Louisiana Senate Bill SB287

Louisiana 2018 Regular Session

• Introduced: 3/1/18
• Refer: 3/1/18
• Refer: 3/12/18
• Refer: 4/10/18

Caption

Provides relative to compulsory motor vehicle liability security. (8/1/18) (OR DECREASE SD RV See Note)

Impact

The impact of SB 287 on state laws involves significant changes to the sanctions imposed on individuals for violations of compulsory liability security. The proposed law lowers the reinstatement fees for lapses in coverage from as high as $500 to a maximum of $200 for certain violations. It also consolidates multiple violations under a single fee assessment, effectively providing a fairer financial remedy for those who may unintentionally lapse on their coverage. Moreover, the bill establishes that older citizens will not face excessive fees, maintaining a minimum threshold of $250 for their reinstatement fees.

Summary

Senate Bill 287, introduced by Senator Milkovich, seeks to amend existing laws related to compulsory motor vehicle liability security in Louisiana. The bill specifically reduces certain reinstatement fees associated with lapses in liability security, which is intended to ease the financial burden on individuals who fail to maintain required insurance coverage. Additionally, it introduces a cap on the cumulative fees that can be assessed for violations and outlines specific conditions under which these fees may be waived. The fundamental objective behind the bill is to streamline the penalty structure for citizens regarding vehicle insurance compliance.

Sentiment

The general sentiment surrounding SB 287 appears to be supportive among those advocating for consumer protection and financial fairness. Proponents of the bill argue that it alleviates punitive financial measures for individuals who experience temporary lapses in coverage, a circumstance that can be financially devastating. However, critics may raise concerns about the implications of reduced penalties on overall compliance rates, suggesting that less stringent financial consequences could lead to increased incidents of uninsured driving.

Contention

Notable points of contention within the discussions regarding SB 287 include the balance between enforcing mandatory insurance coverage and providing reasonable accommodations for those who struggle to maintain it. While supporters champion the bill as an essential step toward more equitable treatment of drivers, opponents may worry that such reductions in fees could undermine the seriousness with which vehicle insurance is regarded. The interplay between facilitating access to compliance and maintaining stringent enforcement against uninsured driving continues to be a focal point of contention in legislative debates.