SB 1195

Abstract

Motor vehicle insurance; underinsured motor vehicle. Provides that a policy or contract of bodily injury and property damage liability insurance for the use of a motor vehicle shall contain an endorsement or provisions obligating the insurer to make payment for injury or damage caused by an underinsured vehicle without any credit, set-off, or reduction for the available bodily injury and property damage coverage. The bill provides that a motor vehicle is underinsured when the total amount of bodily injury and property damage coverage applicable to the operation or use of the motor vehicle and available for payment for such bodily injury or property damage, is less than the total amount of damages sustained up to the total amount of uninsured motorist coverage afforded any person inured.

Motor vehicle insurance; underinsured motorvehicle. Provides that a motor vehicle is underinsured when thetotal amount of bodily injury and property damage coverage applicableto the operation or use of the motor vehicle and available for paymentfor such bodily injury or property damage, including all bonds ordeposits of money or securities, is insufficient to fully compensateany person injured as a result of the operation or use of the vehicle.Currently, a motor vehicle is underinsured when such coverage is less than the total amount of uninsured motorist coverage affordedany person injured as a result of the operation or use of the vehicle.