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insurance

Automobile Insurance

House Bill 2513 (Act No.1476) - "No Pay, No Play"

bulletUninsured motorists involved in an accident, regardless of fault, will forfeit the first $10,000 in health care costs and lost wages bulletMotorists will be able to choose a form of uninsured motorist coverage which waives the right to recover for non-economic damages bulletChoosing this coverage will reduce premium rates by 20 percent bulletThis legislation is expected to bring about a 10 percent overall reduction in auto insurance rates bulletEffective date is delayed pending the outcome of a lawsuit regarding constitutionality

Senate Bill 1064 (Act No. 1486) - Vehicle Impoundment

bulletAllows police to impound a vehicle immediately if no proof of insurance is produced bulletPolice officers may elect to delay impoundment under one or more of the following circumstances: bulletChildren under the age of 12 are in the vehicle bulletThe driver or a passenger is handicapped bulletImpounding the uninsured vehicle would put the driver or the public in danger bulletThe police officer is reasonably sure that the vehicle is insured bulletMotorists given an exception will have three calendar days to provide the office of motor vehicles with proof of insurance bulletFailure to do so will result in impoundment of the vehicle until insurance is purchased and fees are paid bulletImpounded vehicles may be retrieved after storage and towing fees have been satisfied and proof of insurance is provided to the office of motor vehicles bulletIf, after a due process hearing, retrieval requirements are not met, authorities may sell the vehicle bulletEffective January 1, 1998

 

bulletPlease see Motor Vehicles section for other measures that may impact automobile insurance rates: bulletDWI laws bulletDriving age bulletUnderage DUI

 

Health Insurance

House Bill 1590 (Act No. 1418) - Genetic Testing

bulletProhibits health insurance providers from using DNA or genetic tests to preclude an individual from coverage bulletThis bill was introduced to allow citizens to obtain personal genetic information, which often serves to prevent or to warn of maladies to which one is prone, without fear of reprisal, dismissal or rejection by a health insurance provider bulletHealth insurance providers which drop policies or refuse to write new ones based on the results of such tests will be subject to penalties bulletHealth insurance providers may no longer require prospective customers to undergo genetic tests as a condition of acceptance bulletInsurance companies are required to inform policy holders of their rights under this legislation bulletThe penalty for negligent collection, storage, analysis or disclosure is $50,000 or the amount of actual damages, whichever is greater bulletThe penalty for denying coverage based on the results of a genetic test is $100,000 or the amount of actual damages, whichever is greater bulletEffective August 15, 1997

 

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