Commissioner of commerce required to create low-cost motor vehicle insurance program for low-income residents, and money appropriated.
Impact
If enacted, HF2245 would directly impact the insurance landscape in Minnesota by introducing a standardized low-cost insurance policy. Eligible applicants must meet specific criteria, including gross annual household income that does not exceed 300% of the federal poverty level and the requirement to demonstrate coverage by medical insurance. The Commissioner will set the premiums for these policies based on a combination of loss data, claims history, and input from qualified consumer organizations, ensuring that the policies remain affordable while covering necessary risks.
Summary
House File 2245, introduced in Minnesota, aims to establish a low-cost motor vehicle insurance program specifically to cater to low-income residents. The legislation mandates that the Commissioner of Commerce create the 'Minnesota lifeline insurance program', which seeks to provide affordable motor vehicle insurance policies. Its main goals include reducing the number of uninsured motorists and enhancing public safety. The program would be operationalized through the establishment of low-cost policies that meet state insurance laws while being tailored for low-income individuals.
Contention
Notably, the bill outlines various eligibility criteria that could provoke discussion, including restrictions on potential applicants with certain driving violations or criminal convictions. These provisions may be contentious, as they essentially limit access to affordable insurance for individuals with a checkered driving history or past legal issues. Opponents might argue that these stipulations create barriers for vulnerable populations, contradicting the bill's aim to support low-income drivers in accessing necessary insurance coverage.
Commissioner of commerce required to create a low-cost motor vehicle insurance program for low-income residents, report required, and money appropriated.
Commissioner of commerce required to create a low-cost motor vehicle insurance program for low-income residents, report required, and money appropriated.
Uninsured and underinsured motorist liability coverage amounts increase, motorcycle insurance inclusion uninsured and underinsured coverage requirement provision, traumatic brain injury recovery account and program establishment provision, and automobile insurance surcharge for traumatic brain injury recovery account and program requirement provision
Definitions and registration requirements for motorized bicycles and motorcycles powered by electric motors modified, sellers required to have a dealer license, certain vehicles prohibited from using public roads, and money appropriated.
Requirements established related to motor vehicle impacts, including imposing a motor vehicle weight surcharge and requiring weight disclosures; report required; and money appropriated.
Article V Convention; process for appointing commissioners and alternate commissioners to represent the State of Alabama at Article V Convention established