H.F. 2125 Section 1. Section 321.20, subsection 1, Code 2011, is 1 amended by adding the following new paragraph: 2 NEW PARAGRAPH . g. If the vehicle is a motor vehicle, the 3 owner shall certify on the application that financial liability 4 coverage is in effect for the motor vehicle and provide a copy 5 of the proof of financial liability coverage card issued for 6 the motor vehicle, a description of the financial liability 7 coverage as noted on the proof of financial liability coverage 8 card, or other documentation acceptable to the department. 9 This paragraph does not apply to a motor vehicle registered as 10 a “limited use” vehicle pursuant to sections 321.58 through 11 321.62 or section 321.115. 12 Sec. 2. Section 321.30, Code 2011, is amended by adding the 13 following new subsection: 14 NEW SUBSECTION . 4. The department or the county treasurer 15 shall refuse registration of a motor vehicle if the owner does 16 not provide satisfactory certification that financial liability 17 coverage is in effect for the motor vehicle. This subsection 18 does not apply to a motor vehicle registered as a “limited use” 19 vehicle pursuant to sections 321.58 through 321.62 or section 20 321.115. 21 Sec. 3. Section 321.40, subsection 1, Code 2011, is amended 22 to read as follows: 23 1. Application for renewal of a vehicle registration shall 24 be made on or after the first day of the month prior to the 25 month of expiration of registration and up to and including 26 the last day of the month following the month of expiration of 27 registration. The registration shall be renewed upon receipt 28 by the county treasurer of certification of financial liability 29 coverage as required under subsection 10 and payment of the 30 appropriate annual registration fee. Application for renewal 31 for a vehicle registered under chapter 326 shall be made on or 32 after the first day of the month of expiration of registration 33 and up to and including the last day of the month following the 34 month of expiration of registration. 35 -1- LSB 5442YH (5) 84 dea/nh 1/ 3

H.F. 2125 Sec. 4. Section 321.40, Code 2011, is amended by adding the 1 following new subsection: 2 NEW SUBSECTION . 10. a. A form for certification of 3 financial liability coverage shall accompany each renewal 4 statement sent to the owner of a motor vehicle under this 5 section. The applicant shall complete the form certifying 6 that financial liability coverage is in effect for the vehicle 7 and provide a copy of the current proof of financial liability 8 coverage card issued for the motor vehicle, a description of 9 the financial liability coverage as noted on the proof of 10 financial liability coverage card, or other documentation 11 acceptable to the department. The completed certification and 12 any supporting documentation shall be returned to the county 13 treasurer along with the appropriate registration fee for the 14 vehicle. 15 b. Upon receipt of an application for renewal and payment 16 of the appropriate vehicle registration fee that is not 17 accompanied by satisfactory certification of financial 18 liability coverage, the county treasurer shall not renew the 19 vehicle registration and shall send one notice to the applicant 20 stating that the registration will not be renewed until the 21 applicant submits the required certification of financial 22 liability coverage. If the county treasurer does not receive 23 satisfactory certification of financial liability coverage 24 within thirty days after sending the notice or upon expiration 25 of the vehicle registration, whichever is the earlier date, the 26 county treasurer shall return the registration fee payment to 27 the applicant without registration renewal. 28 c. This subsection does not apply to a motor vehicle 29 registered as a “limited use” vehicle pursuant to sections 30 321.58 through 321.62 or section 321.115. 31 EXPLANATION 32 This bill requires the owner of a motor vehicle to certify 33 that financial liability coverage is in effect for the 34 vehicle at the time the vehicle is registered and each time 35 -2- LSB 5442YH (5) 84 dea/nh 2/ 3

H.F. 2125 the registration is renewed. At the time of application 1 for initial registration of a motor vehicle, the owner is 2 required to provide a copy of the proof of financial liability 3 coverage card issued for the motor vehicle, a description of 4 the coverage as noted on the card, or other documentation 5 acceptable to the department of transportation. The department 6 or the county treasurer shall not register a motor vehicle 7 in the absence of satisfactory certification that financial 8 liability coverage is in effect for the vehicle. 9 The bill requires that the annual renewal statement sent 10 by the county treasurer to the owner of a motor vehicle 11 shall be accompanied by a form for certification of financial 12 liability coverage. The county treasurer shall refuse to 13 renew the vehicle registration in the absence of satisfactory 14 certification that financial liability coverage is in effect 15 for the vehicle. If the county treasurer receives a payment of 16 registration fees without certification of financial liability 17 coverage, the county treasurer shall send one notice to the 18 applicant stating that the registration will not be renewed 19 until the certification is provided. If certification is not 20 received by the earlier of 30 days after the notice is sent 21 or upon expiration of the vehicle registration, the county 22 treasurer shall return the registration fee payment to the 23 applicant without renewing the vehicle registration. 24 Motor vehicles that are registered as “limited use” 25 vehicles, such as certain antique vehicles and vehicles in a 26 dealer’s inventory, are exempt from the requirements under the 27 bill. 28 -3- LSB 5442YH (5) 84 dea/nh 3/ 3