Relating to requiring a copy of a named insured's driver's license for issuance of an automobile insurance policy.
Impact
The legislation intends to tighten regulations surrounding automobile insurance policies by establishing that insurers can no longer issue or renew policies without appropriate proof of licensure from the named insured individuals. This change enforces stricter controls on who is eligible for automobile insurance coverage and aims to protect both insurers and consumers from the repercussions of underreported risks associated with unlicensed drivers. The law may also lead to increased administrative processes for insurance companies as they adapt to the new requirements.
Summary
House Bill 163 mandates that a copy of each named insured's driver's license must be provided by the policyholder for the issuance, delivery, or renewal of personal automobile insurance policies. This requirement aims to enhance verification processes for insurers and ensure that automobile policies are issued only to individuals holding valid driver's licenses, potentially reducing fraudulent activities in the insurance sector. The bill applies to all policies delivered, issued for delivery, or renewed on or after January 1, 2014, thus setting a clear expectation for compliance starting from that date.
Sentiment
The sentiment around HB 163 appears to be largely positive among legislative supporters, who view the requirement as a step forward in preventing fraudulent insurance practices and protecting the integrity of the insurance market. However, there may be some concerns regarding the potential administrative burden this places on both insurers and policyholders. While generally considered a necessary measure to enhance accountability, discussions highlight a need for balance between thorough verification and the ease of access to insurance for consumers.
Contention
There is some contention regarding the implications this bill may have on individuals who may face barriers to obtaining a driver's license for various reasons, thus potentially limiting their ability to secure automobile insurance. While proponents argue that the bill is a safeguard for the industry, critics may raise concerns about access and equity in insurance provision, particularly for those in marginalized groups who may struggle with licensure. This dynamic illustrates ongoing discussions about regulatory measures versus consumer access within the insurance landscape.
Relating to nonrenewal of certain private passenger automobile insurance policies for the insured's failure to cooperate in a third-party liability claim or action.
Relating to the licensing and regulation of associate physicians and the authority of an insured to select an associate physician under the insured's health insurance policy; requiring an occupational license.
Relating to the licensing and regulation of physician graduates and the authority of an insured to select a physician graduate under the insured's health insurance policy; requiring an occupational license; authorizing fees.