SB 290 revises Montana’s motor vehicle insurance laws to expressly add underinsured motor vehicle liability insurance to the state’s uninsured motorist coverage framework. Under the bill, a motor vehicle liability policy issued for a vehicle registered and principally garaged in Montana would have to include coverage for injuries caused by both uninsured and underinsured motorists, unless the named insured rejects that coverage. The bill also defines “underinsured motor vehicle” as one whose liability limits are less than the injured person’s legally recoverable damages, while retaining the existing definition of an uninsured motor vehicle.
The bill further updates Montana’s transportation network carrier statutes, such as those governing rideshare drivers, to require uninsured and underinsured motorist coverage when required by the amended insurance law. It preserves the existing structure for coverage while a driver is logged onto a digital network or engaged in a prearranged ride, and it clarifies that the required coverage may be satisfied by the driver, the transportation network carrier, or a combination of both. It also maintains the rule that carrier-provided coverage applies first if the driver’s personal coverage has lapsed or is insufficient, and it requires drivers to carry proof of coverage and disclose insurance information after an accident.
Impact
SB 290 would amend Sections 33-23-201 and 69-12-343 of the Montana Code Annotated. Its main legal effect is to expand the state’s mandatory offer/rejection insurance framework from uninsured motorist coverage to uninsured and underinsured motorist coverage, while preserving the insured’s right to reject the coverage in writing. The bill would also align rideshare insurance requirements with that expanded coverage, affecting transportation network carriers, drivers, insurers, and accident claim handling in Montana.
Sentiment
The available voting history suggests the bill received some committee support, as the Senate Highways and Transportation Committee voted 8-0 to table the bill. However, the bill ultimately died in process, indicating that it did not advance through the full legislative process. With no committee transcript available, the overall sentiment can be described as procedurally neutral to mildly supportive in committee, but not strong enough to secure final passage.
Contention
The likely point of contention is whether Montana should require insurers to offer underinsured motorist coverage alongside uninsured motorist coverage, even though the named insured may reject it. Another potential issue is the cost and administrative burden on insurers, policyholders, and transportation network carriers, especially because the bill would extend coverage rules to rideshare operations and clarify when carrier coverage must apply. The absence of recorded transcript discussion limits certainty, but the structure of the bill suggests debate would center on consumer protection versus insurance costs and coverage mandates.