Text: HF00549 Text: HF00551 Text: HF00500 - HF00599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 321A.1, subsection 11, Code 2003, is 1 2 amended to read as follows: 1 3 11. PROOF OF FINANCIAL RESPONSIBILITY. 1 4 Proof of ability to respond in damages for liability, on 1 5 account of accidents occurring subsequent to the effective 1 6 date of the proof, arising out of the ownership, maintenance, 1 7 or use of a motor vehicle, in amounts as follows: 1 8 With respect to accidents occurring on or after January 1, 1 91981, and prior to January 1, 1983, the amount of fifteen1 10thousand dollars because of bodily injury to or death of one1 11person in any one accident, and, subject to the limit for one1 12person, the amount of thirty thousand dollars because of1 13bodily injury to or death of two or more persons in any one1 14accident, and the amount of ten thousand dollars because of1 15injury to or destruction of property of others in any one1 16accident; and with respect to accidents occurring on or after1 17January 1, 19832004, the amount oftwentytwenty-five 1 18 thousand dollars because of bodily injury to or death of one 1 19 person in any one accident, and, subject to the limit for one 1 20 person, the amount offortyfifty thousand dollars because of 1 21 bodily injury to or death of two or more persons in any one 1 22 accident, and the amount offifteentwenty-five thousand 1 23 dollars because of injury to or destruction of property of 1 24 others in any one accident. 1 25 Sec. 2. Section 321A.5, subsection 3, Code 2003, is 1 26 amended to read as follows: 1 27 3. a. (1) A policy or bond is not effective under this 1 28 section unless issued by an insurance company or surety 1 29 company authorized to do business in this state, except that. 1 30 However, if the motor vehicle was not registered in this 1 31 state, or was a motor vehiclewhichthat was registered 1 32 elsewhere than in this state at the effective date of the 1 33 policy or bond,or the most recent renewalthereof, the policy 1 34 or bond is not effective under this section unless the 1 35 insurance company or surety company if not authorized to do 2 1 business in this state executes a power of attorney 2 2 authorizing the department to accept on its behalf serviceon2 3its behalfof notice or process in any action upon the policy 2 4 or bond arising out of the accident.However, with respect to2 5accidents occurring on or after January 1, 1981, and before2 6January 1, 1983, every such policy or bond is subject, if the2 7accident has resulted in bodily injury or death, to a limit,2 8exclusive of interest and costs, of not less than fifteen2 9thousand dollars because of bodily injury to or death of one2 10person in any one accident and, subject to the limit for one2 11person, to a limit of not less than thirty thousand dollars2 12because of bodily injury to or death of two or more persons in2 13any one accident, and, if the accident has resulted in injury2 14to or destruction of property, to a limit of not less than ten2 15thousand dollars because of injury to or destruction of2 16property of others in any one accident; and with2 17 (2) With respect to accidents occurring on or after 2 18 January 1,19832004, everysuchpolicy or bond is subject, if2 19 to the following limits: 2 20 (a) If the accident has resulted in bodily injury or 2 21 death, to a limit, exclusive of interest and costs, of not 2 22 less thantwentytwenty-five thousand dollars because of 2 23 bodily injury to or death of one person in any one accident 2 24 and, subject to the limit for one person, to a limit of not 2 25 less thanfortyfifty thousand dollars because of bodily 2 26 injury to or death of two or more persons in any one accident,2 27and, if. 2 28 (b) If the accident has resulted in injury to or 2 29 destruction of property, to a limit of not less thanfifteen2 30 twenty-five thousand dollars because of injury to or 2 31 destruction of property of others in any one accident. 2 32 b. Upon receipt of a report of a motor vehicle accident 2 33 and information that an automobile liability policy or surety 2 34 bond meeting the requirements of this chapter was in effect at 2 35 the time of this accident covering liability for damages 3 1 resulting from such accident, the department shall forward by 3 2 regular mail to the insurance carrier or surety carrier which 3 3 issued such policy or bond a copy of such information 3 4 concerning insurance or bond coverage, and it shall be 3 5 presumed that such policy or bond was in effect and provided 3 6 coverage to both the operator and the owner of the motor 3 7 vehicle involved in such accident unless the insurance carrier 3 8 or surety carrier shall notify the department otherwise within 3 9 fifteen days from the mailing of such information to such 3 10 carrier; provided, however, that in the event the department 3 11 shall later ascertain that erroneous information had been 3 12 given the department in respect to the insurance or bond 3 13 coverage of the operator or owner of a motor vehicle involved 3 14 in such accident, the department shall take such action as the 3 15 department is otherwise authorized to do under this chapter 3 16 within sixty days after the receipt by the department of 3 17 correct information with respect to such coverage. 3 18 Sec. 3. Section 321A.15, Code 2003, is amended to read as 3 19 follows: 3 20 321A.15 PAYMENTS SUFFICIENT TO SATISFY REQUIREMENTS. 3 211. a. Judgments referred to in this chapter and rendered3 22upon claims arising from accidents occurring on or after3 23January 1, 1981, and before January 1, 1983, shall, for the3 24purpose of this chapter only, be deemed satisfied when the3 25following occur:3 26(1) When fifteen thousand dollars has been credited upon3 27any judgment or judgments rendered in excess of that amount3 28because of bodily injury to or death of one person as the3 29result of any one accident.3 30(2) When, subject to the limit of fifteen thousand dollars3 31because of bodily injury to or death of one person, the sum of3 32thirty thousand dollars has been credited upon any judgment or3 33judgments rendered in excess of that amount because of bodily3 34injury to or death of two or more persons as the result of any3 35one accident.4 1(3) When ten thousand dollars has been credited upon any4 2judgment or judgments rendered in excess of that amount4 3because of injury to or destruction of property of others as a4 4result of any one accident.4 5b.1. Judgments referred to in this chapter and rendered 4 6 upon claims arising from accidents occurring on or after 4 7 January 1,19832004, shall, for the purpose of this chapter 4 8 only, be deemed satisfied when the following occur: 4 9(1)a. Whentwentytwenty-five thousand dollars has been 4 10 credited upon any judgment or judgments rendered in excess of 4 11 that amount because of bodily injury to or death of one person 4 12 as the result of any one accident. 4 13(2)b. When, subject to the limit oftwentytwenty-five 4 14 thousand dollars because of bodily injury to or death of one 4 15 person, the sum offortyfifty thousand dollars has been 4 16 credited upon any judgment or judgments rendered in excess of 4 17 that amount because of bodily injury to or death of two or 4 18 more persons as the result of any one accident. 4 19(3)c. Whenfifteentwenty-five thousand dollars has been 4 20 credited upon any judgment or judgments rendered in excess of 4 21 that amount because of injury to or destruction of property of 4 22 others as a result of any one accident. 4 23 2.Provided, however,Notwithstanding the provisions of 4 24 subsection 1, payments made in settlements of any claims 4 25 because of bodily injury, death, or property damage arising 4 26 from a motor vehicle accident shall be credited in reduction 4 27 of the amounts provided for in this section. 4 28 Sec. 4. Section 321A.21, subsection 2, Code 2003, is 4 29 amended to read as follows: 4 30 2. Such owner's policy of liability insurance shall do 4 31 both of the following: 4 32 a.Shall designateDesignate by explicit description or by 4 33 appropriate reference all motor vehicles with respect to which 4 34 coverage is thereby to be granted; and. 4 35 b.Shall insureInsure the person named in the policy and 5 1 any other person, as insured, using the motor vehicles with 5 2 the express or implied permission of the named insured, 5 3 against loss from the liability imposed by law for damages 5 4 arising out of the ownership, maintenance, or use of the motor 5 5 vehicles within the United States of America or the Dominion 5 6 of Canada, subject to limits exclusive of interest and costs, 5 7 with respect to each such motor vehicle, as follows: 5 8 With respect to all accidentswhichthat occur on or after 5 9 January 1,1981, and before January 1, 1983, fifteen thousand5 10dollars because of bodily injury to or death of one person in5 11any one accident and, subject to said limit for one person,5 12thirty thousand dollars because of bodily injury to or death5 13of two or more persons in any one accident, and ten thousand5 14dollars because of injury to or destruction of property of5 15others in any one accident; and with respect to all accidents5 16which occur on or after January 1, 19832004,twentytwenty- 5 17 five thousand dollars because of bodily injury to or death of 5 18 one person in any one accident and, subject to said limit for 5 19 one person,fortyfifty thousand dollars because of bodily 5 20 injury to or death of two or more persons in any one accident, 5 21 andfifteentwenty-five thousand dollars because of injury to 5 22 or destruction of property of others in any one accident. 5 23 Sec. 5. Section 321A.25, subsection 1, Code 2003, is 5 24 amended to read as follows: 5 25 1. Proof of financial responsibility may be evidenced by 5 26 the statement of the treasurer of state that the person named 5 27 in the statement has filed with the treasurer of statefifty-5 28fiveseventy thousand dollars in the form of an endorsed 5 29 certificate of deposit made payable jointly to the person and 5 30 the treasurer of state. The certificate of deposit shall be 5 31 obtained from an Iowa financial institution in the amount of 5 32fifty-fiveseventy thousand dollars plus any early withdrawal 5 33 penalty fee. The treasurer of state shall promptly notify the 5 34 director of transportation of the name and address of the 5 35 person to whom the statement has been issued. Upon receipt of 6 1 the notification, the director of transportation shall issue 6 2 to the person a security insurance card for each motor vehicle 6 3 registered in this state by the person. The security 6 4 insurance card shall state the name and address of the person 6 5 and the registration number of the motor vehicle for which the 6 6 card is issued. The treasurer of state shall not accept a 6 7 certificate of deposit and issue a statement for it and the 6 8 department shall not accept the statement unless accompanied 6 9 by evidence that there are no unsatisfied judgments of any 6 10 character against the person in the county where the person 6 11 resides. 6 12 Sec. 6. EFFECTIVE AND APPLICABILITY DATES. This Act takes 6 13 effect January 1, 2004. However, with respect to accidents 6 14 occurring on or after January 1, 1981, but prior to January 1, 6 15 2004, the amounts with respect to proof of financial 6 16 responsibility as provided in chapter 321A, Code 2003, shall 6 17 continue to apply. 6 18 EXPLANATION 6 19 This bill increases the minimum amount of insurance a 6 20 driver is required to carry under Code chapter 321A as proof 6 21 of financial responsibility. 6 22 Code chapter 321A provides for alternate methods of giving 6 23 proof of financial responsibility: a certificate of insurance 6 24 as provided in Code section 321A.19 or 321A.20, a bond as 6 25 provided in Code section 321A.24, a certificate of deposit as 6 26 provided in Code section 321A.25, and self-insurance under the 6 27 provisions of Code section 321A.34. The bill also increases 6 28 the statutory requirements for bonds in Code section 321A.5 6 29 and for the certificate of deposit in Code section 321A.25. 6 30 LSB 1277HV 80 6 31 jj/cf/24
Text: HF00549 Text: HF00551 Text: HF00500 - HF00599 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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