S2090

SENATE, No. 2090

STATE OF NEW JERSEY

INTRODUCED MAY 15, 1997

By Senator CARDINALE

An Act concerning automobile insurance and revising various parts of the statutory law.

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

1. This act shall be known and may be cited as the "Automobile Insurance Consumer's Choice Act of 1997."

2. (New section) The Legislature finds and declares:

a. The original purpose of the "no-fault" system of automobile insurance system was to ensure that persons injured in automobile accidents were compensated for medical expenses, lost wages and other economic losses promptly, without regard to fault.

b. In the event of an automobile accident, the public interest is served by requiring motorists to have: (1) insurance that will pay certain economic losses, such as necessary medical expenses and lost wages promptly and without regard to fault, and (2) insurance coverage to ensure that drivers can be held responsible for the economic damages caused by their actions.

c. The coverages that are required to be purchased should only be those that are essential to protecting these public interests, especially if those losses would otherwise have to be paid by other private or public sources and thus increase the costs to all New Jersey residents.

d. While it is important to ensure that all drivers maintain certain essential insurance necessary to protect the public interest, it is also important to ensure that consumers can afford automobile insurance that meets their personal needs.

e. It is important that consumers have greater flexibility and choice in determining: (1) the amount and types of coverage that they need to protect their assets; and (2) whether and to what extent they want to be able to receive payments to compensate for pain and suffering resulting from an automobile accident.

3. Section 2 of P.L.1952, c.174 (C.39:6-62) is amended to read as follows:

2. Definitions. As used in this act:

"Executive director" means the official designated by and serving at the pleasure of the commissioner to administer to and be in charge of the Unsatisfied Claim and Judgment Fund and who shall be responsible to the Unsatisfied Claim and Judgment Fund Board.

"Treasurer" means the State Treasurer of New Jersey acting as the custodian of the Unsatisfied Claim and Judgment Fund.

"Commissioner" means the Commissioner of Banking and Insurance.

"Unsatisfied Claim and Judgment Fund" or "Fund" means the fund derived from the sources specified in this act.

"Unsatisfied Claim and Judgment Fund Board" or "Board" means the board created in section 4 of this act.

"Qualified person" means a resident of this State or the owner of a motor vehicle registered in this State or a resident of another state, territory, or federal district of the United States or province of Canada or of a foreign country, in which recourse is afforded, to residents of this State, of substantially similar character to that provided for by this act; provided, however, that no person shall be a qualified person [where such person is an insured under a policy provision providing coverage for damages sustained by the insured as a result of the operation of an uninsured motor vehicle in a form authorized to be included in automobile liability policies of insurance delivered or issued for delivery in this State, pursuant to the provisions of, or any supplement to, chapter 28 of Title 17 of the Revised Statutes or in a form substantially similar thereto] who, at the time of the automobile accident resulting in damages to that person, is required to maintain personal injury protection coverage mandated by section 4 of P.L. 1972, c. 70 (C. 39:6A-4).

"Uninsured motor vehicle" means a motor vehicle as to which there is not in force a liability policy meeting the requirements of section 3, or 26 of the "Motor Vehicle Security-Responsibility Law," P.L.1952, c.173 (C.39:6-25 or C.39:6-48), and which is not owned by a holder of a certificate of self-insurance under said law.

"Person" includes natural persons, firms, copartnerships, associations and corporations.

"Insurer" means any insurer authorized in this State to write the kinds of insurance specified in paragraphs d. and e. of R.S.17:17-1.

"Net direct written premiums" means direct gross premiums written on policies, insuring against legal liability for bodily injury or death and for damage to property arising out of the ownership, operation or maintenance of motor vehicles, which are principally garaged in this State, less return premiums thereon and dividends paid to policyholders on such direct business.

"Registration license year" means the period beginning June 1, 1956, and ending May 31, 1957, and each subsequent 12 month period, beginning June 1 and ending the following May 31.

(cf: P.L.1985, c.148, s.3)

4. Section 9 of P.L.1952, c 174 (C.39:6-69) is amended to read as follows:

9. a. When any qualified person recovers a valid judgment in any court of competent jurisdiction in this State against any other person, who was the operator or owner of a motor vehicle, other than an automobile as defined in section 2 of P.L.1972, c.70 (C.39:6A-2), for injury to, death of, any person or persons, or a similar valid judgment in such court against such a defendant for an amount in excess of $500.00, exclusive of interest and costs, for damage to property, except property of others in charge of such operator or owner or such operator's or owner's employees, arising out of the ownership, maintenance, operation or use of the motor vehicle in this State on or after April 1, 1955, and any amount remains unpaid thereon in the case of a judgment for bodily injury or death, or any amount in excess of $500.00 remains unpaid thereon in case of a judgment for damage to property, such judgment creditor may, upon the termination of all proceedings, including reviews and appeals in connection with such judgment, file a verified claim in the court in which the judgment was entered, and upon 10 days' written notice to the board may apply to the court for an order directing payment out of the fund, of the amount unpaid upon such judgment for bodily injury or death, which does not exceed, or upon such judgment for damage to property, which exceeds the sum of $500.00 and does not exceed--

[(a)] (1) The maximum amount or limit of $15,000.00, exclusive of interest and costs, on account of injury to, or death of, one person, in any one accident, and

[(b)] (2) The maximum amount or limit, subject to such limit for any one person so injured or killed, of $30,000.00, exclusive of interest and costs, on account of injury to, or death of, more than one person, in any one accident, and

[(c)] (3) The maximum amount or limit of $5,000.00, exclusive of interest and costs, for damage to property in any one accident.

b. When any qualified person recovers a valid judgment in any court of competent jurisdiction in this State against any other person who was the operator or owner of an automobile, as defined in section 2 of P.L.1972, c.70 (C.39:6A-2), for economic loss, arising out of the ownership, maintenance, operation or use of the automobile in this State on or after the effective date of P.L. , c. (now before the Legislature as this bill), and any amount remains unpaid thereon, that judgment creditor may, upon the termination of all proceedings, including reviews and appeals in connection with that judgment, and upon 10 days' written notice to the board, may apply to the court for an order directing payment out of the fund, of the amount unpaid upon the judgment for economic loss, which does not exceed the maximum amount or limit of $15,000, exclusive of interest and costs, for economic loss in any one accident.

(cf: P.L.1988, c.119,s.15)

5. Section 10 of P.L.1952, c.174 (C.39:6-70) is amended to read as follows:

10. Hearing on application for payment of judgment. The court shall proceed upon such application, in a summary manner, and, upon the hearing thereof, the applicant shall be required to show:

(a) He is not a person covered with respect to such injury or death by any workers' compensation law, or the personal representative of such a person,

(b) He is not a spouse, parent or child of the judgment debtor, or the personal representative of such spouse, parent or child,

(c) He was not at the time of the accident a person (1) operating or riding in a motor vehicle which he had stolen or participated in stealing or (2) operating or riding in a motor vehicle without the permission of the owner, and is not the personal representative of such a person,

(d) He was not at the time of the accident, the owner or registrant of an uninsured motor vehicle, or was not operating a motor vehicle in violation of an order of suspension or revocation,

(e) He has complied with all of the requirements of section 5,

(f) The judgment debtor at the time of the accident was not insured under a policy of automobile liability insurance under the terms of which the insurer is liable to pay in whole or in part the amount of the judgment,

(g) He has obtained a judgment as set out in section 9 of this act, stating the amount thereof and the amount owing thereon at the date of the application,

(h) He has caused to be issued a writ of execution upon said judgment and the sheriff or officer executing the same has made a return showing that no personal or real property of the judgment debtor, liable to be levied upon in satisfaction of the judgment, could be found or that the amount realized on the sale of them or of such of them as were found, under said execution, was insufficient to satisfy the judgment, stating the amount so realized and the balance remaining due on the judgment after application thereon of the amount realized,

(i) He has caused the judgment debtor to make discovery under oath, pursuant to law, concerning his personal property and as to whether such judgment debtor was at the time of the accident insured under any policy or policies of insurance described in subsection (f) of this section,

(j) He has made all reasonable searches and inquiries to ascertain whether the judgment debtor is possessed of personal or real property or other assets, liable to be sold or applied in satisfaction of the judgment,

(k) By such search he has discovered no personal or real property or other assets, liable to be sold or applied or that he has discovered certain of them, describing them, owned by the judgment debtor and liable to be so sold and applied and that he has taken all necessary action and proceedings for the realization thereof and that the amount thereby realized was insufficient to satisfy the judgment, stating the amount so realized and the balance remaining due on the judgment after application of the amount realized,

(l) The application is not made by or on behalf of any insurer by reason of the existence of a policy of insurance, whereby the insurer is liable to pay, in whole or in part, the amount of the judgment and that no part of the amount to be paid out of the fund is sought in lieu of making a claim or receiving a payment which is payable by reason of the existence of such a policy of insurance and that no part of the amount so sought will be paid to an insurer to reimburse or otherwise indemnify the insurer in respect of any amount paid or payable by the insurer by reason of the existence of such a policy of insurance,

(m) Whether or not he has recovered a judgment in an action against any other person against whom he has a cause of action in respect of his damages for bodily injury or death or damage to property arising out of the accident and what amounts, if any, he has received by way of payments upon the judgment, or by way of settlement of such cause of action, in whole or in part, from or on behalf of such other person,

(n) [In order to recover for noneconomic loss, as defined in section 2 of P.L.1972, c.70 (C.39:6A-2) for accidents to which the benefits of sections 7 and 10 of P.L.1972, c.198 (C.39:6-86.1 and C.39:6-86.4) apply, the injured person shall have sustained an injury described in subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8).] (Deleted by amendment. P.L. , c. .)

Whenever the applicant satisfies the court that it is not possible to comply with one or more of the requirements enumerated in subsections (h) and (i) of this section and that the applicant has taken all reasonable steps to collect the amount of the judgment or the unsatisfied part thereof and has been unable to collect the same, the court may dispense with the necessity for complying with such requirements.

The board or any insurer to which the action has been assigned may appear and be heard on application and show cause why the order should not be made.

(cf: P.L.1988, c.119, s.19)

6. Section 13 of P.L.1952, c.174 (C.39:6-73) is amended to read as follows:

13. a. Except with respect to medical expense benefits paid pursuant to section 2 of P.L.1977, c.310 (C.39:6-73.1), no order shall be made for the payment of a claim pursuant to subsection a. of section 9 of P.L.1952, c.174 (C.39:6-69) and the treasurer shall make no payment, out of the fund, of

[(a)] (1) Any claim for damage to property for less than $500.00, [(b)] (2) The first $500.00 of any judgment for damage to property or of the unsatisfied portion thereof, or

[(c)] (3) The unsatisfied portion of any judgment which, after deducting $500.00 therefrom if the judgment is for damage to property, exceeds

[(1)] (a) the maximum or limit of $15,000.00, exclusive of interest and costs, on account of injury to, or death of, one person in any one accident, and

[(2)] (b) the maximum amount or limit, subject to such limit for any one person so injured or killed, of $30,000.00, exclusive of interest and costs, on account of injury to, or death of, more than one person, in any one accident, and

[(3)] (c) the maximum amount or limit of $5,000.00, exclusive of interest and costs, for damage to property in any one accident; provided, that such maximum amounts shall be reduced by any amount received or recovered as specified in subsection (m) of section 10 of P.L.1952, c.174 (C.39:6-70).

[(d)] (4) Any claim for damage to property which includes any sum greater than the difference between said maximum amounts and the sum of $500.00, and any amount paid out of the fund in excess of the amount so authorized may be recovered by the treasurer in an action brought to him against the person receiving the same.

b. No order shall be made for payment of a claim pursuant to subsection b. of section 9 of P.L.1952, c.174 (C.39:6-69) and the treasurer shall make no payment out of the fund of the unsatisfied portion of any judgment which exceeds the maximum limit of $15,000, exclusive of interest and costs, for economic loss in any one accident; provided that the maximum amount shall be reduced by any amount received or recovered as specified in subsection (m) of section 10 of P.L.1952, c.174 (C.39:6-70).

Any claim for economic loss which includes any amount paid out of the fund in excess of the amount so authorized may be recovered by the treasurer in an action brought by him against the person receiving the same.

(cf: P.L.1988, c.119, s.16)

7. Section 24 of P.L.1952, c.174 (C.39:6-84) is amended to read as follows:

24. a. When a judgment is obtained against the commissioner, in an action brought under [this act] P.L.1952, c.174 (C.39:6-61 et seq. for a claim arising out of the ownership, maintenance, operation or use of a motor vehicle, other than an automobile, upon the determination of all proceedings including appeals and reviews, the court shall make an order directed to the treasurer directing him to pay out of the fund to the plaintiff in the action the amount thereof which does not exceed $15,000.00, exclusive of interest and costs, on account of injury to, or death of, one person and, subject to such limits for the death of, or injury to, any one person, does not exceed $30,000.00, exclusive of interest and costs, on account of the injury to, or death of, more than one person, in any one accident, provided that such maximum amount shall be reduced by any amount received or recovered by the plaintiff as specified in subparagraph (m) of section 10 of P.L.1952, c.174 (C.39:6-70).

b. When a judgment is obtained against the commissioner in an action brought under P.L.1952, c.174 (C. 39:6-61 et seq.) for a claim arising out of the ownership, maintenance, operation or use of an automobile, upon the determination of all proceedings including appeals and reviews, the court shall make an order directed to the treasurer directing him to pay the plaintiff in the action the amount thereof which does not exceed $15,000, exclusive of interest and costs, on account of economic loss in any one accident, provided that the maximum shall be reduced by any amount received or recovered by the plaintiff as specified in subparagraph (m) of section 10 of P.L.1952, c.174 (C.39:6-70).

(cf: P.L.1985, c.148, s.17)

8. Section 2 of P.L.1972, c.70 (C.39:6A-2) is amended to read as follows:

2. Definitions. As used in this act:

a. "Automobile" means a private passenger automobile of a private passenger or station wagon type that is owned or hired and is neither used as a public or livery conveyance for passengers nor rented to others with a driver; and a motor vehicle with a pickup body, a delivery sedan, a van, or a panel truck or a camper type vehicle used for recreational purposes owned by an individual or by husband and wife who are residents of the same household, not customarily used in the occupation, profession or business of the insured other than farming or ranching. An automobile owned by a farm family copartnership or corporation, which is principally garaged on a farm or ranch and otherwise meets the definitions contained in this section, shall be considered a private passenger automobile owned by two or more relatives resident in the same household.

b. "Essential services" means those services performed not for income which are ordinarily performed by an individual for the care and maintenance of such individual's family or family household.

c. "Income" means salary, wages, tips, commissions, fees and other earnings derived from work or employment.

d. "Income producer" means a person who, at the time of the accident causing personal injury or death, was in an occupational status, earning or producing income.

e. "Medical expenses" means expenses for medical treatment, surgical treatment, dental treatment, professional nursing services, hospital expenses, rehabilitation services, X-ray and other diagnostic services, prosthetic devices, ambulance services, medication and other reasonable and necessary expenses resulting from the treatment prescribed by persons licensed to practice medicine and surgery pursuant to R.S.45:9-1 et seq., dentistry pursuant to R.S.45:6-1 et seq., psychology pursuant to P.L.1966, c.282 (C.45:14B-1 et seq.) or chiropractic pursuant to [P.L.1953, c.233 (C.45:9-41.1 et seq.)] P.L.1989, c.153 (C.45:9-41.7 et seq.) or by persons similarly licensed in other states and nations or any nonmedical remedial treatment rendered in accordance with a recognized religious method of healing.

f. "Hospital expenses" means:

(1) The cost of a semiprivate room, based on rates customarily charged by the institution in which the recipient of benefits is confined;

(2) The cost of board, meals and dietary services;

(3) The cost of other hospital services, such as operating room; medicines, drugs, anesthetics; treatments with X-ray, radium and other radioactive substances; laboratory tests, surgical dressings and supplies; and other medical care and treatment rendered by the hospital;

(4) The cost of treatment by a physiotherapist;

(5) The cost of medical supplies, such as prescribed drugs and medicines; blood and blood plasma; artificial limbs and eyes; surgical dressings, casts, splints, trusses, braces, crutches; rental of wheelchair, hospital bed or iron lung; oxygen and rental of equipment for its administration.

g. "Named insured" means the person or persons identified as the insured in the policy and [, if an individual,] his or her spouse, if the spouse is named as a resident of the same household, except that if the spouse ceases to be a resident of the household of the named insured, coverage shall be extended to the spouse for the full term of any policy period in effect at the time of the cessation of residency. For the purpose of electing coverage options provided pursuant to sections 10 and 14 of P.L. , c. (C. and )(now before the Legislature as this bill), section 13 of P.L.1983, c.362 (C.39:6A-4.3), section 14 of P.L.1985, c.520 (C.39:6A-4.5), section 14.1 of P.L.1983, c.362 (C.39:6A-8.1), and section 10 of P.L.1972, c.70 (C.39:6A-10), "named insured" means a natural person.

h. "Pedestrian" means any person who is not occupying, entering into, or alighting from a vehicle propelled by other than muscular power and designed primarily for use on highways, rails and tracks.

i. "Noneconomic loss" means pain, suffering and inconvenience.

j. "Motor vehicle" means a motor vehicle as defined in R.S.39:1-1, exclusive of an automobile as defined in subsection a. of this section.

k. "Economic loss" means any objectively verifiable pecuniary loss, including, but not limited to: (1) past and future medical expenses, loss of income, expenses for essential services, funeral expenses, less any benefits paid pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4), section 10 of P.L.1972, c.70 (C.39:6A-10) or any other collateral source pursuant to section 1 of P.L.1987, c.326 (C.2A:15-97); and (2) the cost to repair or replace property that was damaged or destroyed. "Economic loss" does not include the deductible and copayment applicable to medical expense benefit payments pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4).

(cf: P.L.1983, c.362, s.6)

9. Section 3 of P.L.1972, c.70 (C.39:6A-3) is amended to read as follows:

3. Compulsory automobile insurance coverage; limits. Every owner or registered owner of an automobile registered or principally garaged in this State whose automobile liability insurance coverage was issued or renewed prior to the effective date of P.L. , c (now before the Legislature as this bill) shall maintain automobile liability insurance coverage, under provisions approved by the Commissioner of Banking and Insurance, insuring against loss resulting from liability imposed by law for bodily injury, death and property damage sustained by any person arising out of the ownership, maintenance, operation or use of an automobile wherein such coverage shall be at least in:

a. an amount or limit of $15,000.00, exclusive of interest and costs, on account of injury to, or death of, one person, in any one accident; and

b. an amount or limit, subject to such limit for any one person so injured or killed, of $30,000.00, exclusive of interest and costs, on account of injury to or death of, more than one person, in any one accident; and

c. an amount or limit of $5,000.00, exclusive of interest and costs, for damage to property in any one accident.

No licensed insurance carrier shall refuse to renew the required coverage stipulated by this act of an eligible person as defined in section 25 of P.L.1990, c.8 (C.17:33B-13) except in accordance with the provisions of section 26 of P.L.1988, c.119 (C.17:29C-7.1) or with the consent of the Commissioner of Banking and Insurance.

(cf: P.L.1990, c.8, s.3)

10. (New section) Every owner or registered owner of an automobile registered or principally garaged in this State whose automobile liability insurance expires on or after the effective date of P.L. , c. (now before the Legislature as this bill) shall maintain one of the following types of automobile liability insurance coverage insuring against loss resulting from liability arising out of the ownership, maintenance, operation or use of an automobile, under provisions approved by the Commissioner of Banking and Insurance:

a. Basic Coverage, which shall be applicable to policies issued to named insureds electing Option A or B pursuant to subsection a. or b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill), and which shall be required to be maintained: (1) in an amount or limit of at least $15,000 single limit coverage, exclusive of interest and costs, for (a) liability on account of economic loss, including property damage, in any one accident in which an exemption from tort liability for noneconomic loss applicable to such options applies, and (b) liability on account of economic and noneconomic loss, including property damage, in any one accident in which the exemption from tort liability for noneconomic loss applicable to such options does not apply; and (2) in an amount or limit to satisfy the minimum requirements for liability for economic and noneconomic loss imposed by any other state or province of Canada, whenever the automobile insured under the policy is used or operated in those jurisdictions.

b. (1) Extended Coverage, which shall be applicable to policies issued to named insureds electing Option C or D pursuant to subsection c. or d. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill) and which shall provide coverage for economic and noneconomic loss in an amount or limit of at least:

(a) $15,000, exclusive of interest and costs, on account of injury to, or death of, one person, in any one accident; and

(b) $30,000, exclusive of interest and costs, subject to the limit in subparagraph (a) of paragraph (1) of subsection b. of this section for any one person so injured or killed, on account of injury to or death of, more than one person, in any one accident; and

(2) Extended coverage shall also include coverage for noneconomic loss of any person entitled to recover in a tort action in which the tortfeasor is exempt from tort liability for noneconomic loss as a result of being subject to Option A or B pursuant to subsection a. or b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill).

(3) Extended coverage shall also provide coverage in an amount or limit to satisfy the minimum requirements for liability for economic and noneconomic loss imposed by any other state or province of Canada, whenever the automobile insured under the policy is used or operated in those jurisdictions.

No licensed insurance carrier shall refuse to renew the coverage required by P.L.1972, c.70 (C.39:6A-1 et seq.) of an eligible person as defined in section 25 of P.L.1990, c.8 (C.17:33B-13), except in accordance with the provisions of section 26 of P.L.1988, c.119 (C.17:29C-7.1) or with the consent of the Commissioner of Banking and Insurance.

11. (New section) Every insurer writing automobile insurance in this State, with respect to any policy issued or renewed before the effective date of P.L. , c. (now before the Legislature as this bill) which will expire after that effective date, shall include in those policies an endorsement providing coverage for noneconomic loss payable to an owner, registrant, operator or occupant of the automobile and to any other person entitled to recovery in a tort action in which the tortfeasor is exempt from tort liability for noneconomic loss as a result of being subject to Option A or B pursuant to subsection a. or b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill). The endorsement shall provide coverage for noneconomic loss in an amount which is at least equal to the named insured's uninsured motorist coverage.

b. Under terms and conditions specified by the Commissioner of Banking and Insurance, every insurer shall file a copy of the endorsement and the amount of additional premium to be charged for the endorsement, if any, with the commissioner no later than 90 days before it is to be issued to policyholders. If the commissioner does not disapprove the filing by the end of the 90-day period, it shall be deemed approved.

12. Section 14 of P.L.1985, c.520 (C.39:6A-4.5) is amended to read as follows:

14. a. (1) Any person who, at the time of an automobile accident resulting in injuries to that person, is required but fails to maintain [medical expense benefits coverage] personal injury protection coverage mandated by section 4 of P.L.1972, c.70 (C.39:6A-4) shall [: a. For the purpose of filing an action for recovery of noneconomic loss, as defined in section 2 of P.L.1972, c.70 (C.39:6A-2), be subject to the tort option specified in subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8)] have no cause of action for recovery of economic or noneconomic loss sustained as a result of an accident while occupying, entering into, alighting from or using an automobile.

(2) Any person who is required to, but fails to maintain personal injury protection coverage mandated by section 4 of P.L.1972, c.70 (C.39:6A-4) shall be liable for noneconomic loss to a person who maintains that coverage, or is a person who has the right to receive benefits under section 4 of P.L.1972, c.70 (C.39:6A-4), notwithstanding the fact that the injured person is subject to the tort option in subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8) or Option A, B or C in subsection a., b. or c. of section 14 of P.L. , c. (C. ).(now before the Legislature as this bill), except that the injured person who is subject to Option B in subsection b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill), may elect to receive payment for noneconomic loss under the benefit schedule in lieu of pursuing a cause of action against that operator.

b. [(Deleted by amendment, P.L.1988, c.119.)] (1) Any person who is convicted of, or pleads guilty to, operating a motor vehicle in violation of R.S.39:4-50, section 2 of P.L.1981, c.512 (C.39:4-50.4a), or a similar statute from any other jurisdiction, in connection with an accident, shall have no cause of action for recovery of economic or noneconomic loss sustained as a result of the accident.

(2) Notwithstanding any tort limitations established as a result of the election of subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8) or Option A, B or C in subsection a., b. or c. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill) by either a tortfeasor or an injured party, any person injured in an accident by an operator of an automobile who is convicted of or pleads guilty to a violation of R.S.39:4-50, section 2 of P.L.1981, c.512 (C.39:4-50.4a), or a similar statute from any other jurisdiction, shall have a cause of action for recovery of noneconomic loss resulting from any injuries sustained in the accident. Notwithstanding the other provisions of this subparagraph (2), any injured person who is subject to Option B in subsection b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill) may elect to receive payment for noneconomic loss under the benefit schedule in lieu of instituting an action against the tortfeasor.

c. Any person acting with specific intent of causing injury to himself or others in the operation or use of an automobile shall have no cause of action for recovery of economic or noneconomic loss sustained as a result of an accident arising from such conduct and shall be liable for noneconomic loss to any person injured in the accident notwithstanding the tort option pursuant to section 8 of P.L.1972, c.70 (C.39:6A-8) or section 14 of P.L. , c. (C. )(now before the Legislature as this bill) that applies to the injured person, except that the injured person who is subject to Option B in subsection b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill), may elect to receive payment for noneconomic loss under the benefit schedule in lieu of instituting an action against the tortfeasor.

d. Any person who is not required to maintain personal injury protection coverage pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4) and is not a resident relative in the household of a named insured who has made a selection pursuant to section 14.1 of P.L.1983, c.362 (C.39:6A-8.1) under an automobile insurance policy shall be subject to Option D in subsection d. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill).

(cf: P.L.1988, c.119, s.4)

13. Section 8 of P.L.1972, c 70 (C.39:6A-8) is amended to read as follows:

8. Tort exemption; limitation on the right to noneconomic loss.

One of the following two tort options shall be elected, in accordance with section 14.1 of P.L.1983, c.362 (C.39:6A-8.1), by any named insured required to maintain personal injury protection coverage pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4):

a. Every owner, registrant, operator or occupant of an automobile to which section 4 of P.L.1972, c.70 (C.39:6A-4), personal injury protection coverage, regardless of fault, applies, and every person or organization legally responsible for his acts or omissions, is hereby exempted from tort liability for noneconomic loss to a person who is subject to this subsection and who is either a person who is required to maintain the coverage mandated by this act, or is a person who has a right to receive benefits under section 4 of P.L.1972, c.70 (C.39:6A-4), as a result of bodily injury, arising out of the ownership, operation, maintenance or use of such automobile in this State, unless that person has sustained a personal injury which results in death; dismemberment; significant disfigurement; a fracture; loss of a fetus; permanent loss of use of a body organ, member, function or system; permanent consequential limitation of use of a body organ or member; significant limitation of use of a body function or system; or a medically determined injury or impairment of a non-permanent nature which prevents the injured person from performing substantially all of the material acts which constitute that person's usual and customary daily activities for not less than 90 days during the 180 days immediately following the occurrence of the injury or impairment; or b. As an alternative to the basic tort option specified in subsection a. of this section, every owner, registrant, operator, or occupant of an automobile to which section 4 of P.L.1972, c.70 (C.39:6A-4) applies, and every person or organization legally responsible for his acts or omissions, shall be liable for noneconomic loss to a person who is subject to this subsection and who is either a person who is required to maintain the coverage mandated by P.L.1972, c.70 (C.39:6A-1 et seq.) or is a person who has a right to receive benefits under section 4 of that act (C.39:6A-4), as a result of bodily injury, arising out of the ownership, operation, maintenance or use of such automobile in this State.

The tort option provisions of subsection b. of this section shall also apply to the right to recover for noneconomic loss of any person eligible for benefits pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4) but who is not required to maintain personal injury protection coverage and is not an immediate family member, as defined in section 14.1 of P.L.1983, c.362 (C.39:6A-8.1), under an automobile insurance policy.

The tort option provisions of subsection a. of this section shall also apply to any person subject to section 14 of P.L.1985, c.520 (C.39:6A-4.5).

The tort option provisions of subsections a. and b. of this section [as provided in this 1988 amendatory and supplementary act] shall apply to automobile insurance policies issued or renewed [on or after January 1, 1989 and as otherwise provided by law] prior to the effective date of P.L. . c. (now before the Legislature as this bill).

(cf: P.L.1990, c.8, s.9)

14. (New section) Any insurer authorized to transact automobile insurance in this State shall offer the following four tort options for automobile insurance policies issued or renewed on or after the effective date of P.L. , c. (now before the Legislature as this bill). One of the following four tort options shall be elected in accordance with section 14.1 of P.L.1983, c.362 (C.39:6A-8.1), by any named insured required to maintain personal injury protection coverage pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4):

a. Option A. Economic Choice. Every owner, registrant, operator or occupant of an automobile to which section 4 of P.L.1972, c.70 (C.39:6A-4) applies, who is covered by Option A, and every person or organization legally responsible for that person's acts or omissions, is hereby exempt from tort liability for noneconomic loss to a person who is required to maintain the automobile insurance coverage mandated by P.L.1972, c.70 (C.39:6A-1 et seq.), or who has a right to receive benefits under section 4 of P.L.1972, c.70 (C.39:6A-4), arising out of the ownership, operation, maintenance or use of an automobile in this State. No owner, registrant, operator or occupant, who is covered by Option A, shall have a cause of action for noneconomic loss arising out of his ownership, operation, maintenance or use of an automobile in this State, except as otherwise provided pursuant to section 14 of P.L.1985, c.520 (C.39:6A-4.5).

b. Option B. Schedule of First Party Benefits for Noneconomic Loss. (1) Every owner, registrant, operator or occupant of an automobile to which section 4 of P.L.1972, c.70 (C.39:6A-4) applies, who is covered by Option B, and every person or organization legally responsible for that person's acts or omissions, is hereby exempt from tort liability for noneconomic loss to a person who is required to maintain the automobile insurance coverage mandated by P.L.1972, c.70 (C.39:6A-1 et seq.), or who has a right to receive benefits under section 4 of P.L.1972, c.70 (C.39:6A-4), arising out of the ownership, operation, maintenance or use of an automobile in this State, except as otherwise provided pursuant to section 14 of P.L.1985, c.520 (C.39:6A-4.5). No owner, registrant, operator or occupant, who is covered by Option B, shall have a cause of action for noneconomic loss arising out of the ownership, operation, maintenance or use of an automobile in this State, except as otherwise provided pursuant to section 14 of P.L.1985, c.520 (C.39:6A-4.5). A person, who is covered by Option B, may, as provided in this subsection, receive payment for noneconomic loss for bodily injuries arising out of the ownership, operation, maintenance or use of an automobile in this State, without regard to fault, pursuant to a schedule of benefits promulgated by the Commissioner of Banking and Insurance by regulation. The benefit schedule shall establish a reimbursement amount for noneconomic loss for specific injuries sustained in an automobile accident. Additional benefits for reimbursement for noneconomic loss in multiples of up to three times the basic scheduled amounts may be elected by the named insured. No benefits for noneconomic loss provided for under this subsection shall be payable to an operator of an automobile who suffers injury in an automobile accident and who is convicted of, or pleads guilty to, operating a motor vehicle in violation of R.S.39:4-50, section 2 of P.L.1981, c.512 (C.39:4-50.4a) or a similar statute from any other jurisdiction, or to any person acting with specific intent of causing injury to himself or others in the operation of an automobile.

(2) The commissioner shall revise the schedule of benefits for reimbursement for noneconomic loss from time to time, but not less than once in every three-year period. Reimbursement shall be made on the basis of the scheduled benefit amounts in effect at the time the injury occurred.

c. Option C. Serious Injury Threshold. Every owner, registrant, operator or occupant of an automobile to which section 4 of P.L.1972, c.70 (C.39:6A-4) applies, who is covered by Option C, and every person or organization legally responsible for that person's acts or omissions, shall have no cause of action for noneconomic loss against a person who is either required to maintain the automobile insurance coverage mandated by P.L.1972, c.70 (C.39:6A-1 et seq.), or who has a right to receive benefits under section 4 of P.L.1972, c.70 (C.39:6A-4), arising out of the ownership, operation, maintenance or use of an automobile in this State, unless the person covered by Option C has sustained a bodily injury which results in death, serious impairment of body function, or permanent serious disfigurement. For the purposes of this section, serious impairment of body function means an objectively manifested impairment of an important body function that affects the person's general ability to lead his normal life. No owner, registrant, operator or occupant, who is covered by Option C, shall be liable for noneconomic loss arising out of his ownership, operation, maintenance or use of an automobile in this State to any person subject to Option A or B in subsection a. or b. of this section, except as otherwise provided pursuant to section 14 of P.L.1985, c.520 (C.39:6A-4.5). Except as provided in section 14 of P.L.1985, c.520 (C.39:6A-4.5), an owner, registrant, operator or occupant who is subject to Option C and otherwise satisfies the requirements of this subsection shall have a cause of action for noneconomic loss arising out of the ownership, operation, maintenance or use of an automobile in this State against any person not otherwise exempt from such liability pursuant to Option A or B in subsection a. or b. of this section.

The issue of whether an injured person has suffered serious impairment of body function or permanent serious disfigurement is a question of law for the court if the court finds either of the following:

(1) There is no factual dispute concerning the nature and extent of the person's injuries; or

(2) There is a factual dispute concerning the nature and extent of the person's injuries, but the dispute is not material to the determination as to whether the person has suffered a serious impairment of body function or permanent serious disfigurement. However, for a closed-head injury, a question of fact for the jury is created if a licensed allopathic or osteopathic physician who regularly diagnoses or treats closed-head injuries testifies under oath that there may be a serious neurological injury.

d. Option D. Full Lawsuit Recovery. Every owner, registrant, operator or occupant of an automobile to which section 4 of P.L.1972, c.70 of P.L.1972, c.70 (C.39:6A-4) applies, who is covered by Option D, and every person or organization legally responsible for that person's acts or omissions, shall not be liable for noneconomic loss to a person who is subject to Option A or B in subsection a. or b. of this section, except as provided in section 14 of P.L.1985, c.520 (C.39:6A-4.5). Except as provided in section 14 of P.L.1985, c.520 (C.39:6A-4.5), an owner, registrant, operator or occupant who is subject to Option D shall have a cause of action for noneconomic loss arising out of the ownership, operation, maintenance or use of an automobile in this State against any person not otherwise exempt from that liability pursuant to Option A or B in subsection a. or b. of this section.

No provision of this section shall be construed to limit the right to receive punitive damages as a measure of relief requested pursuant to section 1 of P.L.1995, c.142 (C.2A:15-5.9 et seq.).

15. Section 14.1 of P.L.1983, c.362 (C.39:6A-8.1) is amended to read as follows:

14.1. Election of tort option. a. Election of a tort option pursuant to section [8 of P.L.1972, c.70 (C.39:6A-8)] 14 of P.L. , c. (C. )(now before the Legislature as this bill) shall be in writing and signed by the named insured on the coverage selection form required by section 17 of P.L.1983, c.362 (C.39:6A-23). The form shall state the percentage difference in the premium rates or the dollar savings [between] among the [two] four tort options. The tort option elected shall apply to the named insured and any [immediate family] member of his family residing in the named insured's household [. "Immediate family member" means the spouse of the named insured and any child of the named insured or spouse residing in the named insured's household,] who is not a named insured under another automobile insurance policy.

b. If a named insured of an automobile insurance policy issued prior to the effective date of P.L. , c. (now before the Legislature as this bill) has a tort option provided in subsection a. or b. of section 8 of P.L.1972, c.70 (C.39:6A-8), and fails to elect, in writing, any of the tort options offered pursuant to section 14 of P.L. , c. (C. )(now before the Legislature as this bill), the named insured shall be deemed to select Option C in subsection c. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill) if the prior tort option was subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8), and Option D in subsection d. of section 14 of P.L. , c. (now before the Legislature as this bill) if the prior tort option was subsection b. of section 8 of P.L.1972, c.70 (C.39:6A-8). If the named insured fails to elect, in writing, any of the tort options offered pursuant to section 8 of P.L.1972, c.70 (C.39:6A-8), the named insured shall be deemed to elect the tort option of subsection a. of that section 8. If a person is not a named insured of an automobile insurance policy on the day prior to the effective date of P.L. , c. (now before the Legislature as this bill) and fails to elect, in writing, any of the tort options offered pursuant to section 14 of P.L. , c. (C. )(now before the Legislature as this bill), the named insured shall be deemed to elect Option C in subsection c. of that section 14.

c. The tort option elected by a named insured for an automobile policy issued or renewed on or after [January 1, 1989] the effective date of P.L. , c. (now before the Legislature as this bill) shall continue in force as to subsequent renewal or replacement policies until the insurer or its authorized representative receives a properly executed form electing the other tort option.

d. The tort option elected by the named insured shall apply to all automobiles owned by the named insured and to any [immediate family] member of his family residing in the named insured's household who is not a named insured under another automobile insurance policy, except that in the case where more than one policy is applicable to the named insured or [immediate] family member, and the policies have different tort options, the tort option elected by the injured named insured shall apply or, in the case of [an immediate] a family member who is not a named insured and is injured in an accident involving an automobile to which a policy issued to a named insured in the household of the injured [immediate] family member applies, the tort option elected by that named insured shall apply.

e. Notwithstanding any other provision of law to the contrary, no person, including, but not limited to, an insurer, an insurance producer as defined in section 2 of P.L.1987, c.293 (C.17:22A-2), a servicing carrier or non-insurer servicing carrier acting in that capacity pursuant to P.L.1983, c.65 (C.17:30E-1 et seq.), and the New Jersey Automobile Full Insurance Underwriting Association created pursuant to P.L.1983, c.65 (C.17:30E-1 et seq.), shall be liable in an action for damages on account of the election of a tort option by a named insured or on account of the tort option imposed pursuant to subsection b. of this section or otherwise imposed by law. Nothing in this subsection shall be deemed to grant immunity to any person causing damage as the result of his willful, wanton or grossly negligent act of commission or omission.

[In the case of automobile insurance policies in force on January 1, 1989, notice] Notice of the tort options available pursuant to [the aforesaid] section [8] 14 of P.L. , c. (now before the Legislature as this bill) shall be given in accordance with section 17 of P.L.1983, c.362 (C.39:6A-23).

(cf: P.L.1988, c.119, s.7)

16. Section 16 of P.L.1983, c.362 (C.39:6A-22) is amended to read as follows:

16. Powers of exchange. a. The exchange shall be empowered to raise sufficient moneys (1) to pay its operating expenses, and (2) to compensate members of the exchange for claims paid for noneconomic loss, and associated claim adjustment expenses, which would not have been incurred had the tort limitation option provided in subsection b. of section 8 of P.L.1972, c.70 (C.39:6A-8) or, in the case of policies issued or renewed on or after January 1, 1989 but prior to the effective date of P.L. , c. (now before the Legislature as this bill), subsection a. of section 8 of P.L.1972, c.70 (C.39:6A-8), or, in the case of policies issued or renewed on or after the effective date of P.L. , c. (now before the Legislature as this bill), Option C in subsection c. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill), been elected by the injured party filing the claim for noneconomic loss.

b. In order to enable the exchange to meet its obligations under subsection a. of this section, every member insurer or servicing carrier of the New Jersey Automobile Full Insurance Underwriting Association shall forward on a monthly basis, within 15 days of the close of the member's accounting month, a charge, to be known as the AIRE charge, in an amount and manner to be prescribed by the board of directors.

AIRE charge amounts required to be paid to the exchange in accordance with this subsection shall, in the case of those amounts determined by the board of directors to be applicable during the period from July 1, 1984 to the effective date of P.L.1985, c.520, be paid to the exchange within 60 days of that date.

A 10% per annum penalty charge shall be assessed by the exchange on any overdue AIRE charges.

c. The board of directors shall establish guidelines by which members or servicing carriers and the exchange may verify the tort limitation options elected by claimants.

d. Moneys collected by or otherwise available to the exchange shall be invested as hereinafter provided in section 12 of P.L.1985, c.520 (C.39:6A-22.1).

e. The exchange shall have such powers as may be necessary or appropriate to effectuate the purposes of the exchange.

(cf: P.L.1988, c.119, s.31)

17. Section 1 of P.L.1972, c.197 (C.39:6B-1) is amended to read as follows:

1. Every owner or registered owner of a motor vehicle, other than an automobile, registered or principally garaged in this State shall maintain motor vehicle liability insurance coverage, under provisions approved by the Commissioner of Banking and Insurance, insuring against loss resulting from liability imposed by law for bodily injury, death and property damage sustained by any person arising out of the ownership, maintenance, operation or use of a motor vehicle, other than an automobile, wherein such coverage shall be at least in: a. an amount or limit of $15,000.00, exclusive of interest and costs, on account of injury to, or death of, one person, in any one accident; and b. an amount or limit, subject to such limit for any one person so injured or killed, of $30,000.00, exclusive of interest and costs, on account of injury to or death of, more than one person, in any one accident; and c. an amount or limit of $5,000.00, exclusive of interest and costs, for damage to property in any one accident.

For purposes of P.L.1972, c.197 (C.39:6B-1 et seq.), "automobile" means an automobile as defined in section 2 of P.L.1972, c.70 (C.39:6A-2).

(cf: P.L.1972, c.197, s.1)

18. Section 2 of P.L.1972, c.197 (C.39:6B-2) is amended to read as follows:

2. Any owner or registrant of a motor vehicle, including an automobile, registered or principally garaged in this State who operates or causes to be operated a motor vehicle upon any public road or highway in this State without motor vehicle liability insurance coverage required by this act or section 10 of P.L. , c. (C. )(now before the Legislature as this bill), and any operator who operates or causes a motor vehicle to be operated and who knows or should know from the attendant circumstances that the motor vehicle is without motor vehicle liability insurance coverage required by this act or section 10 of P.L. , c. (C. )(now before the Legislature as this bill) shall be subject, for the first offense, to a fine of [$300.00] not less than $300 nor more than $1000 and a period of community service to be determined by the court, and shall forthwith forfeit his right to operate a motor vehicle over the highways of this State for a period of one year from the date of conviction. Upon subsequent conviction, he shall be subject to a fine of [$500.00] up to $5,000 and shall be subject to imprisonment for a term of 14 days and shall be ordered by the court to perform community service for a period of 30 days, which shall be of such form and on such terms as the court shall deem appropriate under the circumstances, and shall forfeit his right to operate a motor vehicle for a period of two years from the date of his conviction, and, after the expiration of said period, he may make application to the Director of the Division of Motor Vehicles for a license to operate a motor vehicle, which application may be granted at the discretion of the director. The director's discretion shall be based upon an assessment of the likelihood that the individual will operate or cause a motor vehicle to be operated in the future without the insurance coverage required by this act. A complaint for violation of this act may be made to a municipal court at any time within six months after the date of the alleged offense.

Failure to produce at the time of trial an insurance identification card or an insurance policy which was in force for the time of operation for which the offense is charged[,] creates a rebuttable presumption that the person was uninsured when charged with a violation of this section.

[Notwithstanding any provision of P.L.1972, c.197 (C.39:6B-1 et seq.), any person who violates the provisions of that act, from October 1, 1990 through January 31, 1991, shall not be subject to any of the penalties or sanctions provided for a first violation of that act if that person produces at the time of trial an insurance identification card or a motor vehicle liability insurance policy which is in force at the time of the trial and the conviction for that person's offense would be the person's first conviction for an offense under that act. The Commissioner of Insurance shall appropriately promote and advertise this limited time amnesty program for first-time offenses under that act throughout the State.]

(cf: P.L.1990, c.8, s.49)

19. Section 2 of P.L.1968, c.385 (C.17:28-1.1) is amended to read as follows:

2. a. No motor vehicle liability policy or renewal of such policy of insurance, [including] excluding a liability policy for an automobile as defined in section 2 of P.L.1972, c.70 (C.39:6A-2), insuring against loss resulting from liability imposed by law for bodily injury or death, sustained by any person arising out of the ownership, maintenance, operation or use of a motor vehicle, shall be issued in this State with respect to any motor vehicle registered or principally garaged in this State unless it includes coverage in limits for bodily injury or death as follows:

(1) an amount or limit of $15,000.00, exclusive of interest and costs, on account of injury to, or death of, one person, in any one accident, and

(2) an amount or limit, subject to such limit for any one person so injured or killed, of $30,000.00, exclusive of interest and costs, on account of injury to or death of more than one person, in any one accident,

under provisions approved by the Commissioner of Banking and Insurance, for payment of all or part of the sums which the insured or his legal representative shall be legally entitled to recover as damages from the operator or owner of an uninsured motor vehicle, or hit and run motor vehicle, as defined in section 18 of P.L.1952, c.174 (C.39:6-78), because of bodily injury, sickness or disease, including death resulting therefrom, sustained by the insured, caused by accident and arising out of the ownership, maintenance, operation or use of such uninsured or hit and run motor vehicle anywhere within the United States or Canada [; except that uninsured motorist coverage shall provide that in order to recover for non-economic loss, as defined in section 2 of P.L.1972, c.70 (C.39:6A-2), for accidents to which the benefits of section 4 (C.39:6A-4) of that act apply, the tort option elected pursuant to section 8 (C.39:6A-8) of that act shall apply to that injured person].

All motor vehicle liability policies shall also include coverage for the payment of all or part of the sums which persons insured thereunder shall be legally entitled to recover as damages from owners or operators of uninsured motor vehicles, other than hit and run motor vehicles, because of injury to or destruction to the personal property of such insured, with a limit in the aggregate for all insureds involved in any one accident of $5,000.00, and subject, for each insured, to an exclusion of the first $500.00 of such damages.

b. Uninsured and underinsured motorist coverage shall be provided as an option by an insurer to the named insured up to at least the following limits: $250,000.00 each person and $500,000.00 each accident for bodily injury; $100,000.00 each accident for property damage or $500,000.00 single limit, subject to an exclusion of the first $500.00 of such damage to property for each accident, except that the limits for uninsured and underinsured motorist coverage shall not exceed the insured's motor vehicle liability policy limits for bodily injury and property damage, respectively.

Rates for uninsured and underinsured motorist coverage for the same limits shall, for each filer, be uniform on a Statewide basis without regard to classification or territory.

c. Uninsured and underinsured motorist coverage provided for in this section shall not be increased by stacking the limits of coverage of multiple motor vehicles covered under the same policy of insurance nor shall these coverages be increased by stacking the limits of coverage of multiple policies available to the insured. If the insured had uninsured motorist coverage available under more than one policy, any recovery shall not exceed the higher of the applicable limits of the respective coverages and the recovery shall be prorated between the applicable coverages as the limits of each coverage bear to the total of the limits.

d. Uninsured and underinsured motorist coverage shall be subject to the policy terms, conditions and exclusions approved by the Commissioner of Banking and Insurance, including, but not limited to, unauthorized settlements, nonduplication of coverage, subrogation and arbitration.

e. For the purpose of this section, (1) "underinsured motorist coverage" means insurance for damages because of bodily injury and property damage resulting from an accident arising out of the ownership, maintenance, operation or use of an underinsured motor vehicle. Underinsured motorist coverage shall not apply to an uninsured motor vehicle. A motor vehicle is underinsured when the sum of the limits of liability under all bodily injury and property damage liability bonds and insurance policies available to a person against whom recovery is sought for bodily injury or property damage is, at the time of the accident, less than the applicable limits for underinsured motorist coverage afforded under the motor vehicle insurance policy held by the person seeking that recovery. A motor vehicle shall not be considered an underinsured motor vehicle under this section unless the limits of all bodily injury liability insurance or bonds applicable at the time of the accident have been exhausted by payment of settlements or judgments. The limits of underinsured motorist coverage available to an injured person shall be reduced by the amount he has recovered under all bodily injury liability insurance or bonds;

(2) "uninsured motor vehicle" means:

(a) a motor vehicle with respect to the ownership, operation, maintenance, or use of which there is no bodily injury liability insurance or bond applicable at the time of the accident;

(b) a motor vehicle with respect to the ownership, operation, maintenance, or use of which there is bodily injury liability insurance in existence but the liability insurer denies coverage or is unable to make payment with respect to the legal liability of its insured because the insurer has become insolvent or bankrupt, or the Commissioner of Banking and Insurance has undertaken control of the insurer for the purpose of liquidation; or

"Uninsured motor vehicle" shall not include an underinsured motor vehicle; a motor vehicle owned by or furnished for the regular use of the named insured or any resident of the same household; a self-insurer within the meaning of any financial responsibility or similar law of the state in which the motor vehicle is registered or principally garaged; a motor vehicle which is owned by the United States or Canada, or a state, political subdivision or agency of those governments or any of the foregoing; a land motor vehicle or trailer operated on rails or crawler treads; a motor vehicle used as a residence or stationary structure and not as a vehicle; or equipment or vehicles designed for use principally off public roads, except while actually upon public roads.

f. The provisions of this section shall not apply to the uninsured and underinsured motorist coverages for automobiles, as defined in section 2 of P.L.1972, c.70 (C.39:6A-2).

(cf: P.L.1988, c.119, s.11)

20. (New section) a. Any insurer authorized to transact automobile insurance in this State shall offer basic coverage in an amount or limit of at least $15,000, exclusive of interest and costs, on account of loss in any one accident that satisfies the requirements of subsection a. of section 10 of P.L. , c. (C. )(now before the Legislature as this bill), under provisions approved by the Commissioner of Banking and Insurance, for payment of all or part of the sums which the insured or his legal representative shall be legally entitled to recover from the operator or owner of an uninsured motor vehicle, or hit and run motor vehicle, as defined of section 18 of P.L. 1952, c. 174 (C.39:6-78), caused by accident and arising out of the ownership, maintenance, operation or use of such uninsured or hit and run vehicle anywhere in the United States or Canada.

In addition, insurers shall offer to named insureds extended coverages for loss in at least an amount or limit that satisfies the requirements of subsection b. of section 10 of P.L. , c. (C. )(now before the Legislature as this bill).

b. Uninsured and underinsured motorist coverage shall be provided by an insurer as an option to the named insured up to at least the following limits: $250,000 each person and $500,000 each accident for bodily injury; $100,000 each accident for property damage or $500,000 single limit, subject to an exclusion of the first $500 of such damage to property for each accident, except that the limits for uninsured and underinsured motorist coverage shall not exceed the insured's automobile liability policy limits for bodily injury and property damage, respectively. If the named insured is subject to Option A or B in subsection a. or b. of section 14 of P.L. , c. (C. )(now before the Legislature as this bill), and fails to elect, in writing, any option offered pursuant to this subsection, the named insured shall be deemed to have rejected uninsured and underinsured motorist coverage. If the named insured is subject to Option C or D in subsection c. or d. of section 14 of P.L. , c. (C. ) (now before the Legislature as this bill), and fails to elect, in writing, any option offered pursuant to this subsection, the named insured shall be deemed to elect uninsured and underinsured motorist coverage in amounts or limits equal to the named insured's automobile liability coverage.

Rates for uninsured and underinsured motorist coverage for the same limits shall, for each filer, be uniform on a Statewide basis without regard to classification or territory.

c. Uninsured and underinsured motorist coverage provided for in this section shall not be increased by stacking the limits of coverage of multiple motor vehicles covered under the same policy of insurance, nor shall these coverages be increased by stacking the limits of coverage of multiple policies available to the insured. If the insured had uninsured and underinsured motorist coverage available under more than one policy, any recovery shall not exceed the higher of the applicable limits of the respective coverages and the recovery shall be prorated between the applicable coverages as the limits of each coverage bear to the total of the limits.

e. For the purpose of this section:

(1) "underinsured motorist coverage" means insurance for damages resulting from an accident arising out of the ownership, maintenance, operation or use of an underinsured motor vehicle. Underinsured motorist coverage shall not apply to an uninsured motor vehicle. A motor vehicle is underinsured when the sum of the limits of coverage under all bonds and insurance policies available to a person against whom recovery is sought is, at the time of the accident, less than the applicable limits for underinsured motorist coverage afforded under the automobile insurance policy held by the person seeking that recovery. A motor vehicle shall not be considered an underinsured motor vehicle under this section unless the limits of all motor vehicle insurance or bonds applicable at the time of the accident have been exhausted by payment of settlements or judgments. The limits of underinsured motorist coverage available to an injured person shall be reduced by the amount he has recovered under all motor vehicle insurance or bonds;

(2) "uninsured motor vehicle" means:

(a) a motor vehicle with respect to the ownership, operation, maintenance, or use of which there is no insurance or bond applicable at the time of the accident;

(b) a motor vehicle with respect to the ownership, operation, maintenance, or use of which there is insurance in existence but the insurer denies coverage or is unable to make payment with respect to the claims against its insured because the insurer has become insolvent or bankrupt, or the Commissioner of Banking and Insurance has undertaken control of the insurer for the purpose of liquidation; or

21. Section 1 of P.L.1970, c.217 (C.17:22-6.14a) is amended to read as follows:

1. a. In the event that a policy is canceled by the insurer, either at its own behest or at the behest of the agent or broker of record, the unearned premium, including the unearned commission, shall be returned to the policyholder.

b. In the event that a policy of insurance, issued by the automobile insurance plan established pursuant to P.L.1970, c.215 (C.17:29D-1) or any successor thereto, is canceled by reason of nonpayment of premium to the insurer issuing the policy or nonpayment of an installment payment due pursuant to an insurance premium finance agreement, the broker of record for that policy may retain the full annual commission due thereon and, if a premium finance agreement is not involved, the effective date of cancellation of the policy shall be no earlier than 10 days prior to the last full day for which the premium paid by the insured, net of the broker's full annual commission, would pay for coverage on a pro rata basis in accordance with rules established by the commissioner.

c. Contracts between insurance companies and agents for the appointment of the agent as the representative of the company shall set forth the rate of commission to be paid to the agent for each class of insurance within the scope of such appointment written on all risks or operations in this State, except:

(1) Reinsurance.

(2) Life insurance.

(3) Annuities.

(4) Accident and health insurance.

(5) Title insurance.

(6) Mortgage guaranty insurance.

(7) Hospital service, medical service, health service, or dental service corporations, investment companies, mutual benefit associations, or fraternal beneficiary associations.

Said rates of commission shall continue in force and effect unless changed by mutual written consent or until termination of said contract as hereinafter provided. Failure to achieve such mutual consent shall require that the agent's contract be terminated as hereinbelow provided. The rate of commission being paid on each class of insurance on the date of enactment hereof shall be deemed to be pursuant to the existing contract between agent and company.

d. Termination of any such contract for any reason other than one excluded herein shall become effective after not less than 90 days' notice in writing given by the company to the agent and the Commissioner of Banking and Insurance. No new business or changes in liability on renewal or in force business, except as provided in subsection l. of this section, shall be written by the agent for the company after notice of termination without prior written approval of the company. However, during the term of the agency contract, including the said 90-day period, the company shall not refuse to renew such business from the agent as would be in accordance with said company's current underwriting standards. The company shall, during a period of 12 months from the effective date of such termination, provided the former agent has not been replaced as the broker of record by the insured, and upon request in writing of the terminated agent, renew all contracts of insurance for such agent for said company as may be in accordance with said company's then current underwriting standards and pay to the terminated agent a commission in accordance with the agency contract in effect at the time notice of termination was issued. Said commission can be paid only to the holder of a valid New Jersey insurance producer's license. In the event any risk shall not meet the then current underwriting standards of said company, that company may decline its renewal, provided that the company shall give the terminated agent and the insured not less than 60 days' notice of its intention not to renew said contract of insurance.

e. The agency termination provisions of this act shall not apply to those contracts:

(1) in which the agent is paid on a salary basis without commission or where he agrees to represent exclusively one company or to the termination of an agent's contract for insolvency, abandonment, gross and willful misconduct, or failure to pay over to the company moneys due to the company after his receipt of a written demand therefor, or after revocation of the agent's license by the Commissioner of Banking and Insurance; and in any such case the company shall, upon request of the insured, provided he meets the then current underwriting standards of the company, renew any contract of insurance formerly processed by the terminated agent, through an active agent, or directly pursuant to such rules and regulations as may be promulgated by the Commissioner of Banking and Insurance, or

(2) which are entered into between a qualified insurer and a UEZ agent pursuant to section 29 of P.L. , c. (C. )(now before the Legislature as Senate, No. 2091 of `1997).

f. The Commissioner of Banking and Insurance, on the written complaint of any person stating that there has been a violation of this act, or when he deems it necessary without a complaint, may inquire and otherwise investigate to determine whether there has been any violation of this act.

g. All existing contracts between agent and company in effect in the State of New Jersey on the effective date of this act are subject to all provisions of this act.

h. The Commissioner of Banking and Insurance may, if he determines that a company is in unsatisfactory financial condition, exclude such company from the provisions of this act.

i. Whenever under this act it is required that the company shall renew a contract of insurance, the renewal shall be for a time period equal to one additional term of the term specified in the original contract, but in no event to be less than one year.

j. The provisions of subsection b. of this section shall not apply to policies written by the New Jersey Automobile Full Insurance Underwriting Association established pursuant to sections 13 through 34 of P.L.1983, c.65 (C.17:30E-1 et seq.).

k. The New Jersey Automobile Full Insurance Underwriting Association established pursuant to sections 13 through 34 of P.L.1983, c.65 (C.17:30E-1 et seq.), shall not be liable to pay any commission required by subsection b. of this section on any policies written by the association prior to January 1, 1986.

l. A company which terminates its contractual relationship with an agent subject to the provisions of subsection d. of this section shall, at the time of the agent's termination, with respect to insurance covering an automobile as defined in subsection a. of section 2 of P.L.1972, c.70 (C.39:6A-2), notify each named insured whose policy is serviced by the terminated agent in writing of the following: (1) that the agent's contractual relationship with the company is being terminated and the effective date of that termination; and (2) that the named insured may (a) continue to renew and obtain service through the terminated agent; or (b) renew the policy and obtain service through another agent of the company.

Notwithstanding any provision of this section to the contrary, no insurance company which has terminated its contractual relationship with an agent subject to subsection d. of this section shall, upon the expiration of any automobile insurance policy renewed pursuant to subsection d. of this section which is required to be renewed pursuant to section 3 of P.L.1972, c.70 (C.39:6A-3) or section 10 of P.L. , c. (C. )(now before the Legislature as this bill), refuse to renew, accept additional or replacement vehicles, refuse to provide changes in the limits of liability or refuse to service a policyholder in any other manner which is in accordance with the company's current underwriting standards, upon the written request of the agent or as otherwise provided in this section, provided the agent maintains a valid New Jersey insurance producer's license and has not been replaced as the broker of record by the insured. However, nothing in this section shall be deemed to prevent nonrenewal of an automobile insurance policy pursuant to the provisions of section 26 of P.L.1988, c.119 (C.17:29C-7.1).

The company shall pay a terminated agent who continues to service policies pursuant to the provisions of this subsection a commission in an amount not less than that provided for under the agency contract in effect at the time the notice of termination was issued. A terminated agent who continues to service automobile insurance policies pursuant to this subsection shall be deemed to be an insurance broker as defined in section 2 of P.L.1987, c.293 (C.17:22A-2), and not an agent of the company, except that the terminated agent shall have the authority to bind coverage for renewals, additional or replacement vehicles, and for changed limits of liability as provided in this subsection to the same extent as an active agent for the company. The company shall provide the terminated agent with a written copy of its current underwriting guidelines during the time the agent continues to service policies pursuant to this subsection.

If a terminated agent who is continuing to service policies pursuant to the provisions of this subsection violates the written underwriting guidelines of the company in such a manner or with such frequency as to substantially affect the company's ability to underwrite or provide coverage, the company may discontinue accepting renewal and service requests from, and paying commissions to, the terminated agent; provided, however, that the company provides the terminated agent with at least 45 days' written notice which shall include a detailed explanation of the reasons for discontinuance. A copy of this notice, along with supporting documentation providing evidence that the terminated agent received proper notice of discontinuance pursuant to this subsection and evidence in support of the company's action, shall be sent by the company to the Division of Enforcement and Consumer Protection in the Department of Banking and Insurance.

The provisions of this subsection shall not apply to any policy issued by the New Jersey Automobile Full Insurance Underwriting Association created pursuant to the provisions of P.L.1983, c.65 (C.17:30E-1 et seq.).

m. A qualified insurer which terminates its contractual relationship with its UEZ agent pursuant to section 29 of P.L. , c. (C. ) (now before the Legislature as Senate, No. 2091 of 1997) shall terminate its relationship in accordance with the following provisions:

(1) The qualified insurer shall give the UEZ agent at least 60 days' written notice of termination. Notice of termination shall be on a form prescribed by the commissioner and shall indicate the date of termination and the reason for the termination. A copy of the notice of termination shall be sent to the commissioner.

(2) Notwithstanding the provisions of this section and section 26 of P.L.1988, c.119 (C.17:29C-7.1), a qualified insurer may refuse to renew the business written through a UEZ agent in an orderly and non-discriminatory manner over the course of at least a three-year period provided that such refusals to renew in each year shall not exceed one-third of a terminated UEZ agent's book of business on the effective date of termination of its relationship with its UEZ agent. A qualified insurer intending to refuse renewal business written by a terminated UEZ agent shall notify the commissioner prior to the date of the UEZ agent's termination.

(3) The terminated UEZ agent who continues to service automobile insurance policies shall continue to receive commissions for any renewal business pursuant to the terms of the contract in force with the qualified insurer at the time of termination, provided that the UEZ agent maintains a valid New Jersey insurance producer's license and has not been replaced as the broker of record by the insured. A terminated UEZ agent who continues to service automobile insurance policies shall be deemed to be an insurance broker and not the agent of the qualified insurer.

(cf: P.L.1989, c.129, s.1)

22. Section 14 of P.L.1988, c.156 (C.17:29A-15.2) is amended to read as follows:

14. Notwithstanding any other provision of law to the contrary, the dollar amount of the commission paid to a producer for [residual bodily injury] liability coverage provided pursuant to section [8 of P.L.1972, c.70 (C.39:6A-8)] 14 of P.L. , c. (C. )(now before the Legislature as this bill) shall be the same whether the named insured elects [the tort option provided for in subsection a. of that section or the tort option provided for in subsection b. of that section] Option A, B, C or D of subsection a., b., c. or d. in section 14 of P.L. , c. (C. )(now before the Legislature as this bill).

(cf: P.L.1988, c.156, s.14)

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

8. 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)]: (1) in each motor vehicle liability insurance policy, other than an automobile insurance policy, coverage to satisfy at least the liability insurance requirement of section 1 of P.L.1972, c.197 (C.39:6B-1) and the uninsured motorist requirement of subsection a. of section 2 of P.L.1968, c.385 (C.17:28-1.1); and (2) in each automobile liability insurance policy, coverage to satisfy the requirements of subsection b. of section 10 of P.L. , c. (C. )(now before the Legislature as this bill) and section 4 of P.L.1972, c.70 (C.39:6A-4), 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] . 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)] of his family residing in the named insured's household, under that policy, shall be subject to [the tort option] Option C specified in subsection [a.] c. of section [8 of P.L.1972, c.70 (C.39:6A-8)] 14 of P.L. , c. (C. )(now before the Legislature as this bill).

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] P.L. , c. (now before the Legislature as this bill), 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)

24. Section 13 of P.L.1983, c.362 (C.39:6A-4.3) is amended to read as follows:

13. Personal injury protection coverage options. With respect to personal injury protection coverage provided on an automobile in accordance with section 4 of P.L.1972, c.70 (C.39:6A-4), the automobile insurer shall provide the following coverage options:

a. Medical expense benefit deductibles in amounts of $500.00, $1,000.00 and $2,500.00 for any one accident;

b. [The option to exclude all benefits offered under subsections b., c., d., and e. of section 4;] (Deleted by amendment, P.L. , c. .)

c. (Deleted by amendment, P.L.1988, c.119.)

d. For policies issued or renewed on or after January 1, 1991, the option that other health insurance coverage or benefits of the insured, including health care services provided by a health maintenance organization and any coverage or benefits provided under any federal or State program, are the primary coverage in regard to medical expense benefits pursuant to section 4 of P.L.1972, c.70 (C.39:6A-4). If health insurance coverage or benefits are primary, an automobile insurer providing medical expense benefits under personal injury protection coverage shall be liable for reasonable medical expenses not covered by the health insurance coverage or benefits up to the limit of the medical expense benefit coverage. The principles of coordination of benefits shall apply to personal injury protection medical expense benefits coverage pursuant to this subsection.

Insurers shall offer the options provided by subsections a. and b. of this section at appropriately reduced premiums. For policies issued or renewed prior to January 1, 1992, insurers shall offer the option provided by subsection d. of this section at a discount of not less than 25% from the base rate applicable to the first $250,000 of medical expense benefit coverage, and for policies issued or renewed on or after January 1, 1992, insurers shall offer the option at an appropriate discount from the base rate for the amount of medical expense benefit coverage taken.

Any named insured who chooses the option provided by subsection d. of this section shall provide proof that he and members of his family residing in his household are covered by health insurance coverage or benefits in a manner and to an extent approved by the commissioner. Nothing in this section shall be construed to require a health insurer, health maintenance organization or governmental agency to cover individuals or treatment which is not normally covered under the applicable benefit contract or plan. If it is determined that an insured who selected or is otherwise covered by the option provided in subsection d. of this section did not have such health coverage in effect at the time of an accident, medical expense benefits shall be payable by the person's automobile insurer and shall be subject to any deductible required by law or otherwise selected as an option pursuant to subsection a. of this section, any copayment required by law and an additional deductible in the amount of $750.

An option elected by the named insured in accordance with this section shall apply only to the named insured and any resident relative in the named insured's household who is not a named insured under another automobile insurance policy [, and not to any other person eligible for personal injury protection benefits required to be provided in accordance with section 4 of P.L.1972, c.70 (C.39:6A-4)].

In the case of a medical expense benefit deductible, the deductible elected by the named insured shall be satisfied for any one accident, whether the medical expense benefits are paid or provided, in the amount of the deductible, to the named insured or to one or more resident relatives in the named insured's household who are not named insureds under another insurance policy, or to any combination thereof.

Medical expense benefits payable in any amount between the deductible selected pursuant to subsection a. of this section and $5,000.00 shall be subject to a copayment of 20%.

No insurer or health provider providing benefits to an insured who has elected a deductible pursuant to subsection a. of this section shall have a right of subrogation for the amount of benefits paid pursuant to a deductible elected thereunder or any applicable copayment.

The Commissioner of Banking and Insurance shall adopt rules and regulations to effectuate the purposes of this section and may promulgate standards applicable to the coordination of personal injury protection medical expense benefits coverage.

(cf: P.L.1990, c.8, s.6)

25. (New section) The Commissioner of Banking and Insurance may promulgate regulations and other administrative processes necessary to effectuate the purposes of this amendatory and supplementary act, including, but not limited to, procedures governing rating system filings to implement this amendatory and supplementary act.

26. Section 14 of P.L.1972, c.70 (C.39:6A-14) is repealed.

27. This act shall take effect one year following the date of enactment, except that section 25 shall take effect immediately.

STATEMENT

This bill, entitled the “Automobile Insurance Consumer’s Choice Act of 1997," is intended to address specific problems of affordability and availability in New Jersey’s automobile insurance market. It provides consumers with new, lower cost options that will satisfy compulsory insurance requirements.

Current New Jersey law requires that all automobiles maintain insurance, including personal injury protection (PIP), liability and uninsured motorists’ (UM) coverage. PIP pays necessary medical expenses up to $250,000 per person per accident, and reimburses for lost wages and essential services up to a limit selected by the insured. Liability coverage pays both uncovered economic and noneconomic bodily injury and property damage claims to others when the driver is negligent. UM pays the policyholder’s own liability claims when injured by another negligent driver who has no liability coverage.

If New Jersey law compels all motorists to purchase auto insurance, then it should limit the mandated coverages to those that are essential to the public interest, particularly when paying the cost of automobile insurance strains the resources of its citizens. Payment of direct economic losses resulting from auto accidents is essential to the public interest, since these real losses would be paid from other private or public sources if not compensated through auto insurance. Direct economic losses include payment of necessary medical costs and reimbursement for lost wages and essential services. These losses should be paid to the insured and members of the insured’s household promptly and without regard to fault.

Additionally, each automobile owner should maintain a minimum amount of insurance coverage to compensate economic losses to others when the driver is at fault. These losses include amounts unpaid by the innocent party’s own PIP coverage, as well as the cost to repair or replace damaged property, and the losses to persons who are outside the system because they do not own, or do not reside in a household that owns, an automobile.

The bill retains the most important aspect of “no fault,” that is, the timely payment of certain economic losses, such as medical expenses and lost wages, to an insured and members of the insured’s household in the event of an automobile accident. However, the bill gives a consumer more choice in determining the extent of his or her own insurance coverage.

Automobile insurance coverage selections authorized by this bill would include one of the following types:

(1) Basic coverage, which would provide at least $15,000, exclusive of interest and costs, for economic loss in any one accident in which the tort exemption established by this bill applies, provided that whenever the tort exemption does not apply, the minimum coverage would be at least $15,000, exclusive of interest and costs, for economic and noneconomic loss in any one accident. Furthermore, this policy would have to satisfy the minimum automobile insurance requirements for economic and noneconomic loss of any other state or province of Canada, whenever the automobile is operated in such jurisdictions;

(2) Extended coverage, which would provide economic and noneconomic loss coverage of at least $15,000, exclusive of interest and costs, per person in any one accident; $30,000, exclusive of interest and costs, for more than one person in any one accident for bodily injury coverage; and $5,000, exclusive of interest and costs, for property damage coverage in any one accident. In addition, extended coverage would pay the noneconomic losses of persons electing options which permit them to recover for noneconomic loss when a tortfeasor is exempted from liability for noneconomic loss pursuant to this bill. Furthermore, this policy would have to satisfy the minimum automobile insurance requirements for economic and noneconomic loss of any other state or province of Canada, whenever the automobile is operated in such jurisdictions.

The bill provides greater choice with regard to limiting lawsuits by allowing consumers to select one of the following four options:

Option A: Economic Choice Policy. A consumer selecting Option A could sue for economic loss, but not noneconomic loss. A consumer covered by Option A is exempt from tort liability for noneconomic loss to a person who is either required to maintain PIP coverage or a person who has a right to receive PIP benefits.

Option B: Scheduled Benefit Policy. A consumer selecting Option B could sue for economic loss, but not noneconomic loss; however, a consumer covered by Option B would be able to collect a predetermined or scheduled benefit for noneconomic loss from his or her own insurer in accordance with regulations promulgated by the Commissioner. A consumer covered by Option B is exempt from tort liability for noneconomic loss to any person who is either required to maintain PIP coverage or a person who has a right to receive PIP benefits.

Option C: Serious Injury Threshold Policy. A consumer selecting Option C could sue for economic loss, and for noneconomic loss if the consumer suffered a serious injury as defined in the bill. A more restrictive verbal threshold is included in this option, which recognizes and addresses the failure of the current verbal threshold to restrict significantly the kinds of injuries intended to be compensated with noneconomic damage awards. An Option C policy would provide coverage for economic and noneconomic losses by Option C or D insureds.

Option D: Lawsuit Recovery Policy. A consumer selecting Option D would be able to sue for economic and noneconomic loss without any restriction. An Option D policy would provide coverage for economic and noneconomic losses by Option C or D insureds.

"Automobile Insurance Consumer's Choice Act of 1997"