Mississippi House Bill HB643

Mississippi 2022 Regular Session

• Introduced: 1/17/22
• Refer: 1/17/22
• Failed: 2/1/22

Caption

Uninsured motorist coverage; provide that limits will be equal to liability coverage unless insured selects otherwise.

Impact

By ensuring that uninsured motorist coverage is at least equal to other liability coverage, the bill aims to provide greater protection to drivers who may suffer damages from uninsured drivers. This change could help reduce financial risks for insured motorists and ensure that they are adequately covered in case of accidents involving uninsured vehicles. The bill also establishes clear guidelines for insurers, requiring them to offer this coverage on a more standardized basis.

Summary

House Bill 643 aims to amend the Mississippi Code of 1972 by establishing that uninsured motorist coverage limits must automatically match the limits of bodily injury liability coverage and property damage liability coverage, unless the insured opts for lower limits. This legislation responds to the need for clear and consistent regulation regarding uninsured motorist coverage, making it more streamlined for policyholders to understand their coverage options. It seeks to simplify the decision-making process for individuals purchasing automobile insurance in the state.

Contention

The primary points of contention surrounding HB 643 may arise from opposition to mandated coverage limits. Some insurance companies and industry stakeholders may argue against the automatic alignment of uninsured motorist coverage limits with liability limits, citing concerns about increased premiums and potential implications for the competitive landscape of the automobile insurance market. There may also be discussions about the implications for consumer choice, as the mandated coverage could limit options for insured individuals who might prefer different coverage structures.