SENATE COMMERCE COMMITTEE

 

STATEMENT TO

 

[First Reprint]

ASSEMBLY, No. 4521

 

with committee amendments

 

STATE OF NEW JERSEY

 

DATED:  JUNE 16, 2021

 

      The Senate Commerce Committee reports favorably and with committee amendments Assembly Bill No. 4521 (1R).

      As amended, this bill provides that a motor vehicle insurer (insurer) licensed to do business in this State is permitted to submit with an application for a certificate of ownership or salvage certificate of title a power of attorney executed electronically by a person who has received or is due to receive a total loss settlement from an insurer in a form and in a format to be prescribed by the Chief Administrator of the New Jersey Motor Vehicle Commission (chief administrator).

      A power of attorney signed electronically is not required to be notarized but is to, at a minimum, meet security requirements prescribed by the chief administrator.

      The chief administrator is authorized to adopt regulations to implement the provisions of the bill, and may prescribe the form and format of an electronically signed power of attorney and any additional security requirements the chief administrator deems necessary, including any requirements to ensure that any power of attorney signed electronically complies with federal odometer disclosure requirements under 49 C.F.R. s.580.1 et seq.

      As amended and reported by the committee, Assembly Bill No.4521 (1R) is identical to Senate Bill No. 2882 (1R), as also amended and reported by the committee.

 

COMMITTEE AMENDMENTS

      The committee amended the bill by removing the existing provisions to replace it with language that:

      (1)  allows a New Jersey-licensed insurer to submit with an application for a certificate of ownership or salvage certificate of title a power of attorney electronically by a person who received or is due to receive a total loss settlement from the insurer;

      (2)  stipulates that a power of attorney signed electronically is not required to be notarized but is to meet minimum security requirements;

      (3)  authorizes the Chief Administrator of the New Jersey Motor Vehicle Commission to adopt regulations to implement the provisions of the bill; and

      (4)  alters the effective date to be twelve months after enactment of the bill.