First Regular Session 116th General Assembly (2009)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in
this style type, and deletions will appear in
this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in
this style type. Also, the
word
NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in
this style type or
this style type reconciles conflicts
between statutes enacted by the 2008 Regular Session of the General Assembly.
SENATE ENROLLED ACT No. 142
AN ACT to amend the Indiana Code concerning insurance.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 27-7-5-2; (09)SE0142.1.1. -->
SECTION 1. IC 27-7-5-2 IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2009]: Sec. 2. (a)
Except as provided in
subsection (d), the insurer shall make available, in each automobile
liability or motor vehicle liability policy of insurance which is
delivered or issued for delivery in this state with respect to any motor
vehicle registered or principally garaged in this state, insuring against
loss resulting from liability imposed by law for bodily injury or death
suffered by any person and for injury to or destruction of property to
others arising from the ownership, maintenance, or use of a motor
vehicle, or in a supplement to such a policy, the following types of
coverage:
(1) in limits for bodily injury or death and for injury to or
destruction of property not less than those set forth in IC 9-25-4-5
under policy provisions approved by the commissioner of
insurance, for the protection of persons insured under the policy
who are legally entitled to recover damages from owners or
operators of uninsured or underinsured motor vehicles because of
bodily injury, sickness or disease, including death, and for the
protection of persons insured under the policy who are legally
entitled to recover damages from owners or operators of
uninsured motor vehicles for injury to or destruction of property
resulting therefrom; or
(2) in limits for bodily injury or death not less than those set forth
in IC 9-25-4-5 under policy provisions approved by the
commissioner of insurance, for the protection of persons insured
under the policy provisions who are legally entitled to recover
damages from owners or operators of uninsured or underinsured
motor vehicles because of bodily injury, sickness or disease,
including death resulting therefrom.
The uninsured and underinsured motorist coverages must be provided
by insurers for either a single premium or for separate premiums, in
limits at least equal to the limits of liability specified in the bodily
injury liability provisions of an insured's policy, unless such coverages
have been rejected in writing by the insured. However, underinsured
motorist coverage must be made available in limits of not less than fifty
thousand dollars ($50,000). At the insurer's option, the bodily injury
liability provisions of the insured's policy may be required to be equal
to the insured's underinsured motorist coverage. Insurers may not sell
or provide underinsured motorist coverage in an amount less than fifty
thousand dollars ($50,000). Insurers must make underinsured motorist
coverage available to all existing policyholders on the date of the first
renewal of existing policies that occurs on or after January 1, 1995, and
on any policies newly issued or delivered on or after January 1, 1995.
Uninsured motorist coverage or underinsured motorist coverage may
be offered by an insurer in an amount exceeding the limits of liability
specified in the bodily injury and property damage liability provisions
of the insured's policy.
(b)
Any A named insured of an automobile or motor vehicle liability
policy has the right,
on behalf of all other named insureds, and all other
insureds, in writing, to:
(1) reject both the uninsured motorist coverage and the
underinsured motorist coverage provided for in this section; or
(2) reject either the uninsured motorist coverage alone or the
underinsured motorist coverage alone, if the insurer provides the
coverage not rejected separately from the coverage rejected.
A rejection of coverage under this subsection by a named insured
is a rejection on behalf of all other named insureds, all other
insureds, and all other persons entitled to coverage under the
policy. No insured may have uninsured motorist property damage
liability insurance coverage under this section unless the insured also
has uninsured motorist bodily injury liability insurance coverage under
this section. Following rejection of either or both uninsured motorist
coverage or underinsured motorist coverage, unless later requested in
writing, the insurer need not offer uninsured motorist coverage or
underinsured motorist coverage in or supplemental to a renewal or
replacement policy issued to the same insured by the same insurer or
a subsidiary or an affiliate of the originally issuing insurer. Renewals
of policies issued or delivered in this state which have undergone
interim policy endorsement or amendment do not constitute newly
issued or delivered policies for which the insurer is required to provide
the coverages described in this section.
(c) A rejection under subsection (b) must specify:
(1) that the named insured is rejecting:
(A) the uninsured motorist coverage;
(B) the underinsured motorist coverage; or
(C) both the uninsured motorist coverage and the
underinsured motorist coverage;
that would otherwise be provided under the policy; and
(2) the date on which the rejection is effective.
(d) An insurer is not required to make available the coverage
described in subsection (a) in a commercial umbrella or excess
liability policy, including a commercial umbrella or excess liability
policy that is issued or delivered to a motor carrier (as defined in
IC 8-2.1-17-10) that is in compliance with the minimum levels of
financial responsibility set forth in 49 CFR Part 387.
(e) A rejection under subsection (b) of uninsured motorist
coverage or underinsured motorist coverage in an underlying
commercial policy of insurance is also a rejection of uninsured
motorist coverage or underinsured motorist coverage in a
commercial umbrella or excess liability policy.
SOURCE: ; (09)SE0142.1.2. -->
SECTION 2. [EFFECTIVE JULY 1, 2009]
(a) As used in this
SECTION, "commercial vehicle policy" means an insurance policy
that provides coverage for at least one (1) of the following:
(1) A motor vehicle that is rated or insured as a business or
commercial vehicle.
(2) A motor vehicle that is licensed by the state as a
commercial vehicle.
(3) A commercial motor vehicle business, including an:
(A) individual who; or
(B) entity that;
is in the business or occupation of selling, repairing, servicing,
storing, or parking motor vehicles, including a business that
is a commercial garage operation, an automobile sales entity,
a motor vehicle repair entity, a motor vehicle service station,
or a public parking operation.
(4) A motor vehicle that is used as a public or private livery or
a rental conveyance.
(5) A motor vehicle that is owned or used by a named insured
that is not a natural person.
(b) Notwithstanding the effective date of the SECTION of this
act amending IC 27-7-5-2, IC 27-7-5-2, as amended by this act,
applies to a commercial vehicle policy that is issued or delivered
after December 31, 2009.
(c) Notwithstanding the effective date of the SECTION of this
act amending IC 27-7-5-2, an insurer shall make available to the
policyholder of a commercial vehicle policy that is in effect before
and on January 1, 2010, uninsured motorist coverage and
underinsured motorist coverage as required by IC 27-7-5-2, as
amended by this act, on the date of the first renewal of the
commercial vehicle policy that occurs after December 31, 2009.
(d) This SECTION expires December 31, 2015.
SOURCE: ; (09)SE0142.1.3. -->
SECTION 3. [EFFECTIVE JULY 1, 2009] Notwithstanding the
effective date of the SECTION of this act amending IC 27-7-5-2,
IC 27-7-5-2, as amended by this act, applies to a case in which:
(1) a claim under a policy's uninsured motorist coverage or
underinsured motorist coverage arises after December 31,
2009;
(2) a rejection is made under IC 27-7-5-2, as amended by this
act, of the uninsured motorist coverage or underinsured
motorist coverage under which the claim described in
subdivision (1) is made; and
(3) the rejection described in subdivision (2) is made after
December 31, 2009.
SOURCE: IC 27-7-5-1.5; (09)SE0142.1.4. -->
SECTION 4. IC 27-7-5-1.5 IS REPEALED [EFFECTIVE
JANUARY 1, 2010].
SEA 142 _ CC 1
Figure
Graphic file number 0 named seal1001.pcx with height 58 p and width 72 p Left aligned