ASSEMBLY, No. 2717

 

STATE OF NEW JERSEY

 

INTRODUCED FEBRUARY 3, 1997

 

 

By Assemblymen GARRETT and GARCIA

 

 

An Act concerning insurance for certain out-of-state motor vehicles in this State and amending P.L.1985, c.520.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. Section 18 of P.L.1985, c.520 (C.17:28-1.4) is amended to read as follows:

    18. Any insurer authorized to transact or transacting automobile or motor vehicle insurance business in this State, or controlling or controlled by, or under common control by, or with, an insurer authorized to transact or transacting automobile or motor vehicle insurance business in this State, which sells a policy providing automobile or motor vehicle liability insurance coverage, or any similar coverage, in any other state or in any province of Canada, shall include in each policy coverage to satisfy at least the liability insurance requirements of section 1 of P.L.1972, c.197 (C.39:6B-1) or section 3 of P.L.1972, c.70 (C.39:6A-3), the uninsured motorist insurance requirements of subsection a. of section 2 of P.L.1968, c.385 (C.17:28-1.1), and personal injury protection benefits coverage pursuant to section 4 of P.L.1972, c. 70 (C.39:6A-4) or of section 19 of P.L.1983, c.362 (C.17:28-1.3), whenever the automobile or motor vehicle insured under the policy is used or operated in this State.

    Any liability insurance policy subject to this section shall be construed as providing the coverage required herein, and any named insured, and any immediate family member as defined in section 14.1 of P.L.1983, c.362 (C.39:6A-8.1), under that policy, shall be subject to the tort option specified in subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8).

    Each insurer authorized to transact or transacting automobile or motor vehicle insurance business in this State and subject to the provisions of this section shall[, within 30 days of the effective date of P.L.1985, c.520,] file and maintain with the Department of Banking and Insurance written certification of compliance with the provisions of this section.

    "Automobile" means an automobile as defined in section 2 of P.L.1972, c.70 (C.39:6A-2).

(cf: P.L.1988, c.119, s.1)

 

    2. This act shall take effect immediately.

 

 

STATEMENT

 

    This bill amends the statute which requires insurers authorized to transact or transacting automobile or motor vehicle insurance business in this State, or controlling or controlled by an insurer authorized to transact or transacting business in this State, to provide to the out-of-state insureds who they insure for liability insurance coverage the same automobile or motor vehicle insurance coverage required of New Jersey drivers whenever the automobile or motor vehicle insured under the policy is used or operated in this State. This bill clarifies that the controlling or affiliated insurer must also be transacting automobile or motor vehicle insurance business to be subject to the provisions of the statute.

 

 

                             

 

Clarifies insurance coverage compliance requirement for out-of-state automobiles and motor vehicles.