Print Friendly SENATE BILL NO. 1018 – MV, not insured, penalty
SENATE BILL NO. 1018
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S1018...................................................by JUDICIARY AND RULES
MOTOR VEHICLES - INSURANCE - Amends existing law to provide that failure to
insure a motor vehicle shall constitute a misdemeanor; to provide increased
penalties for a second or subsequent violation; and to provide for orders of
restitution in certain instances.
01/21 Senate intro - 1st rdg - to printing
01/22 Rpt prt - to Jud
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-seventh Legislature First Regular Session - 2003
IN THE SENATE
SENATE BILL NO. 1018
BY JUDICIARY AND RULES COMMITTEE
1 AN ACT
2 RELATING TO MOTOR VEHICLE INSURANCE; AMENDING SECTION 49-1229, IDAHO CODE, TO
3 PROVIDE THAT FAILURE TO INSURE A MOTOR VEHICLE SHALL CONSTITUTE A MISDE-
4 MEANOR, TO PROVIDE INCREASED PENALTIES FOR SECOND AND SUBSEQUENT VIOLA-
5 TIONS AND TO PROVIDE FOR ORDERS OF RESTITUTION IN CERTAIN INSTANCES; AND
6 AMENDING SECTION 49-1428, IDAHO CODE, TO PROVIDE THAT IT IS A MISDEMEANOR
7 FOR ANY OWNER OF A MOTOR VEHICLE TO PERMIT OPERATION OF THE VEHICLE WITH-
8 OUT INSURANCE, TO PROVIDE FOR INCREASED PENALTIES FOR A SECOND AND SUBSE-
9 QUENT VIOLATION AND TO PROVIDE FOR AN ORDER OF RESTITUTION IN CERTAIN
11 Be It Enacted by the Legislature of the State of Idaho:
12 SECTION 1. That Section 49-1229, Idaho Code, be, and the same is hereby
13 amended to read as follows:
14 49-1229. REQUIRED MOTOR VEHICLE INSURANCE. (1) Every owner of a motor
15 vehicle which is registered and operated in Idaho by the owner or with his
16 permission shall continuously, except as provided in section 41-2516, Idaho
17 Code, provide insurance against loss resulting from liability imposed by law
18 for bodily injury or death or damage to property suffered by any person caused
19 by maintenance or use of motor vehicles described therein in an amount not
20 less than that required by section 49-117, Idaho Code, and shall demonstrate
21 the existence of any other coverage required by this title or a certificate of
22 self-insurance issued by the department pursuant to section 49-1224, Idaho
23 Code, for each motor vehicle to be registered.
24 (2) A motor vehicle owner who prefers to post an indemnity bond with the
25 director of the department of insurance in lieu of obtaining a policy of lia-
26 bility insurance may do so. Such bond shall guarantee that any loss resulting
27 from liability imposed by law for bodily injury, death or damage to property
28 suffered by any person caused by accident and arising out of the operation,
29 maintenance and use of the motor vehicle sought to be registered shall be paid
30 within thirty (30) days. The indemnity bonds shall guarantee payment in an
31 amount no less than fifty thousand dollars ($50,000) for any one (1) accident
32 of which fifteen thousand dollars ($15,000) is for property damage, for each
33 vehicle registered up to a maximum of one hundred twenty thousand dollars
34 ($120,000) for five (5) or more vehicles.
35 (3) Any bond given in connection with this chapter shall be, and shall be
36 construed to be, a continuing instrument and shall cover the period for which
37 the motor vehicle is to be registered and operated. Such bond shall be on a
38 form approved by the director of insurance with a surety company authorized to
39 do business in the state.
40 (4) A motor carrier shall continuously provide insurance against loss
41 resulting from liability imposed by law or by rule of the department and shall
42 comply with the insurance requirements of section 49-1233, Idaho Code.
43 (5) It is an infraction punishable by a fine of seventy-five dollars
1 ($75.00) a misdemeanor punishable by a fine not to exceed three hundred dol-
2 lars ($300), or by imprisonment in the county jail for a period not in excess
3 of six (6) months, or both, for any person to violate the provisions of this
4 section for the first time. A second and any subsequent conviction for a
5 violation of the provisions of this section or the provisions of section
6 49-1232 or 49-1428, Idaho Code, within a period of five (5) years shall be a
7 misdemeanor, punishable by a fine not exceeding one thousand dollars ($1,000),
8 or by imprisonment in the county jail not exceeding six (6) months one (1)
9 year, or both. The department shall notify any person convicted of a violation
10 of this section of the penalties which may be imposed for a second and any
11 subsequent conviction The court shall enter an order of restitution if the
12 person found guilty of violating the provisions of this section caused prop-
13 erty damage or injury to persons by the operation of the motor vehicle.
14 SECTION 2. That Section 49-1428, Idaho Code, be, and the same is hereby
15 amended to read as follows:
16 49-1428. FINANCIAL RESPONSIBILITY. (1) It shall be unlawful for any per-
17 son to operate a motor vehicle upon highways without a valid policy of liabil-
18 ity insurance in full force and effect in an amount not less than that pro-
19 vided in section 49-117, Idaho Code, or unless the person has been issued a
20 certificate of self-insurance pursuant to section 49-1224, Idaho Code, or has
21 previously posted an indemnity bond with the director of insurance as provided
22 in section 49-1229, Idaho Code.
23 (2) It is an infraction a misdemeanor punishable by a fine of seventy-
24 five dollars ($75.00) not in excess of three hundred dollars ($300), or by
25 imprisonment in the county jail not exceeding six (6) months, or by both, for
26 any person to violate the provisions of this section for the first time. A
27 second and any subsequent conviction of a violation of the provisions of this
28 section or the provisions of section 49-1229 or 49-1232, Idaho Code, within
29 five (5) years shall be a misdemeanor, punishable by a fine not exceeding one
30 thousand dollars ($1,000), or by imprisonment in the county jail not exceeding
31 six (6) months one (1) year, or both. The department shall notify any person
32 convicted of a violation of this section of the penalties which may be imposed
33 for a second and any subsequent conviction The court shall enter an order of
34 restitution if the person found guilty of violating the provisions of this
35 section caused property damage or injury to persons by the operation of the
36 motor vehicle.
STATEMENT OF PURPOSE
This legislation accomplishes two objectives. First, it provides
that the failure to maintain motor vehicle insurance is a
misdemeanor instead of an infraction. In order to do so, it also
raises the monetary fine and provides for the prison component.
Second, it allows a court to enter and a restitution order in the
event that property damage or personal injury exists.
Fiscal impact is difficult to project. It is possible that there
may be a fiscal impact to counties by changing to a misdemeanor.
Those costs would be relative to incarceration and the cost of
prosecution. Similarity, the State of Idaho could have a like
It is also likely that increased maintenance of insurance could
exists which may result in an offset against unliquidated and
currently unliquidatable fiscal impacts.
Name: Senator Bart M. Davis
STATEMENT OF PURPOSE/FISCAL NOTE S1018