RELATING TO INSURANCE -- LIABILITY INSURANCE -- UNINSURED MOTORIST, COVERAGE
Summary
S2633 amends Rhode Island’s uninsured motorist statute to expressly include property damage within the coverage framework, rather than limiting the statute primarily to bodily injury and death. The bill requires automobile liability policies issued in the state to provide uninsured motorist coverage in an amount equal to the insured’s bodily injury liability limits, while allowing the named insured to select lower limits in writing, subject to statutory minimums. It also preserves the option to reject uninsured motorist property damage coverage if the insured has collision coverage, and it sets out rules for deductibles, notice of optional coverage, subrogation, and the ability to stack coverage when multiple premiums have been paid.
Impact
The bill would revise § 27-7-2.1 of the Rhode Island General Laws governing liability insurance and uninsured motorist coverage. Its main legal effect is to expand and clarify statutory treatment of property damage claims involving uninsured and underinsured motorists, including hit-and-run and insolvent insurer situations, and to specify how claims are handled, what proof is required, and how recoveries are allocated after subrogation. It would affect auto insurers, policyholders, and claimants by changing coverage expectations, optional coverage disclosures, and the handling of property damage losses under motor vehicle policies.
Sentiment
The available voting history suggests the bill was received favorably in committee, with the Senate Judiciary Committee voting 9-0 to hold it for further study. No committee transcript is available, so there is no recorded debate to indicate opposition or support beyond the unanimous committee action. Overall, the bill appears to have been treated as a technical insurance coverage measure rather than a highly controversial proposal.
Contention
The likely points of contention are the scope and cost of expanded uninsured/underinsured motorist property damage coverage, the requirement that insurers offer coverage equal to bodily injury liability limits, and the stacking provision allowing recovery up to the aggregate amount of coverage when multiple premiums have been paid. Insurers may view the bill as increasing exposure and administrative complexity, while consumer advocates would likely support the added protection for insured drivers. The bill also preserves consumer choice by allowing written rejection of property damage coverage and lower selected limits, which may reduce opposition from those concerned about premium increases.
Restricts private vehicle property damage insurance coverage for a rental passenger vehicle, to the named insured and drivers on that private policy, unless the designated driver is specifically excluded.
Restricts private vehicle property damage insurance coverage for a rental passenger vehicle, to the named insured and drivers listed on that private policy, unless the designated driver is specifically excluded.
Forbids a motor vehicle liability insurance carrier from considering the zip code of where an insured lives for purposes of calculating their policy premium.
Forbids a motor vehicle liability insurance carrier from considering the zip code of where an insured lives for purposes of calculating their policy premium.
Mandates insurance coverage for scalp cooling treatments for breast cancer patients undergoing chemotherapy to prevent hair loss during chemotherapy treatments.