Introduced Version
Senate Bill 578 History
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Key: Green = existing Code. Red = new code to be enacted
Senate Bill No. 578
(By Senators Beach and Plymale)
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[Introduced March 20, 2013; referred to the Committee on
Transportation and Infrastructure; and then to the Committee on
the Judiciary .]
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A BILL to amend and reenact §17A-3-3 of the Code of West Virginia,
1931, as amended; and to amend and reenact §17D-2A-2, §17D-2A-
5 and §17D-2A-7 of said code, all relating to requiring a
certificate of insurance in order to register and operate a
motor vehicle; requiring proof of insurance when registering
a motor vehicle; requiring a certificate of insurance to be in
effect during the entire term of the vehicle registration
period; permitting a discretionary electronic acknowledgment
exception; clarifying that certain security provisions do not
apply to commercial vehicles insured under commercial auto
coverage; removing the requirement that insurance companies
must notify the Division of Motor Vehicles when a policy
holder's vehicle insurance has been canceled; removing an outdated reporting requirement; clarifying and increasing the
penalties for vehicle owners who do not have the required
security in effect; replacing the driver's license suspension
penalty of a person who knowingly operates a vehicle without
the required security with a provision stating that a person
who is not the vehicle owner and who is convicted of operating
a motor vehicle that does not have the required security shall
have the conviction placed on the driver's license record; and
prohibiting the Division of Motor Vehicles from taking action
against a person cited for driving without insurance if the
citation is received by the division more than one year from
the date of the offense.
Be it enacted by the Legislature of West Virginia:
That §17A-3-3 of the Code of West Virginia, 1931, as amended,
be amended and reenacted; and that §17D-2A-2, §17D-2A-5 and §17D-
2A-7 of said code be amended and reenacted, all to read as follows:
CHAPTER 17A. MOTOR VEHICLE ADMINISTRATION, REGISTRATION,
CERTIFICATE OF TITLE, AND ANTITHEFT PROVISIONS.
ARTICLE 3. ORIGINAL AND RENEWAL OF REGISTRATION; ISSUANCE OF
CERTIFICATES OF TITLE.
§17A-3-3. Application for registration; proof of security to
accompany application; criminal penalties; fees; special revolving fund.
Every owner of a vehicle subject to registration under this
article shall make application to the division for the registration
of the vehicle upon the appropriate form or forms furnished by the
division and every application shall bear the signature of the
owner or his or her authorized agent, written with pen and ink, and
the application shall contain:
(a) The name, bona fide residence and mailing address of the
owner, the county in which he or she resides or business address of
the owner if a firm, association or corporation.
(b) A description of the vehicle including, insofar as the
data specified in this section may exist with respect to a given
vehicle, the make, model, type of body, the manufacturer's serial
or identification number or other number as determined by the
commissioner.
(c) In the event a motor vehicle is designed, constructed,
converted or rebuilt for the transportation of property, the
application shall include a statement of its declared gross weight
if the motor vehicle is to be used alone, or if the motor vehicle
is to be used in combination with other vehicles, the application
for registration of the motor vehicle shall include a statement of
the combined declared gross weight of the motor vehicle and the
vehicles to be drawn by the motor vehicle; declared gross weight being the weight declared by the owner to be the actual combined
weight of the vehicle or combination of vehicles and load when
carrying the maximum load which the owner intends to place on the
vehicle; and the application for registration of each vehicle shall
also include a statement of the distance between the first and last
axles of that vehicle or combination of vehicles.
The declared gross weight stated in the application may not
exceed the permissible gross weight for the axle spacing listed in
the application as determined by the table of permissible gross
weights contained in chapter seventeen-c of this code; and any
vehicle registered for a declared gross weight as stated in the
application is subject to the single-axle load limit set forth in
that chapter.
(d) Each applicant shall state whether the vehicle is or is
not to be used in the public transportation of passengers or
property, or both, for compensation and if used for compensation,
or to be used, the applicants shall certify that the vehicle is
used for compensation and shall, as a condition precedent to the
registration of the vehicle, obtain a certificate of convenience or
permit from the Public Service Commission unless otherwise exempt
from this requirement in accordance with chapter twenty-four-a of
this code.
(e) A statement A certificate of insurance as defined in section four, article two-a, chapter seventeen-d of this code or,
at the discretion of the commissioner, a statement or electronic
acknowledgment under penalty of false swearing that liability
insurance is in effect and will continue to be in effect through
the entire term of the vehicle registration period within limits
which may not be less than the requirement of section two, article
four, chapter seventeen-d of this code. which shall contain
Proof
of insurance shall accompany the registration application with
the
name and National Association of Insurance commissioners assigned
code of the applicant's insurer, the policy number, and any other
information required by the commissioner of Motor Vehicles or proof
that the applicant has qualified as a self-insurer meeting the
requirements of section two, article six of said that chapter and
that as a self-insurer he or she has complied with the minimum
security requirements as established in section two, article four
of that chapter. If the commissioner determines that the required
security is not or was not in effect, he or she shall suspend the
vehicle owner's driver's license and revoke the vehicle
registration in accordance with the provisions of article two-a,
chapter seventeen-d of this code.
If any person making an application required under the
provisions of this section, in the application knowingly provides
false information or false proof of security, or a false statement of insurance, or if any person, including an applicant's insurance
agent, knowingly counsels, advises, aids or abets another in
providing false information or false proof of security or a false
statement of insurance in the application he or she is guilty of a
misdemeanor and, upon conviction thereof, shall be fined not more
than $500, or be imprisoned in jail for a period not to exceed
fifteen days, or both fined and imprisoned and, in addition to the
fine or imprisonment, shall have his or her driver's license
suspended for a period of ninety days and vehicle registration
revoked if applicable.
(f) Any further information that is reasonably required by the
division to enable it to determine whether the vehicle is lawfully
entitled to registration.
(g) Each application for registration shall be accompanied by
the fees provided in this article and an additional fee of $0.50
for each motor vehicle for which the applicant seeks registration.
(h) Revocation of a motor vehicle registration pursuant to
this section does not affect the perfection or priority of a lien
or security interest attaching to the motor vehicle that is noted
on the certificate of title to the motor vehicle.
CHAPTER 17D. MOTOR VEHICLE SAFETY RESPONSIBILITY LAW.
ARTICLE 2A. SECURITY UPON MOTOR VEHICLES.
§17D-2A-2. Scope of article.
This article applies to the operation of all motor vehicles
required to be registered or operated on the roads and highways to
have the security in effect, as provided in section two, article
two of this chapter, with the exception of motor vehicles owned by
the state, any of its political subdivisions or by the federal
government.
For the purposes of this article, commercial auto coverage is
defined as any coverage provided to an insured, regardless of
number of vehicles or entity covered, under a commercial coverage
form and rated from a commercial manual approved by the Department
of Insurance. This article shall does not apply to commercial
vehicles insured under commercial auto coverage; however, insurers
of such vehicles may participate on a voluntary basis.
§17D-2A-5. Minimum policy term.
(a) An insurance company shall provide the Division of Motor
Vehicles with a cancellation notice within ten days of the
effective date of cancellation whenever the company issues or
causes to be issued a cancellation under the provisions of
subsections (b) through (e), section one, article six-a, chapter
thirty-three of this code. Unless the Division of Motor Vehicles
by legislative rule allows for an alternative to suspension, the
division shall then suspend the driver license of the owner of such
vehicle for a period of thirty days and shall suspend the motor vehicle registration until proof of insurance is presented to the
division. If, within the thirty-day period a license or
registration is suspended, the owner shows proof of insurance, the
owner's license and registration shall be immediately removed from
suspension. If a license or registration is not suspended as
result of the cancellation of insurance, the owner of the motor
vehicle shall submit a statement under penalty of false swearing,
that the cancellation will not result in the operation of an
uninsured motor vehicle upon the highways of this state, and this
verification shall be sent to the commissioner within twenty days
of the notice of cancellation.
(b) On or before January 15, 1985, the Commissioner of Motor
Vehicles shall report to the Legislature upon proceedings pursuant
to this section. The report shall include the total number of
statements selected for verification as required by section three,
article three, chapter seventeen-a, the total number of notices
received from insurers, the total number of notices of pending
suspensions issued and the total number of cases in which
cancellation was found to have resulted in a lapse of coverage upon
a vehicle operated upon the highways of this state during the prior
year.
(c) No policy of motor vehicle liability insurance issued or
delivered for issuance in this state shall be contracted for a period of less than ninety days: Provided, That the Insurance
Commissioner may establish exceptions thereto by rules and
regulations proposed for legislative approval pursuant to chapter
twenty-nine-a of this code.
§17D-2A-7. Suspension or revocation of license, registration;
reinstatement.
(a) Any owner of a motor vehicle, subject to the provisions of
this article, who fails to have the required security in effect at
the time such vehicle is registered or being operated upon the
roads or highways shall have his or her driver's license suspended
by the Commissioner of the Division of Motor Vehicles and shall
have his or her motor vehicle registration revoked as follows:
(1) For the first offense, the commissioner shall suspend the
driver's license for thirty days and shall revoke the owner's
vehicle registration until such time as he or she presents current
proof of insurance on all currently registered vehicles: Provided,
That if an owner complies with the provisions of this subdivision,
and pays a penalty fee of $200 before the effective date, the
driver's license suspension of thirty days shall may not be imposed
and the vehicle registration revocation shall be may not be imposed
and no reinstatement fees are required.
(2) For the second or subsequent offense within five years,
the commissioner shall suspend the owner's driver's license for a period of thirty ninety days and shall revoke the owner's vehicle
registration until he or she presents to the Division of Motor
Vehicles the proof of security required by this article.
(3) For the third or subsequent offense within five years, the
commissioner shall suspend the owner's driver's license for a
period of ninety days and revoke the vehicle registration until
such time as he or she presents current proof of insurance.
(4) (3) If the motor vehicle is titled and registered in more
than one name, the commissioner shall suspend the driver's license
of only one of the owners.
(b) Any person who knowingly operates
is not the vehicle owner
and is convicted of operating
a motor vehicle upon the roads or
highways of this state which does not have the security required by
the provisions of this article shall have
the conviction placed on
his or her driver's license record. suspended by the commissioner
subject to the following:
(1) For the first offense, the commissioner shall suspend the
driver's license until such time as he or she presents current
proof of insurance on all currently registered vehicles: Provided,
That if a driver complies with the provisions of this section and
pays a penalty fee of $200 before the effective date of the
driver's license suspension, the thirty day driver's license
suspension shall not be imposed and no reinstatement fees are required.
(2) For the second offense within five years, the commissioner
shall suspend the driver's license for a period of thirty days.
(3) For the third or subsequent offense within five years, the
commissioner shall suspend the person's driver's license for a
period of ninety days.
(c) A person's driver's license shall be suspended in
accordance with subsection(b) of this section if the person is
operating a motor vehicle designated for off-highway use upon the
roads and highways of this state without the required security in
effect.
(c) The division may not suspend or revoke a driver's license
under this article for any citation of driving without insurance
that is received by the division from a court that is more than one
year from the date of the offense.
(d) The commissioner may withdraw a suspension of a driver's
license or revocation of a motor vehicle registration and refund
any penalty or reinstatement fees at any time provided that the
commissioner is satisfied that there was not a violation of the
provisions of required security related to operation of a motor
vehicle upon the roads or highways of this state by such person.
The commissioner may request additional information as needed in
order to make such determination.
(e) A person may not have his or her driver's license
suspended or motor vehicle registration revoked under any
provisions of this section unless he or she and any lienholder
noted on the certificate of title shall is are first given written
notice of such suspension or revocation sent by certified mail, at
least thirty days prior to the effective date of such suspension or
revocation, and upon that person's written request, he or she shall
be afforded an opportunity for a hearing thereupon as well as a
stay of the commissioner's order of suspension or revocation and an
opportunity for judicial review of such hearing. The request for
a hearing shall be made within ten days from the date of receipt of
the notice of driver's license suspension or motor vehicle
registration revocation. The scope of the hearing is limited to
questions of identity or whether or not there was insurance in
effect at the time of the event causing the commissioner's action.
Upon affirmation of the commissioner's order, the period of
suspension, revocation or other penalty commences to run.
(f) A suspended driver's license is reinstated following the
period of suspension upon compliance with the conditions set forth
in this article and a revoked motor vehicle registration is
reissued only upon lawful compliance with the provisions of this
article.
(g) Revocation of a motor vehicle registration pursuant to this section does not affect the perfection or priority of a lien
or security interest attaching to the motor vehicle that is noted
on the certificate of title to the motor vehicle.
(h) Any owner or driver of a motor vehicle determined by an
electronic insurance verification program to be uninsured shall be
assessed the same criminal and administrative sanctions prescribed
in this chapter subject to the following:
(1) Any person who is assessed a penalty prescribed by this
section has the same procedural due process provided by this
chapter or by rules promulgated by the division to show that there
was not a violation and provide for the exoneration of any
penalties or records; and
(2) The commissioner may accept a binder, an identification
card or a declaration page from a policy as evidence of insurance
pending electronic verification to stay a pending administrative
sanction.
NOTE: The purpose of this bill is to
require proof of
insurance when registering a motor vehicle. The bill requires a
certificate of insurance to be in effect during the entire term of
the vehicle registration period. The bill permits a discretionary
electronic acknowledgment exception. The bill clarifies that
certain security provisions do not apply to
commercial vehicles
insured under commercial auto coverage. The bill
removes the
requirement that insurance companies must notify the Division of
Motor Vehicles when a policy holder's vehicle insurance has been
canceled. The bill removes an outdated reporting requirement. The bill clarifies and increases the penalties for owners who do not
have the required security in effect. The bill replaces the
driver's license suspension penalty of a person who knowingly
operates a vehicle without the required security with a provision
stating that a person who is not the vehicle owner and who is
convicted of operating a motor vehicle that does not have the
required security shall have the conviction placed on the driver's
license
record. The bill prohibits the Division of Motor Vehicles
from taking action against a person cited for driving without
insurance if the citation is received by the division more than one
year from the date of the offense.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.