintain a financial liability coverage 2 14 card in each vehicle in the fleet including information deemed 2 15 appropriate by the commissioner of insurance or the director, 2 16 as applicable. 2 17 3. If the financial liability coverage for a motor vehicle 2 18 which is registered in this state is canceled or terminated 2 19 effective prior to the expiration date indicated on the 2 20 financial liability coverage card issued for the vehicle, the 2 21 person to whom the financial liability coverage card was 2 22 issued shall destroy the card. 2 23 Sec. 2. Section 321.20B, subsections 4 and 5, Code 2 24 Supplement 1997, are amended by striking the subsections and 2 25 inserting in lieu thereof the following: 2 26 4. a. If a peace officer stops a motor vehicle registered 2 27 in this state and the driver is unable to provide proof of 2 28 financial liability coverage, the peace officer shall do one 2 29 of the following: 2 30 (1) Issue a warning memorandum to the driver. 2 31 (2) Issue a citation to the driver. If a citation is 2 32 issued, the citation shall be issued under this subparagraph 2 33 unless the driver has been previously charged and cited for a 2 34 violation of subsection 1. A citation which is issued and 2 35 subsequently dismissed shall be disregarded for purposes of 3 1 determining if the driver has been previously charged and 3 2 cited. 3 3 (3) Issue a citation and remove the motor vehicle's 3 4 license plates and registration receipt. Upon removing the 3 5 license plates and registration receipt, the peace officer 3 6 shall deliver the plates for destruction, as appropriate, and 3 7 forward the registration receipt and evidence of the 3 8 violation, as determined by the department, to the county 3 9 treasurer of the county in which the motor vehicle is 3 10 registered. The motor vehicle may be driven for a time period 3 11 of up to forty-eight hours after receiving the citation solely 3 12 for the purpose of removing the motor vehicle from the 3 13 highways of this state, unless the driver's operating 3 14 privileges are otherwise suspended. 3 15 After receiving the citation, the driver shall keep the 3 16 citation in the motor vehicle at all times while driving the 3 17 motor vehicle as provided in this subparagraph, as proof of 3 18 the driver's privilege to drive the motor vehicle for such 3 19 limited time and purpose. 3 20 (4) (a) Issue a citation, remove the motor vehicle's 3 21 license plates and registration receipt, and impound the motor 3 22 vehicle. The peace officer shall deliver the plates for 3 23 destruction, as appropriate, and forward the registration 3 24 receipt and evidence of the violation, as determined by the 3 25 department, to the county treasurer of the county in which the 3 26 motor vehicle is registered. 3 27 (b) A motor vehicle which is impounded may be claimed by a 3 28 person if the owner provides proof of financial liability 3 29 coverage and proof of payment of any applicable fine and the 3 30 costs of towing and storage for the motor vehicle. If the 3 31 motor vehicle is not claimed within thirty days after 3 32 impoundment, the motor vehicle may be treated as an abandoned 3 33 vehicle pursuant to section 321.89. 3 34 (c) The holder of a security interest in a motor vehicle 3 35 which is impounded pursuant to this subparagraph shall be 4 1 notified of the impoundment within seventy-two hours of the 4 2 impoundment of the motor vehicle and shall have the right to 4 3 claim the motor vehicle upon the payment of all fees. 4 4 However, if the value of the vehicle is less than the security 4 5 interest, all fees shall be divided equally between the 4 6 lienholder and the political subdivision impounding the 4 7 vehicle. 4 8 b. An owner or driver of a motor vehicle who is charged 4 9 with a violation of subsection 1 and issued a citation under 4 10 paragraph "a", subparagraph (3) or (4), is subject to the 4 11 following: 4 12 (1) An owner or driver who produces to the clerk of court, 4 13 within thirty days of the issuance of the citation under 4 14 paragraph "a", or prior to the date of the individual's court 4 15 appearance as indicated on the citation, whichever is earlier, 4 16 proof that financial liability coverage was in effect for the 4 17 motor vehicle at the time the person was stopped and cited, 4 18 or, if the driver is not the owner of the motor vehicle, proof 4 19 that liability coverage was in effect for the driver with 4 20 respect to the motor vehicle being driven at the time the 4 21 driver was stopped and cited, in the same manner as if the 4 22 motor vehicle were owned by the driver, shall be given a 4 23 receipt indicating that such proof was provided and be subject 4 24 to one of the following: 4 25 (a) If the person was cited pursuant to paragraph "a", 4 26 subparagraph (3), the owner or driver shall provide a copy of 4 27 the receipt to the county treasurer of the county in which the 4 28 motor vehicle is registered and the owner shall be assessed a 4 29 fifteen dollar administrative fee by the county treasurer who 4 30 shall issue new license plates and registration to the person 4 31 after payment of the fee. 4 32 (b) If the person was cited pursuant to paragraph "a", 4 33 subparagraph (4), the owner or driver, after the owner 4 34 provides proof of financial liability coverage to the clerk of 4 35 court, may claim the motor vehicle after such person pays any 5 1 applicable fine and the costs of towing and storage for the 5 2 motor vehicle, and the owner or driver provides a copy of the 5 3 receipt and the owner pays to the county treasurer of the 5 4 county in which the motor vehicle is registered a fifteen 5 5 dollar administrative fee, and the county treasurer shall 5 6 issue new license plates and registration to the person. 5 7 (2) An owner or driver who is charged with a violation of 5 8 subsection 1 and is unable to show that financial liability 5 9 coverage was in effect for the motor vehicle at the time the 5 10 person was stopped and cited may do either of the following: 5 11 (a) Sign an admission of violation on the citation and 5 12 remit to the clerk of court a scheduled fine as provided in 5 13 section 805.8, subsection 2, for a violation of subsection 1. 5 14 Upon payment of the fine to the clerk of court of the county 5 15 where the citation was issued, payment of a fifteen dollar 5 16 administrative fee to the county treasurer of the county in 5 17 which the motor vehicle is registered, and providing proof of 5 18 payment of any applicable fine and proof of financial 5 19 liability coverages to the county treasurer of the county in 5 20 which the motor vehicle is registered, the treasurer shall 5 21 issue new license plates and registration to the owner. 5 22 (b) Request an appearance before the court on the matter. 5 23 If the matter goes before the court, and the owner or driver 5 24 is found guilty of a violation of subsection 1, the court may 5 25 impose a fine as provided in section 805.8, subsection 2, for 5 26 a violation of subsection 1, or the court may order the person 5 27 to perform unpaid community service instead of the fine. Upon 5 28 the payment of the fine or the entry of the order for unpaid 5 29 community service, the person shall provide proof of payment 5 30 or entry of such order and the county treasurer of the county 5 31 in which the motor vehicle is registered shall issue new 5 32 license plates and registration to the owner upon the owner 5 33 providing proof of financial liability coverage and paying a 5 34 fifteen dollar administrative fee to the county treasurer. 5 35 c. An owner or driver cited for a violation of subsection 6 1 1, who produces to the clerk of court within thirty days of 6 2 the issuance of the citation proof that financial liability 6 3 coverage was in effect for the motor vehicle at the time the 6 4 person was stopped and cited as provided in paragraph "b", 6 5 shall not be convicted of such violation and the citation 6 6 issued shall be dismissed. 6 7 5. If the motor vehicle is not registered in this state 6 8 and the driver is a nonresident, the peace officer shall do 6 9 one of the following: 6 10 a. Issue a warning memorandum to the driver. 6 11 b. Issue a citation. An owner or driver who produces to 6 12 the clerk of court within thirty days of the issuance of the 6 13 citation, or prior to the date of the individual's court 6 14 appearance as indicated on the citation, whichever is earlier, 6 15 proof that the financial liability coverage was in effect for 6 16 the motor vehicle at the time the person was stopped and 6 17 cited, or if the driver is not the owner of the motor vehicle, 6 18 proof that liability coverage was in effect for the driver 6 19 with respect to the motor vehicle being driven at the time the 6 20 driver was stopped and cited in the same manner as if the 6 21 motor vehicle were owned by the driver, shall be given a 6 22 receipt indicating that proof was provided, and the citation 6 23 issued shall be dismissed. 6 24 Sec. 3. Section 321.20B, subsections 6 and 7, Code 6 25 Supplement 1997, are amended to read as follows: 6 26 6. This sectionapplies to a motor vehicle subject to6 27registration under this chapter other thandoes not apply to a 6 28 motor vehicle identified in section 321.18, subsections 1 6 29 through 6, and subsection 8. 6 30 7. This section does not apply to a motor vehicle owned by 6 31 a motor vehicle dealer or wholesaler licensed pursuant to 6 32 chapter 322. 6 33 Sec. 4. Section 321.20B, Code Supplement 1997, is amended 6 34 by adding the following new subsection: 6 35 NEW SUBSECTION. 6A. This section does not apply to a 7 1 lienholder who has a security interest in a motor vehicle 7 2 subject to the registration requirements of this chapter, so 7 3 long as such lienholder maintains financial liability coverage 7 4 for any motor vehicle driven or moved by the lienholder in 7 5 which the lienholder has an interest. 7 6 Sec. 5. Section 321.57, unnumbered paragraph 1, Code 7 7 Supplement 1997, is amended to read as follows: 7 8 A dealer owning any vehicle of a type otherwise required to 7 9 be registered under this chapter may operate or move the 7 10 vehicle upon the highways solely for purposes of transporting, 7 11 testing, demonstrating, or selling the vehicle without 7 12 registering the vehicle, upon condition that the vehicle 7 13 display in the manner prescribed in sections 321.37 and 321.38 7 14 a special plate issued to the owner as provided in sections 7 15 321.58 to 321.62.However, if the vehicle is a motor vehicle,7 16the dealer, if subject to section 321.20B, shall maintain7 17financial liability coverage for the motor vehicle as required7 18under section 321.20B. AAdditionally, a new car dealer or a 7 19 used car dealer may operate or move upon the highways a new or 7 20 used car or trailer owned by the dealer for either private or 7 21 business purposes without registering it if the new or used 7 22 car or trailer is in the dealer's inventory and is 7 23 continuously offered for sale at retail, and there is 7 24 displayed on it a special plate issued to the dealer as 7 25 provided in sections 321.58 to 321.62. 7 26 Sec. 6. NEW SECTION. 322.27A WHOLESALER'S LICENSE. 7 27 A person shall not engage in business as a wholesaler of 7 28 motor vehicles in this state without a license as provided in 7 29 this chapter. 7 30 Prior to the issuance of such license, the department, at a 7 31 minimum, and in addition to any other information the 7 32 department deems necessary to the application, shall require 7 33 proof that the applicant has financial liability coverage as 7 34 defined in section 321.1, except that such coverage shall be 7 35 in limits of not less than one hundred thousand dollars 8 1 because of bodily injury to or death of one person in any one 8 2 accident and, subject to the limit for one person, three 8 3 hundred thousand dollars because of bodily injury to or death 8 4 of two or more persons in any one accident, and fifty thousand 8 5 dollars because of injury to or destruction of property of 8 6 others in any one accident. 8 7 Sec. 7. Section 805.8, subsection 2, paragraph ah, Code 8 8 Supplement 1997, is amended to read as follows: 8 9 ah. If, in connection with a motor vehicle accident,a 8 10 person is charged and found guilty of a violation of section 8 11 321.20B, subsection 1, the scheduled fine is one hundred 8 12 dollars. 8 13 Sec. 8. 1997 Iowa Acts, chapter 139, section 18, is 8 14 repealed. 8 15 Sec. 9. EFFECTIVE DATE AND RETROACTIVE APPLICABILITY. 8 16 This Act, being deemed of immediate importance, takes effect 8 17 upon enactment and applies retroactively to July 1, 1997. 8 18 8 19 8 20 8 21 RON J. CORBETT 8 22 Speaker of the House 8 23 8 24 8 25 8 26 MARY E. KRAMER 8 27 President of the Senate 8 28 8 29 I hereby certify that this bill originated in the House and 8 30 is known as House File 2454, Seventy-seventh General Assembly. 8 31 8 32 8 33 8 34 ELIZABETH ISAACSON 8 35 Chief Clerk of the House 9 1 Approved , 1998 9 2 9 3 9 4 9 5 TERRY E. BRANSTAD 9 6 Governor
Text: HF02453 Text: HF02455 Text: HF02400 - HF02499 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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