Bill Text: MI SB0738 | 2013-2014 | 97th Legislature | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Insurance; no-fault; requirement to provide policy information to department of community health; revise sunset. Amends sec. 3101a of 1956 PA 218 (MCL 500.3101a).

Spectrum: Partisan Bill (Republican 8-0)

Status: (Passed) 2014-12-31 - Assigned Pa 0419'14 With Immediate Effect [SB0738 Detail]

Download: Michigan-2013-SB0738-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 738

 

 

January 21, 2014, Introduced by Senators CASWELL, JONES, GREEN, BOOHER, JANSEN, MARLEAU, PAPPAGEORGE and EMMONS and referred to the Committee on Insurance.

 

 

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

by amending section 3101a (MCL 500.3101a), as amended by 2011 PA

 

91.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3101a. (1) Except as otherwise provided in this section,

 

an insurer, in conjunction with the issuance of an automobile

 

insurance policy, as defined in section 3303, shall provide 2

 

certificates of insurance for each insured vehicle. The insurer

 

shall mark 1 of the certificates as the secretary of state's copy,

 

which copy, except as otherwise provided in this section, shall be

 

filed with the secretary of state by the policyholder upon

 

application for a vehicle registration. The secretary of state


 

shall not maintain the certificate of insurance received under this

 

subsection on file.

 

     (2) Beginning December 30, 2011, an insurer, in conjunction

 

with the issuance of an automobile insurance policy, shall provide

 

to the insured 1 certificate of insurance for each insured vehicle,

 

and for private passenger nonfleet automobiles listed on the policy

 

shall supply to the secretary of state, in the format and timeline

 

as required by the secretary of state, which shall not be required

 

more frequently than every 14 days, the automobile insurer's name,

 

the named insured, the named insured's address, the vehicle

 

identification number for each such vehicle listed on the policy,

 

and the policy number. Until December 31, 2014, 2018, the secretary

 

of state shall provide policy information received under this

 

subsection to the department of community health as required for

 

the department of community health to comply with 2006 PA 593, MCL

 

550.281 to 550.289. In determining the format under this

 

subsection, the secretary of state shall consult with insurers. As

 

used in this subsection, "private passenger nonfleet automobile"

 

means that term as defined in section 3303.

 

     (3) The secretary of state shall accept as proof of vehicle

 

insurance a transmission of the insured vehicle's vehicle

 

identification number. Policy information submitted by an insurer

 

and received by the secretary of state under this section is

 

confidential, is not subject to the freedom of information act,

 

1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed to

 

any person except the department of community health for purposes

 

of 2006 PA 593, MCL 550.281 to 550.289, or pursuant to an order by


 

a court of competent jurisdiction in connection with a claim or

 

fraud investigation or prosecution. The transmission to the

 

secretary of state of a vehicle identification number is proof of

 

insurance to the secretary of state for motor vehicle registration

 

purposes only and is not evidence that a policy of insurance

 

actually exists between an insurer and an individual.

 

     (4) A person who supplies false information to the secretary

 

of state under this section or who issues or uses an altered,

 

fraudulent, or counterfeit certificate of insurance is guilty of a

 

misdemeanor punishable by imprisonment for not more than 1 year or

 

a fine of not more than $1,000.00, or both.

 

     (5) The department of community health shall report to the

 

senate and house of representatives appropriations committees and

 

standing committees concerning insurance issues on the number of

 

claims and total dollar amount recovered from automobile insurers

 

pursuant to 2006 PA 593, MCL 550.281 to 550.289. The reports

 

required by this subsection shall be given to the appropriations

 

committees and standing committees concerning insurance issues by

 

December 30, 2012 and December 30, 2013 and shall cover the

 

immediately preceding 12-month period.

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