Introduced Version
HOUSE BILL No. 1375
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DIGEST OF INTRODUCED BILL
Citations Affected: IC 9-25-7-3.5.
Synopsis: Financial responsibility. Requires an insurance carrier to
notify the bureau of motor vehicles (bureau) when a motor vehicle
liability insurance policy issued by the insurance carrier becomes
inactive. Requires an insurance carrier to notify the bureau when a
motor vehicle liability insurance policy issued by the insurance carrier
is reinstated after becoming inactive. Provides that if an individual
switches insurance carriers, the insurance carrier that issues the new
motor vehicle liability insurance policy must notify the bureau of the
change in motor vehicle liability insurance policies. Requires the
bureau to report certain information to the Indiana data and
communication system.
Effective: July 1, 2025.
Boy
January 13, 2025, read first time and referred to Committee on Roads and Transportation.
2025 IN 1375—LS 6369/DI 154 Introduced
First Regular Session of the 124th General Assembly (2025)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in this style type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2024 Regular Session of the General Assembly.
HOUSE BILL No. 1375
A BILL FOR AN ACT to amend the Indiana Code concerning
motor vehicles.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 9-25-7-3.5 IS ADDED TO THE INDIANA CODE
2 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
3 1, 2025]: Sec. 3.5. (a) As used in this section, "inactive" means the
4 expiration, cancellation, or lapse of a motor vehicle liability
5 insurance policy.
6 (b) An insurance carrier shall notify the bureau that a motor
7 vehicle liability insurance policy issued by the insurance carrier is
8 inactive. The notice required by this subsection shall be sent not
9 later than the end of the next business day after a motor vehicle
10 liability insurance policy becomes inactive.
11 (c) If a motor vehicle liability insurance policy issued by an
12 insurance carrier is reinstated after becoming inactive, the
13 insurance carrier shall notify the bureau that the motor vehicle
14 liability insurance policy has been reinstated. The notice required
15 by this subsection shall be sent not later than the end of the next
16 business day after a motor vehicle liability insurance policy is
17 reinstated.
2025 IN 1375—LS 6369/DI 154 2
1 (d) If a motor vehicle liability insurance policy issued by an
2 insurance carrier becomes inactive as a result of an individual
3 obtaining a motor vehicle liability insurance policy from a different
4 insurance carrier, the insurance carrier that issues the new motor
5 vehicle liability insurance policy shall notify the bureau of the
6 change in motor vehicle liability insurance policies not later than
7 the end of the next business day after the new motor vehicle
8 liability insurance policy is issued.
9 (e) The bureau shall report any information that it receives
10 under subsections (b) through (d) to the Indiana data and
11 communication system not later than the end of the next business
12 day after the bureau receives the information.
13 (f) The notice provided under subsection (b) does not satisfy an
14 insurance carrier's duty to provide notice of a policy's cancellation
15 or expiration under IC 9-25-5-9.
2025 IN 1375—LS 6369/DI 154