House File 350 - Introduced HOUSE FILE BY DIX Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to the liability of the owner of a rented motor 2 vehicle for damages caused by negligence of the driver of the 3 vehicle. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2395HH 81 6 dea/pj/5 PAG LIN 1 1 Section 1. Section 321.493, subsection 1, paragraph b, 1 2 Code 2005, is amended to read as follows: 1 3 b. The owner of a vehiclewith a gross vehicle weight 1 4 rating of seven thousand five hundred pounds or morewho rents 1 5 the vehicle for less than a year under an agreement which 1 6 requires an insurance policy covering at least the minimum 1 7 levels of financial responsibility prescribed by law, shall 1 8 not be deemed to be the owner of the vehicle for the purpose 1 9 of determining financial responsibility for the operation of 1 10 the vehicle or for the acts of the operator in connection with 1 11 the vehicle's operation. 1 12 EXPLANATION 1 13 This bill amends Code section 321.493, which provides that 1 14 if a motor vehicle is driven with the owner's consent, the 1 15 owner is liable for damages for an accident caused by 1 16 negligence of the driver. The bill exempts the owner of a 1 17 vehicle who rents the vehicle for less than a year under an 1 18 agreement that requires the minimum amount of liability 1 19 coverage prescribed by law. Under current law, that exemption 1 20 only applies to owners of vehicles with a gross vehicle weight 1 21 rating of 7,500 pounds or more. 1 22 LSB 2395HH 81 1 23 dea:nh/pj/5