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AN ACT relating to autonomous vehicles. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 186.763 is amended to read as follows: 3
(1) Subject to the limitations in subsection (2) of this section and Section 2 of this Act, 4
a person may operate a fully autonomous vehicle on the highways of this state 5
without a human driver provided that the automated driving system is engaged and 6
the vehicle meets the following conditions: 7
(a) If a failure of the automated driving system occurs that renders that system 8
unable to perform the entire dynamic driving task relevant to its intended 9
operational design domain, the fully autonomous vehicle will achieve a 10
minimal risk condition; 11
(b) The fully autonomous vehicle is capable of operating in compliance with the 12
applicable traffic and motor vehicle safety laws and regulations of this state 13
when reasonable to do so, unless an exemption has been granted by the 14
Transportation Cabinet; and 15
(c) When required by federal law, the vehicle bears the required manufacturer's 16
certification label indicating that at the time of its manufacture it has been 17
certified to be in compliance with all applicable federal motor vehicle safety 18
standards, including any exemptions granted by the National Highway Traffic 19
Safety Administration. 20
(2) (a) From July 15, 2024, until July 31, 2031[2026], a fully autonomous vehicle for 21
which the declared gross weight of the vehicle and any towed unit is more 22
than sixty-two thousand (62,000) pounds shall have a human driver, with the 23
appropriate credentials to operate the vehicle, present in the vehicle to monitor 24
the performance of the vehicle and intervene if necessary. 25
(b) A school district shall not operate a fully autonomous vehicle as a school 26
bus, as defined by KRS 156.153, or use any fully autonomous vehicle to 27 UNOFFICIAL COPY 25 RS BR 930
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transport students for any reason. 1
(3) Prior to operating a fully autonomous vehicle on the highways of this state without 2
a human driver, a person shall submit a law enforcement interaction plan to the 3
Transportation Cabinet and the Department of Kentucky State Police that describes: 4
(a) How to communicate with a fleet support specialist who is available during 5
the times the vehicle is in operation; 6
(b) How to safely remove the fully autonomous vehicle from the roadway and 7
steps to safely tow the vehicle; 8
(c) How to recognize whether the automated driving system is engaged on the 9
fully autonomous vehicle; and 10
(d) Any additional information the manufacturer or owner deems necessary 11
regarding hazardous conditions or public safety risks associated with the 12
operation of the fully autonomous vehicle. 13
Section 2. KRS 186.779 is amended to read as follows: 14
(1) The provisions of KRS 186.760 to 186.779 are intended to be a comprehensive 15
scheme of legislation governing the operational and performance standards of fully 16
autonomous vehicles and automated driving systems. Except as provided in 17
subsection (2) of this section, a[no] public agency shall not prohibit the operation 18
of fully autonomous vehicles or automated driving systems or impose any rule, 19
regulation, or ordinance in conflict with KRS 186.760 to 186.779 or that otherwise 20
differentiates the treatment of fully autonomous vehicles and automated driving 21
systems from non-autonomous vehicles. 22
(2) Nothing in subsection (1) of this section shall be interpreted or construed to prohibit 23
a city, county, charter county government, consolidated local government, or urban-24
county government from exercising the powers and authorities provided by law to 25
govern the public streets and roadways within their respective jurisdictions, and 26
these units of local government may establish conditions for the use of fully 27 UNOFFICIAL COPY 25 RS BR 930
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autonomous vehicles and automated driving systems within their 1
jurisdictions[provided that any action does not impose additional requirements in 2
conflict with KRS 186.760 to 186.779 or otherwise differentiate the treatment of 3
fully autonomous vehicles and automated driving systems from nonautonomous 4
vehicles]. 5
Section 3. KRS 186.766 is amended to read as follows: 6
(1) Before operating a fully autonomous vehicle that does not meet the definition of a 7
motor carrier under KRS 281.010 on a highway in this state without a human 8
driver, a person shall submit proof of financial responsibility satisfactory to the 9
Transportation Cabinet that the fully autonomous vehicle has single limits liability 10
coverage, by contract of insurance or by qualifying as a self-insurer, of not less than 11
five million dollars ($5,000,000)[one million dollars ($1,000,000)] that satisfies the 12
requirements of KRS 304.39-080. 13
(2) Before operating a fully autonomous vehicle that meets the definition of a motor 14
carrier under KRS 281.010 on a highway in this state without a human driver, a 15
person shall submit proof of financial responsibility satisfactory to the 16
Transportation Cabinet that the fully autonomous vehicle is covered by insurance or 17
proof of self-insurance that satisfies the requirements of KRS 281.655. 18
Section 4. KRS 281.655 is amended to read as follows: 19
(1) Before any certificate will be issued or renewed, the applicant or holder of the 20
certificate shall file or shall have on file with the department one (1) or more 21
approved indemnifying bonds or insurance policies issued by some surety company 22
or insurance carrier authorized to transact business within the Commonwealth of 23
Kentucky. The term of each bond or policy shall be continuous and shall remain in 24
full force until canceled under proper notice. Each bond or policy shall have 25
attached thereto the state insurance endorsement. All bonds or policies required 26
under this section shall be issued in the name of the holder of the certificate. In lieu 27 UNOFFICIAL COPY 25 RS BR 930
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of the bonds or policies, the department, under appropriate regulations, may require 1
the filing of one (1) or more approved certificates of insurance, the terms of which 2
shall be continuous and shall remain in force and effect until canceled under proper 3
notice. 4
(2) The bonds or policies required of a U-Drive-It or automobile utility trailer lessor 5
shall provide public liability and property damage coverage when operated either 6
by the lessee or lessor thereof or agents, servants, or employees of either. 7
(3) All bonds or policies shall provide blanket coverage for all equipment operated 8
pursuant to the certificate or permit. 9
(4) The types and minimum amounts of insurance to be carried on each vehicle shall be 10
as follows: 11
MOTOR VEHICLES FOR THE TRANSPORTATION OF PERSONS , 12
INCLUDING U-DRIVE-ITS 13
Death of Total Liability 14
or Injury for Death 15
to Any One of or Injury Property 16
Capacity Person to Persons Damage 17
7 regular seats $100,000.00 $300,000.00 $50,000.00 18
8 or more regular seats $100,000.00 $600,000.00 $50,000.00 19
MOTOR VEHICLES FOR THE TRANSPORTATION OF PROPERTY, 20
INCLUDING U-DRIVE-ITS AND AUTOMOBILE UTILITY 21
TRAILERS 22
Death of Total Liability 23
or Injury for Death 24
to Any One of or Injury Property 25
Gross Weight Person to Persons Damage 26
18,000 lbs. or less $100,000.00 $300,000.00 $50,000.00 27 UNOFFICIAL COPY 25 RS BR 930
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More than 18,000 lbs. $100,000.00 $600,000.00 $50,000.00 1
(5) Any person, firm, or corporation operating or causing to be operated any vehicle for 2
the transportation of petroleum or petroleum products in bulk in amounts less than 3
ten thousand (10,000) pounds shall have the following types and minimum amount 4
of insurance carried on each vehicle: 5
Death of Total Liability 6
or Injury for Death 7
to Any One of or Injury to Property 8
Person Persons Damage 9
$100,000.00 $300,000.00 $50,000.00 10
(6) Any person, firm, or corporation operating or causing to be operated any vehicle for 11
the transportation of hazardous material as defined in KRS 174.405, except 12
petroleum or petroleum products in bulk in amounts less than ten thousand (10,000) 13
pounds, shall have on each vehicle single limits liability insurance coverage of not 14
less than one million dollars ($1,000,000) for all damages whether arising out of 15
bodily injury or damage to property as a result of any one (1) accident or 16
occurrence. 17
(7) Before any household goods certificate shall be issued or renewed, the applicant or 18
certificate holder shall file or have on file with the department an approved 19
insurance policy or bond compensating shippers or consignees for loss or damage to 20
property belonging to shippers or consignees and coming into possession of the 21
carrier in connection with its transportation service in the amounts required by 49 22
C.F.R. sec. 387.303(c) for interstate household goods motor carriers. The policy or 23
bond shall have attached thereto the Kentucky cargo policy endorsement and shall 24
be issued by some insurance or surety company authorized to transact business 25
within the Commonwealth of Kentucky. The term of the bond or policy shall be 26
continuous and shall remain in full force until canceled under proper notice. In lieu 27 UNOFFICIAL COPY 25 RS BR 930
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of the bond or policy, the department, under appropriate regulations, may require 1
the filing of an approved certificate of insurance, the term of which shall be 2
continuous and shall remain in force and effect until canceled under proper notice. 3
(8) No insurance company or insurance carrier issuing any policy filed with the 4
department, and no surety or obligor on any bond or contract filed with the 5
department, shall be relieved from liability under the policy, bond, or contract until 6
after the expiration of thirty (30) days' notice to the department of an intention to 7
cancel the policy, bond, or contract. A prior cancellation may be allowed in cases 8
where one (1) policy, bond, or contract is substituted for another policy, bond, or 9
contract if the substituted policy, bond, or contract is of force and effect at a time 10
prior to the expiration of thirty (30) days' notice to the department of an intention to 11
cancel the policy, bond, or contract for which the additional policy, bond, or 12
contract is being substituted. The acceptance of any notice of an intention to cancel 13
any policy, bond, or contract or the cancellation of any policy, bond, or contract by 14
the department, unless under the circumstances set forth, shall not relieve the 15
insurance company, insurance carrier, surety, or obligor of any liability that accrued 16
prior to the effective date of the cancellation. 17
(9) Upon the cancellation of any bond or insurance policy required by this section, all 18
operating rights granted by the certificate for which the bond or policy was filed, 19
shall immediately cease, and the department may immediately require the cessation 20
of all operations conducted under authority of the certificate, and may require the 21
immediate surrender of all certificates, licenses, and other evidence of a right to act 22
as a motor carrier. 23
(10) The department may exempt in whole or in part from the requirements of this 24
section any person who applies for the exemption and shows to the satisfaction of 25
the department that, by reason of the financial ability of the person applying, there 26
is due assurance of the payment of all damages for which he or she may become 27 UNOFFICIAL COPY 25 RS BR 930
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liable as a result of the operation of any vehicle owned by him or her or operated 1
under authority of his or her certificate. 2
(11) The provisions of this section notwithstanding, the Secretary of Transportation may 3
adopt, incorporate by reference, or set forth in its entirety the provisions of Title 49, 4
United States Code of Federal Regulations, Part 387, relating to the levels of 5
financial responsibility for motor carriers, in effect as of June 24, 2015, or as 6
amended after that date, with respect to any motor carrier operating in Kentucky. 7
(12) The cabinet shall promulgate administrative regulations to set standards for pre-trip 8
acceptance liability policies and prearranged ride liability insurance policies for 9
transportation network company vehicles. The minimum amount of insurance for 10
pre-trip acceptance liability policies shall be fifty thousand dollars ($50,000) for 11
death and personal injury to one (1) person, one hundred thousand dollars 12
($100,000) for death and personal injury resulting from one (1) incident, and 13
twenty-five thousand dollars ($25,000) for property damage. The minimum amount 14
of insurance for prearranged ride liability policies shall be the same as for motor 15
vehicles for the transportation of persons under subsection (4) of this section. Pre-16
trip acceptance liability policies and prearranged ride liability policies may be 17
issued by an eligible surplus lines insurer. 18
(13) Notwithstanding any other provision of this section, any fully autonomous vehicle 19
operating under a certificate issued under this chapter shall have on file with the 20
department indemnifying bonds or insurance policies in the minimum amounts of: 21
(a) Five million dollars ($5,000,000)[one million dollars ($1,000,000)] of total 22
liability for death of or injury to persons resulting from any one (1) accident; 23
and 24
(b) Five million dollars ($5,000,000)[one million dollars ($1,000,000)] for 25
property damage. 26