Substitute House Bill No. 5176
Substitute House Bill No. 5176
PUBLIC ACT NO. 93-297
AN ACT CONCERNING AUTOMOBILE INSURANCE REFORM.
Section 1. Section 38a-336 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) (1) Each automobile liability insurance
policy shall provide insurance, herein called
uninsured AND UNDERINSURED motorist coverage, in
accordance with the regulations adopted pursuant
to section 38a-334, with limits for bodily injury
or death not less than those specified in
subsection (a) of section 14-112, for the
protection of persons insured thereunder who are
legally entitled to recover damages from owners or
operators of uninsured motor vehicles and
underinsured motor vehicles and insured motor
vehicles, the insurer of which becomes insolvent
prior to payment of such damages, because of
bodily injury, including death resulting
therefrom. Each insurer licensed to write
automobile liability insurance in this state shall
provide uninsured AND UNDERINSURED motorists
coverage with limits requested by [the] ANY named
insured upon payment of the appropriate premium,
[but the insurer shall not be required to provide]
PROVIDED EACH SUCH INSURER SHALL OFFER such
coverage with limits [in excess of] THAT ARE TWICE
the limits of the bodily injury coverage of the
policy issued to the named insured. THE INSURED'S
SELECTION OF UNINSURED AND UNDERINSURED COVERAGE
SHALL APPLY TO ALL SUBSEQUENT RENEWALS OF COVERAGE
AND TO ALL POLICIES OR ENDORSEMENTS WHICH EXTEND,
CHANGE, SUPERSEDE OR REPLACE AN EXISTING POLICY
ISSUED TO THE NAMED INSURED, UNLESS CHANGED IN
WRITING BY ANY NAMED INSURED. No insurer shall be
required to provide uninsured AND UNDERINSURED
motorist coverage to (A) a named insured or
relatives residing in his household when
occupying, or struck as a pedestrian by, an
uninsured or underinsured motor vehicle or a
motorcycle that is owned by the named insured, or
(B) to any insured occupying an uninsured or
underinsured motor vehicle or motorcycle that is
owned by such insured.
(2) Notwithstanding any provision of this
section to the contrary, each automobile liability
insurance policy issued or renewed on and after
[July 1, 1984] THE EFFECTIVE DATE OF THIS ACT,
shall provide uninsured AND UNDERINSURED motorist
coverage with limits for bodily injury and death
equal to those purchased to protect against loss
resulting from the liability imposed by law unless
[the] ANY NAMED insured requests in writing a
lesser amount, but not less than the limits
specified in subsection (a) of section 14-112.
Such written request shall apply to all subsequent
renewals of coverage and to all policies or
endorsements which extend, change, supersede or
replace an existing policy issued to the named
insured, unless changed in writing by [the] ANY
NAMED insured. NO SUCH WRITTEN REQUEST FOR A
LESSER AMOUNT SHALL BE EFFECTIVE UNLESS ANY NAMED
INSURED HAS SIGNED AN INFORMED CONSENT FORM WHICH
SHALL CONTAIN: (A) AN EXPLANATION OF UNINSURED AND
UNDERINSURED MOTORIST INSURANCE APPROVED BY THE
COMMISSIONER; (B) A LIST OF UNINSURED AND
UNDERINSURED MOTORIST COVERAGE OPTIONS AVAILABLE
FROM THE INSURER; AND (C) THE PREMIUM COST FOR
EACH OF THE COVERAGE OPTIONS AVAILABLE FROM THE
INSURER. SUCH INFORMED CONSENT FORM SHALL CONTAIN
A HEADING IN TWELVE-POINT TYPE AND SHALL STATE:
"WHEN YOU SIGN THIS FORM, YOU ARE CHOOSING A
REDUCED PREMIUM, BUT YOU ARE ALSO CHOOSING NOT TO
PURCHASE CERTAIN VALUABLE COVERAGE WHICH PROTECTS
YOU AND YOUR FAMILY. IF YOU ARE UNCERTAIN ABOUT
HOW THIS DECISION WILL AFFECT YOU, YOU SHOULD GET
ADVICE FROM YOUR INSURANCE AGENT OR ANOTHER
QUALIFIED ADVISOR".
(b) An insurance company shall be obligated to
make payment to its insured up to the limits of
the policy's uninsured AND UNDERINSURED motorist
coverage after the limits of liability under all
bodily injury liability bonds or insurance
policies applicable at the time of the accident
have been exhausted by payment of judgments or
settlements, but in no event shall the total
amount of recovery from all policies, including
any amount recovered under the insured's uninsured
AND UNDERINSURED motorist coverage, exceed the
limits of the insured's uninsured AND UNDERINSURED
motorist coverage. THE LIMITATION ON THE TOTAL
AMOUNT OF RECOVERY FROM ALL POLICIES SHALL NOT
APPLY TO UNDERINSURED MOTORIST CONVERSION COVERAGE
PURCHASED PURSUANT TO SECTION 2 OF THIS ACT.
(c) Each automobile liability insurance policy
issued on or after October 1, 1971, which contains
a provision for binding arbitration shall include
a provision for final determination of insurance
coverage in such arbitration proceeding. With
respect to any claim submitted to arbitration on
or after October 1, 1983, the arbitration
proceeding shall be conducted by a single
arbitrator if the amount in demand is forty
thousand dollars or less or by a panel of three
arbitrators if the amount in demand is more than
forty thousand dollars.
(d) REGARDLESS OF THE NUMBER OF POLICIES
ISSUED, VEHICLES OR PREMIUMS SHOWN ON A POLICY,
PREMIUMS PAID, PERSONS COVERED, VEHICLES INVOLVED
IN AN ACCIDENT, OR CLAIMS MADE, IN NO EVENT SHALL
THE LIMIT OF LIABILITY FOR UNINSURED AND
UNDERINSURED MOTORIST COVERAGE APPLICABLE TO TWO
OR MORE MOTOR VEHICLES COVERED UNDER THE SAME OR
SEPARATE POLICIES BE ADDED TOGETHER TO DETERMINE
THE LIMIT OF LIABILITY FOR SUCH COVERAGE AVAILABLE
TO AN INJURED PERSON OR PERSONS FOR ANY ONE
ACCIDENT. IF A PERSON INSURED FOR UNINSURED AND
UNDERINSURED MOTORIST COVERAGE IS AN OCCUPANT OF A
NONOWNED VEHICLE COVERED BY A POLICY ALSO
PROVIDING UNINSURED AND UNDERINSURED MOTORIST
COVERAGE, THE COVERAGE OF THE OCCUPIED VEHICLE
SHALL BE PRIMARY AND ANY COVERAGE FOR WHICH SUCH
PERSON IS A NAMED INSURED SHALL BE SECONDARY. ALL
OTHER APPLICABLE POLICIES SHALL BE EXCESS. THE
TOTAL AMOUNT OF UNINSURED AND UNDERINSURED
MOTORIST COVERAGE RECOVERABLE IS LIMITED TO THE
HIGHEST AMOUNT RECOVERABLE UNDER THE PRIMARY
POLICY, THE SECONDARY POLICY OR ANY ONE OF THE
EXCESS POLICIES. THE AMOUNT PAID UNDER THE EXCESS
POLICIES SHALL BE APPORTIONED IN ACCORDANCE WITH
THE PROPORTION THAT THE LIMITS OF EACH EXCESS
POLICY BEAR TO THE TOTAL LIMITS OF THE EXCESS
POLICIES. IF ANY PERSON INSURED FOR UNINSURED AND
UNDERINSURED MOTORIST COVERAGE IS AN OCCUPANT OF
AN OWNED VEHICLE, THE UNINSURED AND UNDERINSURED
MOTORIST COVERAGE AFFORDED BY THE POLICY COVERING
THE VEHICLE OCCUPIED AT THE TIME OF THE ACCIDENT
SHALL BE THE ONLY UNINSURED AND UNDERINSURED
MOTORIST COVERAGE AVAILABLE.
[(d)] (e) For the purposes of this section, an
"underinsured motor vehicle" means a motor vehicle
with respect to which the sum of the limits of
liability under all bodily injury liability bonds
and insurance policies applicable at the time of
the accident is less than the applicable limits of
liability under the uninsured motorist portion of
the policy against which claim is made under
subsection (b) of this section.
(f) NOTWITHSTANDING SUBSECTION (a) OF SECTION
31-284, AN EMPLOYEE OF A NAMED INSURED INJURED
WHILE OCCUPYING A COVERED MOTOR VEHICLE IN THE
COURSE OF EMPLOYMENT SHALL BE COVERED BY SUCH
INSURED'S OTHERWISE APPLICABLE UNINSURED AND
UNDERINSURED MOTORIST COVERAGE.
Sec. 2. (NEW) (a) Each insurer licensed to
write automobile liability insurance in this state
shall offer, for an additional premium,
underinsured motorist conversion coverage with
limits in accordance with section 38a-336 of the
general statutes, as amended by section 1 of this
act. The purchase of such underinsured motorist
conversion coverage shall be in lieu of
underinsured motorist coverage pursuant to section
38a-336 of the general statutes.
(b) Such coverage shall provide for the
protection of persons insured thereunder who are
legally entitled to recover damages from owners or
operators of underinsured motor vehicles.
(c) If the insured purchases such underinsured
motorist conversion coverage, then in no event
shall the underinsured motorist coverage be
reduced on account of any payment by or on behalf
of the tortfeasor or by any third party.
(d) The selection of coverage under this
section shall apply to all subsequent renewals of
coverage and to all polices or endorsements which
extend, change, supersede or replace an existing
policy issued to the named insured, unless changed
in writing by any named insured.
(e) For purposes of this section, an
"underinsured motor vehicle" means a motor vehicle
with respect to which the sum of the limits of
liability under all bodily injury liability bonds
and insurance policies applicable at the time of
the accident is less than the fair, just and
reasonable damages of the covered person.
Sec. 3. (NEW) (a) In any civil action arising
out of the ownership, maintenance or use of a
private passenger motor vehicle the parties may
agree to refer the dispute to an alternative
dispute resolution program. Such referral shall be
made within sixty days of the return date. The
duration of the referral shall not exceed ninety
days unless the court, for good cause shown,
extends the time period. The court shall stay the
time periods within which all further pleadings,
motions, requests, discovery and other procedures
must be filed or undertaken until (1) such time as
the alternative dispute resolution process is
completed or (2) the time period set by the court
for the referral has elapsed, whichever occurs
first.
(b) (1) If the alternative dispute resolution
process does not result in a resolution of the
dispute, the parties shall report the lack of
resolution to the court promptly but in no event
later than five days after the expiration of the
stay provided in subsection (a) of this section.
(2) Any such action wherein each plaintiff has
limited his own claim, exclusive of interest and
costs, to a maximum of seventy-five thousand
dollars may, with the consent of all parties, be
brought as an expedited process case in accordance
with section 51-15 of the general statutes, as
amended by section 4 of this act, and shall be
privileged with respect to assignment for trial.
(3) Any such action wherein at least one
plaintiff has not limited his own claim, exclusive
of interest and costs, to a maximum of
seventy-five thousand dollars, shall be privileged
with respect to assignment for trial.
(c) If an agreement is reached between the
parties on any issues, the neutral party shall
report such agreement to the court and the parties
shall seek the entry of an appropriate order from
the court.
(d) If the parties had agreed to refer the
dispute to an alternative dispute resolution
program consisting of binding arbitration, the
parties shall report to the court upon completion
of such arbitration. The arbitration award may be
confirmed in the same manner as any other
arbitration award as provided in chapter 909 of
the general statutes.
(e) The alternative dispute resolution process
under this section shall be deemed to be
settlement negotiations for evidentiary and
confidentiality purposes.
Sec. 4. Section 51-15 of the general statutes
is repealed and the following is substituted in
lieu thereof:
(a) In accordance with the provisions of
section 51-14, the judges of the superior court
shall make such orders and rules as they deem
necessary or advisable concerning the commencement
of process and procedure in flowage petitions,
paternity proceedings, replevin, summary process,
habeas corpus, mandamus, prohibition, ne exeat,
quo warranto, forcible entry and detainer,
peaceable entry and forcible detainer, for paying
rewards, FOR CASES FILED ON AND AFTER JANUARY 1,
1994, WHICH ARE EXPEDITED PROCESS CASES PURSUANT
TO SUBDIVISION (2) OF SUBSECTION (b) OF SECTION 3
OF THIS ACT, and for the hearing and determination
of small claims, including suitable forms of
procedure in such cases, exclusive of fees.
(b) The orders and rules for the hearing and
determination of small claims shall include
provisions for the institution of small claims
actions by attorneys-at-law on suitable forms to
be served by a proper officer or indifferent
person upon the defendant in the same manner as
complaints are served in civil actions at least
ten days before the small claims session of the
court mentioned in such form, and for making his
return thereon at least six days before such
session; and may also include, among other
provisions, the commencement of actions by an
attorney-at-law or other person without writ or
requirement of pleading other than a written or
oral statement to the clerk; notice by mail;
provisions for the early hearing of actions and
rules for hearings in accordance with sections
51-193t and 52-549a and for the commencement of
such actions without the payment of entry fee or
other fee, and the elimination of any and all
other fees or costs, except a fee for small claims
procedure as prescribed in section 52-259;
modification of any or all existing rules of
pleading, practice and evidence; a stay of the
entry of judgment or of the issuance of execution
and an alternative procedure according to the
usual rules of practice. Such orders and rules
shall permit the institution of a small claims
action against a nonresident defendant who owns
real or personal property in this state and
against an out-of-state corporation.
(c) Upon the taking effect of such orders and
rules, all provisions of statute, both public and
private, and the provisions of any orders or rules
adopted by the judges of the superior court prior
to July 1, 1957, inconsistent with or superseded
by them, shall be deemed to be repealed, to the
extent necessary to render the orders and rules
effective.
(d) The procedure for the hearing and
determination of small claims as the same may be
prescribed, from time to time, by the judges of
the superior court shall be used in all small
claims sessions of the court. The small claims
procedure shall be applicable to all actions,
except actions of libel and slander, claiming
money damages not in excess of two thousand
dollars, and to no other actions. If a motion is
filed to transfer a small claims matter to the
regular docket in the court, the moving party
shall pay the fee prescribed by section 52-259.
The attorney general or an assistant attorney
general, or the head of any state agency or his
authorized representative, while acting in his
official capacity shall not be required to pay any
small claims court fee. There shall be no charge
for copies of service on defendants in small
claims matters.
(e) THE ORDERS AND RULES FOR THE EXPEDITED
HEARING AND DETERMINATION OF CASES MAINTAINED
PURSUANT TO SUBDIVISION (2) OF SUBSECTION (b) OF
SECTION 3 OF THIS ACT SHALL INCLUDE, BUT SHALL NOT
BE LIMITED TO: THE MODIFICATION OF ANY OR ALL
EXISTING RULES OF PLEADING, PRACTICE AND EVIDENCE;
THE ADOPTION OF PROCEDURES FOR DISCLOSURE OF
MATERIAL FACTS AT THE TIME OF FILING OF THE MATTER
IN COURT; THE WAIVER OF THE RIGHT TO APPEAL A
FINAL JUDGMENT ENTERED; THE TRANSFER OF CASES
UNDER THIS SUBSECTION TO THE REGULAR DOCKET OF THE
COURT; AN EXPEDITED PRETRIAL CONFERENCE; AN
EXPEDITED ASSIGNMENT FOR TRIAL ON THE MERITS; AND
THE WAIVER OF THE RIGHT TO A RECORD OF THE TRIAL
PROCEEDINGS. ALL EXPEDITED PROCESS CASES SHALL BE
HEARD BY A JUDGE OF THE SUPERIOR COURT.
Sec. 5. Section 14-12b of the general statutes
is repealed and the following is substituted in
lieu thereof:
(a) No motor vehicle registration shall be
issued by the commissioner for any private
passenger motor vehicle, as defined in subsection
[(g)] (e) of section 38a-363, AS AMENDED BY THIS
ACT, unless (1) the application for registration
is accompanied by a current [no-fault] automobile
insurance identification card or a copy of a
current insurance policy or endorsement issued by
a company licensed to issue such insurance in this
state, an approved self-insurer or issued pursuant
to the plan established under section 38a-329,
verifying that the applicant has the required
security coverage and (2) the applicant signs and
files with the commissioner, under penalty of
false statement as provided for in section
53a-157, a statement on a form approved by the
commissioner that the owner of the vehicle has
provided and will continuously maintain throughout
the registration period the minimum security
required by section 38a-371, AS AMENDED BY THIS
ACT. [for payment of basic reparations benefits
and the liabilities covered under residual
liability insurance required by sections 38a-19
and 38a-363 to 38a-388, inclusive.] In the case of
an owner with a vehicle located outside of the
United States or Canada, the commissioner may
accept in lieu of the insurance identification
card required to be presented for issuance of the
registration, an affidavit, in such form as he
shall require, executed by the owner and stating
that the vehicle will not be operated in the
United States or Canada. No motor vehicle
registration shall be renewed by the commissioner
for any private passenger motor vehicle unless the
applicant signs and files with the commissioner,
under penalty of false statement as provided for
in section 53a-157, a statement on a form approved
by the commissioner that the owner of the vehicle
will continuously maintain throughout the
registration period the minimum security required
by SAID section 38a-371. Such form shall call for
and contain the name of the applicant's insurance
company and his policy number.
(b) For the purposes of this section and
sections 14-12c, 14-12d, 14-213b, 14-217 and
38a-364, a false statement includes presentation
of a false or fraudulent [no-fault] insurance
identification card to the commissioner or to a
law enforcement officer. For purposes of this
section, the term "current [no-fault] automobile
insurance identification card" includes a
permanent card with a future effective date
provided the word "renewal" appears in close
proximity to the effective date on the card.
(c) A person presenting [a no-fault] AN
insurance identification card to the commissioner
or to a law enforcement officer is deemed to have
full knowledge and understanding that presentation
of the card means the owner of the vehicle so
registered has provided and will continuously
maintain throughout the registration period the
minimum security required by [sections 38a-19 and
38a-363 to 38a-388, inclusive] SECTION 38a-371, AS
AMENDED BY THIS ACT.
(d) The commissioner shall, upon receiving
prima facie evidence of a violation of this
section, immediately forward the information to an
appropriate prosecuting official of the state of
Connecticut.
Sec. 6. Section 14-13 of the general statutes
is repealed and the following is substituted in
lieu thereof:
(a) The certificate of registration and any
[no-fault] automobile insurance identification
card for the vehicle issued pursuant to section
38a-364 shall be carried in the motor vehicle at
all times when it is being operated on a public
highway, except as otherwise provided by statute.
If a vehicle is registered in the name of a lessor
licensed under section 14-15, a legible
photostatic copy of the certificate of
registration or a rental or lease contract which
shall include the vehicle identification number of
such vehicle registered in this state may be
carried in lieu of the original certificate,
provided the original certificate shall be
available at all times for inspection at the
lessor's usual place of business in the state if
the motor vehicle is registered in this state. If
a vehicle is registered as a school bus as defined
in section 14-275, such copy may be carried in
lieu of the original certificate, provided such
certificate shall be available at all times for
inspection at the school bus owner's usual place
of business in the state.
(b) Any person who violates any provision of
this section shall, for a first offense, be deemed
to have committed an infraction and be fined
thirty-five dollars, and, for each subsequent
offense, shall be fined not more than fifty
dollars.
Sec. 7. Section 14-14 of the general statutes
is repealed and the following is substituted in
lieu thereof:
The commissioner shall not register any motor
vehicle owned by any person under sixteen years of
age and shall not register any motor vehicle owned
by any person between sixteen and eighteen years
of age unless such person files proof of financial
responsibility in accordance with the provisions
of section 14-112, together with a certificate
signed by the spouse, being eighteen years of age,
of a married minor applicant, or by either or both
of the parents, as the commissioner may require,
or the legal guardian of such person, approving or
requesting the registration of such vehicle,
except that no proof of financial responsibility
shall be required for the registration of a
private passenger motor vehicle, as defined in
subsection [(g)] (e) of section 38a-363, AS
AMENDED BY THIS ACT, owned by any such person.
Sec. 8. Section 14-217 of the general statutes
is repealed and the following is substituted in
lieu thereof:
No person who is operating or in charge of any
motor vehicle, when requested by any officer in
uniform, by an agent authorized by the
commissioner who presents appropriate credentials
or, in the event of any accident in which the car
he is operating or in charge of is concerned, when
requested by any other person, may refuse to give
his name and address or the name and address of
the owner of the motor vehicle or give a false
name or address, or refuse, on demand of such
officer, agent or other person, to produce his
motor vehicle registration certificate, operator's
license and any [no-fault] automobile insurance
identification card for the vehicle issued
pursuant to section 38a-364 or to permit such
officer, agent or such other person to take the
operator's license, registration certificate and
any such [no-fault] insurance identification card
in hand for the purpose of examination, or refuse,
on demand of such officer, agent or such other
person, to sign his name in the presence of such
officer, agent or such other person. No person may
refuse to surrender his license to operate motor
vehicles or the certificate of registration of any
motor vehicle operated or owned by him or such
[no-fault] insurance identification card or the
number plates furnished by the commissioner for
such motor vehicle on demand of the commissioner
or fail to produce his license when requested by a
court. Violation of any provision of this section
shall be an infraction.
Sec. 9. Section 38a-334 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) The insurance commissioner shall adopt
regulations with respect to minimum provisions to
be included in automobile liability insurance
policies issued after the effective date of such
regulations and covering private passenger motor
vehicles, as defined in subsection [(g)] (e) of
section 38a-363, AS AMENDED BY SECTION 10 OF THIS
ACT, motor vehicles with a commercial
registration, as defined in section 14-1,
motorcycles, as defined in section 14-1, motor
vehicles used to transport passengers for hire,
motor vehicles in livery service, as defined in
section 13b-101, and vanpool vehicles, as defined
in section 14-1, registered or principally garaged
in this state. Such regulations shall relate to
the insuring agreements, exclusions, conditions
and other terms applicable to the bodily injury
liability, property damage liability, medical
payments and uninsured motorists coverages under
such policies, shall make mandatory the inclusion
of bodily injury liability, property damage
liability and uninsured motorists coverages and
shall include a provision that the insurer shall,
upon request of the named insured, issue or
arrange for the issuance of a bond which shall not
exceed the aggregate limit of bodily injury
coverage for the purpose of obtaining release of
an attachment.
(b) The commissioner, before adopting such
regulations or any subsequent modifications or
amendments thereof, shall consult with insurers
licensed to write automobile liability insurance
in this state and other interested parties.
Nothing contained in such regulations or in
sections 38a-334 to 38a-336, inclusive, SECTION 2
OF THIS ACT, SECTIONS 38a-338 and 38a-340 shall
prohibit any insurer from affording broader
coverage under a policy of automobile liability
insurance than that required by such regulations.
Sec. 10. Section 38a-363 of the general
statutes is repealed and the following is
substituted in lieu thereof:
As used in sections 38a-19 and 38a-363 to
38a-388, inclusive:
[(a) "Basic reparations insured" means (1) the
owner of a private passenger motor vehicle with
respect to which security is required under
sections 38a-19 and 38a-363 to 38a-388, inclusive,
(2) any relative of such owner who resides in the
same household, and (3) if he resides in the same
household, a minor in the custody of such owner or
relative. A person resides in the same household
if he usually makes his home in the same family
unit as such owner, whether or not temporarily
living elsewhere.
(b) "Economic loss" means economic detriment
resulting from injury and consists only of
allowable expense, work loss, and, if injury
causes death, survivor's loss, as follows: (1)
"Allowable expense" means reasonable charges
incurred, whether or not covered by insurance, for
reasonably needed products, services and
accommodations, including, but not limited to,
those for medical, surgical, dental and hospital
care, nursing services, ambulance services,
x-rays, prosthetic devices, laboratory fees and
drugs, rehabilitation, rehabilitative occupational
training, and other health treatment and care.
Allowable expense also includes reasonable charges
for funeral and burial expenses, up to a total
amount not exceeding two thousand dollars; (2)
"work loss" means economic loss consisting of (i)
loss of income from work an injured person who
would normally be employed in gainful activity
during the period of his disability would have
performed had he not been injured, or if
unemployed at the time of the accident, at least
the equivalent of any unemployment compensation
benefits the injured person would have received if
eligible during the period of his disability had
he not been injured, reduced by any income from
substitute work actually performed by the injured
person or by income the injured person would have
earned in available appropriate substitute work
which he was capable of performing but
unreasonably failed to undertake and (ii) expenses
reasonably incurred in obtaining ordinary and
necessary services from others not members of the
injured person's household in lieu of those that
the injured person would have performed had he not
been injured, not for income but for the benefit
of himself or his family. Work loss does not
include any loss after the death of an injured
person; (3) "survivor's loss" means economic loss
sustained after an injured person's death by his
dependent survivors during their dependency and
consisting of the loss of the contributions they
would have received for their support from the
decedent out of income from work he would normally
have performed or if unemployed at the time of the
accident, at least the equivalent of unemployment
compensation the decedent would have received if
eligible, had he not died and expenses reasonably
incurred by his dependent survivors in obtaining
ordinary and necessary services from others not
members of the decedent's household in lieu of the
services he would have performed for the benefit
of his household; "dependent survivors" of a
deceased injured person include the following
survivors only: (i) The surviving spouse if
residing in his household at the time of his death
and (ii) other persons receiving support from the
deceased at the time of his death which would
qualify them as dependents of the deceased for
federal income tax purposes under the Internal
Revenue Code. The dependency of a surviving spouse
shall terminate upon remarriage. The dependency of
any other person shall continue only so long as
such person is under the age of eighteen years or
physically or mentally incapacitated from earning
or engaged full-time in a formal program of
academic or vocational education or training; (4)
"noneconomic detriment" means pain, suffering,
inconvenience, physical impairment, mental anguish
and other noneconomic loss recoverable under the
laws of this state. Noneconomic detriment is not
economic loss. However, economic detriment, such
as loss of income, is economic loss although
arising from the interference with work caused by
pain and suffering or physical impairment.]
[(c)] (a) "Injury" means bodily injury,
sickness or disease, including death resulting
therefrom, accidentally caused and arising out of
the ownership, maintenance or use of a private
passenger motor vehicle.
[(d)] (b) "Insurer" includes a self-insurer
and a person having the rights and obligations of
an insurer under sections 38a-19 and 38a-363 to
38a-388, inclusive, as provided by section
38a-371, AS AMENDED BY THIS ACT.
[(e)] (c) "Occupying" a vehicle means to be in
or upon or entering into or alighting from the
vehicle.
[(f)] (d) "Owner" of a private passenger motor
vehicle means the person who owns the legal title
thereto, except where the motor vehicle is the
subject of a security agreement or lease with
option to purchase with the debtor or lessee
having the right to possession, in which event
"owner" means the debtor or lessee.
[(g)] (e) "Private passenger motor vehicle"
means a: (1) Private passenger type automobile,
(2) station wagon type automobile, (3) camper type
motor vehicle, (4) high-mileage type motor vehicle
as defined in section 14-1, or (5) truck type
motor vehicle with a load capacity of fifteen
hundred pounds or less, registered as a passenger
motor vehicle as defined in section 14-1, or as a
passenger and commercial motor vehicle as defined
in section 14-1, or used for farming purposes. It
does not include a motorcycle or motor vehicle
used as a public or livery conveyance.
[(h)] (f) "Relative" of a person means one who
is related to the person by blood, marriage or
adoption.
[(i)] (g) "Use" of a motor vehicle includes
the loading or unloading thereof.
[(j) "Added reparations benefits" are benefits
described in section 38a-374.
(k) "Basic reparations benefits" are benefits
reimbursing persons suffering economic loss
through injury arising out of the ownership,
maintenance or use of a private passenger motor
vehicle as provided in this sections 38a-19 and
38a-363 to 38a-388, inclusive.]
[(l)] (h) "Pedestrian" means any person not
occupying a vehicle of any type other than a
vehicle designed to be drawn or driven by muscular
power.
Sec. 11. Section 38a-364 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) For the purposes of sections 14-12b to
14-12d, inclusive, AS AMENDED BY THIS ACT,
subsection (a) of section 14-13, AS AMENDED BY
THIS ACT, sections 14-213b and 14-217, AS AMENDED
BY THIS ACT, and this section, "private passenger
motor vehicle" shall have the same meaning as in
subsection [(g)] (e) of section 38a-363, AS
AMENDED BY THIS ACT.
(b) Each insurance company which issues
private passenger motor vehicle liability
insurance providing the security required by
sections 38a-19 and 38a-363 to 38a-388, inclusive,
shall issue annually to each such insured [a
no-fault] AN automobile insurance identification
card, in duplicate, for each insured vehicle, one
of which shall be presented to the commissioner as
provided in section 14-12b and the other carried
in the vehicle as provided in section 14-12f.
Except as provided in subsection (c), such card
shall be effective for a period of one year and
shall include the name of the insured and insurer,
the policy number, the effective date of coverage,
the year, make or model and vehicle identification
number of the insured vehicle and an appropriate
space wherein the insured may set forth the year,
make or model and vehicle identification number of
any private passenger motor vehicle that becomes
covered as a result of a change in the covered
vehicle during the effective period of the
identification card. When an insured has five or
more private passenger motor vehicles registered
in this state, the insurer may use the designation
"all owned vehicles" on each card in lieu of a
specific vehicle description.
(c) Whenever a binder for such insurance is
issued by an agent, the agent shall also issue a
temporary identification card, in duplicate, for
each covered vehicle effective for a period of
sixty days from the date on which the binder
becomes effective. Such temporary cards shall
include the name of the insured and insurer, the
printed name and signature of the agent or
authorized representative, the effective date of
the binder, the policy number or, if such number
is not available, the agent's code number and the
year, make or model and vehicle identification
number of the insured vehicle.
(d) The provisions of this section shall apply
only to private passenger motor vehicles
registered in this state.
Sec. 12. Section 38a-371 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) (1) The owner of a private passenger motor
vehicle required to be registered in this state
shall provide and continuously maintain throughout
the registration period security in accordance
with [sections 38a-363 to 38a-388, inclusive, for
payment of basic reparations benefits and the
liabilities covered under residual liability
insurance, except that an owner who is a member of
the military service and who principally garages
the vehicle outside of this state shall provide
the security required for payment of basic
reparations benefits only while such vehicle is
operated in this state. Such member of the
military service shall maintain liability coverage
sufficient to provide proof of financial
responsibility required under section 14-112]
SECTIONS 38a-334 TO 38a-343, INCLUSIVE. (2) The
owner of a private passenger motor vehicle not
required to be registered in this state shall
maintain security in accordance with [sections
38a-363 to 38a-388, inclusive] THIS SECTION, in
effect continuously throughout the period of its
operation, maintenance or use as a motor vehicle
within this state with respect to accidents
occurring in this state.
(b) The security required by [sections 38a-363
to 38a-388, inclusive] THIS SECTION, may be
provided by a policy of insurance complying with
[said sections] THIS SECTION issued by or on
behalf of an insurer licensed to transact business
in this state or, if the vehicle is registered in
another state, by a policy of insurance issued by
or on behalf of an insurer licensed to transact
business in either this state or the state in
which the vehicle is registered.
(c) Subject to approval of the insurance
commissioner the security required by [sections
38a-363 to 38a-388, inclusive] THIS SECTION, may
be provided by self-insurance by filing with the
commissioner in satisfactory form: (1) A
continuing undertaking by the owner or other
appropriate person to [pay basic reparations
benefits and the liabilities covered by residual
liability insurance and to] perform all [other]
obligations imposed by [said sections] THIS
SECTION; (2) evidence that appropriate provision
exists for the prompt and efficient administration
of all claims, benefits, and obligations provided
by [said sections] THIS SECTION; and (3) evidence
that reliable financial arrangements, deposits or
commitments exist providing assurance for payment
of [basic reparations benefits and the liabilities
covered by residual liability insurance and all
other] ALL obligations imposed by [said sections]
THIS SECTION substantially equivalent to those
afforded by a policy of insurance that would
comply with [said sections] THIS SECTION. A person
who provides security under this subsection is a
self-insurer. A municipality may provide the
security required under [said sections] THIS
SECTION by filing with the commissioner a notice
that it is a self-insurer.
(d) The owner of any private passenger motor
vehicle required to be registered in this state
who operates it or permits it to be operated in
this state is guilty of a class C misdemeanor if
he fails to provide the security required by
[sections 38a-363 to 38a-388, inclusive, and shall
further be required to provide the proof of
financial responsibility required under section
14-112] THIS SECTION.
(e) An owner of a private passenger motor
vehicle with respect to which security is required
who fails to have such security in effect at the
time of an accident shall [be personally liable
for the payment of basic reparations benefits.
Such an owner shall] have all of the rights and
obligations of an insurer under sections 38a-363
to 38a-388, inclusive, and shall remain subject to
all the obligations of the Financial
Responsibility Law, sections 14-112 to 14-133,
inclusive.
(f) Upon receipt of a signed written request
for suspension from the owner of a registered
motor vehicle stating that such vehicle will not
be operated upon any highway during a period of
not less than thirty consecutive days, the insurer
of such vehicle shall suspend, to the extent
requested by the owner, insurance coverage
afforded under the policy providing the security
required by sections 38a-363 to 38a-388,
inclusive, for such vehicle until notified by the
owner that the coverage should be reinstated.
During the period of suspension only, the
provisions of subsections (a) to (e), inclusive,
of this section [and the provisions of section
38a-372] shall not apply with respect to such
vehicle, provided, if such vehicle is operated
upon any highway by or with the permission of the
owner during the period of suspension, the
provisions of said subsections (a) to (e),
inclusive, of this section, [but not the
provisions of section 38a-372,] shall thereupon
become applicable. As used in this subsection,
"highway" shall be defined as in section 14-1.
This subsection shall not apply to a motor vehicle
for which proof of financial responsibility is
required under the provisions of sections 14-112
to 14-133, inclusive.
Sec. 13. Section 38a-372 of the general
statutes is repealed and the following is
substituted in lieu thereof:
[(a) An insurance policy which purports to
provide coverage for basic reparations benefits or
is sold with the representation that it fulfills
the requirements of security as required in
section 38a-371 is deemed to include all coverages
required by sections 38a-363 to 38a-388,
inclusive.]
[(b)] Every insurance company authorized to
transact the business of private passenger motor
vehicle liability insurance in this state shall
file with the insurance commissioner as a
condition of its continued transaction of such
business within this state a form approved by the
commissioner declaring that its policies shall be
deemed to provide the security required by
[sections 38a-363 to 38a-388, inclusive] SECTION
38a-371, AS AMENDED BY THIS ACT. Any nonadmitted
insurer may file such a form.
[(c) No such insurance policy shall contain
any provision which would compel the basic
reparations insured to submit to a physical
examination by any physician to whom such insured
has objection and notifies the insurer thereof in
writing. Whenever a claim is made for basic
reparations and the insurer requests the insured
to submit to a physical examination of one or more
physicians and surgeons and the insured refuses to
consent to any one or more of such examinations,
such insured and insurer shall select a physician
mutually agreeable to both the insured and the
insurer; and if the insured and the insurer cannot
agree upon such a physician the insurer may apply
to the insurance commissioner who may direct the
insured to be examined by a third physician chosen
by him or forfeit such basic reparations.]
Sec. 14. Section 38a-379 of the general
statutes is repealed and the following is
substituted in lieu thereof:
Except as otherwise provided in sections
38a-363 to 38a-388, inclusive, any right or
obligation provided by said sections is
enforceable by civil action. Actions [for benefits
payable] under said sections shall be brought
within the period allowed under section 52-584 or
section 52-555, respectively for the commencement
of actions for injury to the person or death.
Sec. 15. Section 38a-385 of the general
statutes is repealed and the following is
substituted in lieu thereof:
The insurance commissioner shall require that
the plan established pursuant to section 38a-329
with respect to automobile liability insurance
shall apply to [the basic and added reparations
and] residual liability insurance required by
sections 38a-363 to 38a-388, inclusive, so that
such insurance will be available to all applicants
who are in good faith entitled to but unable to
procure such insurance through ordinary methods.
Sec. 16. Section 38a-688 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) The following procedures shall apply with
respect to rates pertaining to personal risk
insurance and residual markets:
(1) In a competitive market, every insurer
shall file with the commissioner all rates and
supplementary rate information to be used in this
state, provided that such rates and information
need not be filed for inland marine risks which by
general custom of the business are not written
according to manual rules or rating plans. No such
filings may be made by a rating organization on
behalf of any insurer. Such rates and
supplementary rate information shall be filed by
the effective date of the filing or the date that
premium billing notices reflecting the new rates
are sent to insureds or agents, whichever is
earlier. In a competitive market, if the
commissioner finds, after a hearing, that an
insurer's rates require closer supervision because
of the insurer's financial condition or unfairly
discriminatory rating practices, the insurer shall
file with the commissioner at least thirty days
before the effective date, all such rates and such
supplementary rate information and supporting
information as prescribed by the commissioner.
Upon application by the filer, the commissioner
may authorize an earlier effective date for the
filing.
(2) In a noncompetitive market, every insurer
shall file with the commissioner all rates and
supplementary rate information for that market and
such supporting information as is required by the
commissioner. For purposes of subsection (d) of
section 7-479e, sections 38a-341, [38a-386,]
38a-387, 38a-665, subsection (b) of section
38a-672, and sections 38a-673, 38a-675, 38a-676
and 38a-686 to 38a-694, inclusive, residual
markets, title insurance and credit property
insurance are deemed to be noncompetitive markets.
All rates and supplementary rate information and
such supporting information as is required by the
commissioner, shall also be filed with the
commissioner for insurance provided pursuant to
section 38a-328, 38a-329 or 38a-670. Such rates
and supplementary rate information and supporting
information required by the commissioner shall be
on file with the commissioner for a waiting period
of thirty days before it becomes effective, which
period may be extended by the commissioner for an
additional period not to exceed thirty days if he
gives written notice within such waiting period to
the insurer or rating organization which made the
filing that he needs such additional time for the
consideration of such filing. Upon written
application by such insurer or rating
organization, the commissioner may authorize a
filing which he has reviewed to become effective
before the expiration of the waiting period or any
extension thereof. A filing shall be deemed to
meet the requirements of sections 38a-663 to
38a-697, inclusive, unless disapproved by the
commissioner within the waiting period or any
extension thereof. If, within the waiting period
or any extension thereof, the commissioner finds
that a filing does not meet the requirements of
sections 38a-663 to 38a-697, inclusive, he shall
send to the insurer or rating organization which
made such filing written notice of disapproval of
such filing, specifying therein in what respects
he finds such filing fails to meet the
requirements of sections 38a-663 to 38a-697,
inclusive, and stating that such filing shall not
become effective. Such finding of the commissioner
shall be subject to review as provided in section
38a-19.
(3) An insurer may file rates by reference,
with or without deviation, to rates charged by
another insurer which were filed and are in effect
if the insurer's direct written premium for the
applicable line of insurance is less than one-half
of one per cent of the total state-wide direct
written premium for that line, as determined from
the annual statements filed by insurers licensed
to do business in this state and as calculated by
the National Association of Insurance
Commissioners from its data base. Supporting
information shall not be required for rates filed
by reference pursuant to this subsection. For
purposes of this subdivision the term "insurer"
shall include two or more admitted insurers having
a common ownership or operating in this state
under common management or control.
(4) Rates filed pursuant to this section shall
be filed in such form and manner as is prescribed
by the commissioner. Whenever a filing made
pursuant to subdivision (1) or (2) of subsection
(a) of this section is not accompanied by the
information upon which the insurer supports such
filing and the commissioner does not have
sufficient information to determine whether such
filing meets the requirements of sections 38a-663
to 38a-697, inclusive, he shall require such
insurer to furnish the information upon which it
supports such filing and in such event the waiting
period shall commence as of the date such
information is furnished. The information
furnished in support of a filing may include (A)
the experience or judgment of the insurer making
the filing, (B) its interpretation of any
statistical data it relies upon, (C) the
experience of other insurers or (D) any other
relevant factors.
(5) All rates, supplementary rate information
and any supporting information for risks filed
under subsection (d) of section 7-479e, sections
38a-341, [38a-386,] 38a-387, 38a-665, subsection
(b) of section 38a-672, and sections 38a-673,
38a-675, 38a-676 and 38a-686 to 38a-694,
inclusive, shall, as soon as filed, be open to
public inspection at any reasonable time. Copies
may be obtained by any person on request and upon
payment of a reasonable charge.
(b) Rates for insurance described in
subsection (a) of this section shall be subject to
review as follows:
(1) Rates subject to prefiling under
subdivision (1) or (2) of subsection (a) of this
section may be reviewed and disapproved before
their effective date, except that rates for
insurance provided pursuant to section 38a-328,
38a-329 and 38a-670 shall not be effective until
approved by the commissioner. Any rate may be
reviewed and disapproved subsequent to its
effective date.
(2) The commissioner may disapprove a rate if
the insurer fails to comply with the filing
requirements of this section. The commissioner
shall disapprove a rate for use in a competitive
market if he finds that the rate is inadequate or
unfairly discriminatory under subsection (a) of
section 38a-686. The commissioner shall disapprove
a rate for use in a noncompetitive or residual
market if he finds the rate is excessive,
inadequate or unfairly discriminatory under
subsection (a) of section 38a-686.
(3) If the commissioner finds that a
reasonable degree of competition does not exist in
a market in accordance with section 38a-687, he
may require that the insurers in that market file
supporting information with respect to existing
rates. If the commissioner believes that such
rates may violate any of the requirements of
subsection (d) of section 7-479e, sections
38a-341, [38a-386,] 38a-387, 38a-665, subsection
(b) of section 38a-672, or sections 38a-673,
38a-675, 38a-676, or 38a-686 to 38a-694,
inclusive, he may proceed as provided in section
38a-678. If the commissioner believes that rates
in a competitive market violate the inadequacy or
unfair discrimination standards in section 38a-686
or any other applicable requirement of subsection
(d) of section 7-479e, section 38a-341, [38a-386,]
38a-387, 38a-665, subsection (b) of section
38a-672, or sections 38a-673, 38a-675, 38a-676, or
38a-686 to 38a-694, inclusive, he may require the
insurers in that market to file supporting
information with respect to existing rates. If
after reviewing the supporting information, the
commissioner continues to believe that such rates
may violate these requirements, he may proceed as
provided in section 38a-678. The commissioner may
disapprove, without hearing, rates prefiled
pursuant to subdivision (1) or (2) of subsection
(a) of this section that have not become
effective, provided that the insurer whose rates
have been disapproved shall be given a hearing
pursuant to section 38a-19.
(4) If the commissioner disapproves a rate, he
shall issue an order specifying the respects in
which it fails to meet the requirements of
subsection (d) of section 7-479e, section 38a-341,
[38a-386,] 38a-387, 38a-665, subsection (b) of
section 38a-672, and sections 38a-673, 38a-675,
38a-676, and 38a-686 to 38a-694, inclusive. For
rates in effect at the time of the disapproval,
the commissioner shall state, within a reasonable
period of time, when the further use of such rate
in contracts of insurance made thereafter shall be
prohibited. The order shall be issued within
thirty days after the hearing or within such
reasonable time extension as the commissioner may
determine. Such order may include a provision for
premium adjustment for the period after the
effective date of the order for policies in effect
on such date.
(5) Whenever an insurer has no legally
effective rates as a result of the commissioner's
disapproval of rates or other act, the
commissioner shall specify interim rates. Upon
appeal from any such order of the commissioner the
court may, upon request of the appealing insurer,
stay such order, provided that the insurer places
in an escrow account the difference, as received,
between the disapproved rates and the interim
rates specified by the commissioner. When new
rates become legally effective, the commissioner
shall order the escrowed funds to be distributed
appropriately, with interest at the legal rate as
provided in section 37-1, except that minimal
refunds to policyholders are not required to be
distributed.
Sec. 17. Subsection (b) of section 38a-696 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(b) On or before June 1, 1988, and annually
thereafter, each company or company group writing
commercial risk insurance in this state shall
submit to the insurance commissioner, in a form
required by the commissioner, a report showing its
commercial risk insurance writings and experience
for the preceding calendar year in this state and
country-wide as provided herein. Such report shall
be based on the coding of business to line and
class in accordance with currently filed and
approved accounting rules and statistical plans.
Such report shall consist of the information
required by subsection (c) of this section for the
following lines and classes of insurance written
by such company or company group: (1) Commercial
automobile insurance, [no-fault,] personal injury
protection; (2) other commercial automobile
insurance liability; (3) products liability
insurance; (4) medical malpractice insurance; (5)
other liability insurance as follows: (A)
Municipal liability, (B) liquor liability, and (C)
day care center liability; and (6) any other
commercial liability line described as such in the
annual statement designated by the commissioner
after notice and hearing.
Sec. 18. Subsection (d) of section 7-479e of
the general statutes is repealed and the following
is substituted in lieu thereof:
(d) Each such interlocal risk management pool
and interlocal risk management agency shall,
except as specifically designated herein, be
exempt from the provisions of the general statutes
relating to insurance. The sections of the general
statutes applicable to an interlocal risk
management pool and interlocal risk management
agency shall be: Sections 38a-11, 38a-14, 38a-17
to 38a-19, inclusive, 38a-49, 38a-51 to 38a-53,
inclusive, 38a-56, 38a-76, 38a-321, 38a-334 to
38a-336, inclusive, 38a-338, SECTION 2 OF THIS
ACT, SECTIONS 38a-340 to 38a-343, inclusive,
38a-350, 38a-363 to 38a-387, inclusive, 38a-663 to
38a-666, inclusive, 38a-669, 38a-671, 38a-675 to
38a-682, inclusive, 38a-790, 38a-792, 38a-806,
38a-815 to 38a-819, inclusive, and 38a-828.
Sec. 19. Section 38a-340 of the general
statutes is repealed and the following is
substituted in lieu thereof:
Any insurer authorized to issue an automobile
liability insurance policy may, pending the issue
of such a policy, make an agreement, for a period
which shall not exceed sixty days, to be known as
a binder, or may, in lieu of such a policy, issue
a renewal endorsement or evidence of renewal of an
existing policy. The provisions of sections
38a-334 to 38a-336, inclusive, SECTION 2 OF THIS
ACT, SECTION 38a-338, and 38a-340 to 38a-345,
inclusive, shall apply to such binders, renewal
endorsements or evidences of renewal.
Sec. 20. Section 38a-338 of the general
statutes is repealed and the following is
substituted in lieu thereof:
Policies affording bodily injury liability,
property damage liability and uninsured motorist
coverages to which the provisions of sections
38a-334 to 38a-336, inclusive, SECTION 2 OF THIS
ACT, SECTIONS 38a-338 and 38a-340 apply shall be
deemed to provide insurance under such coverages
in accordance with such regulations. Policies
affording medical payments coverage to which the
provisions of said sections apply shall be deemed
to provide insurance under such coverage in
accordance with such regulations.
Sec. 21. Section 38a-370 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) Under residual liability insurance the
insurer is liable to pay, on behalf of the owner
or other persons insured, sums which the owner or
insured is legally obligated to pay as damages
because of bodily injury and property damage
arising out of the ownership, maintenance or use
of a private passenger motor vehicle as a motor
vehicle if the injury or damage occurs within the
United States of America, its territories or
possessions or Canada.
(b) Residual liability insurance shall afford
coverage which satisfies the requirements of
sections 38a-334 to 38a-336, SECTION 2 OF THIS
ACT, SECTIONS 38a-338, and 38a-340 to 38a-343,
inclusive.
Sec. 22. Subsection (a) of section 38a-505 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) The commissioner shall issue regulations
to establish specific standards for policy
provisions used in individual health insurance
policies, but not including group conversion
policies, which shall be in addition to and in
accordance with sections 38a-80, 38a-321 to
38a-324, inclusive, 38a-326, 38a-329, 38a-334 to
38a-336, inclusive, SECTION 2 OF THIS ACT,
SECTIONS 38a-338 to 38a-358, inclusive, 38a-470 to
38a-472, inclusive, 38a-475, 38a-480 to 38a-503,
inclusive, 38a-507, 38a-514, 38a-519, 38a-523,
38a-531, 38a-577 to 38a-590, inclusive, and
38a-802 to 38a-810, inclusive, and other
applicable laws of this state which may cover the
terms of renewability, initial and subsequent
conditions of eligibility, nonduplication of
coverage provisions, coverage of dependents,
termination of insurance, probationary periods,
limitations, exceptions, reductions, elimination
periods, requirements for replacements, recurrent
conditions, preexisting conditions, and the
definition of the terms hospital, accident,
sickness, injury, physician, accidental means,
total disability, permanent disability, partial
disability, nervous disorders, guaranteed
renewable, and noncancellable.
Sec. 23. Subsection (g) of section 38a-505 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(g) Notwithstanding the provisions of sections
38a-80, 38a-321 to 38a-324, inclusive, 38a-326,
38a-329, 38a-334 to 38a-336, inclusive, SECTION 2
OF THIS ACT, SECTIONS 38a-338 to 38a-358,
inclusive, 38a-470 to 38a-472, inclusive, 38a-475,
38a-480 to 38a-503, inclusive, 38a-507, 38a-514,
38a-519, 38a-523, 38a-531, 38a-577 to 38a-590,
inclusive, and 38a-802 to 38a-810, inclusive, if a
carrier elects to use a simplified application
form, with or without any questions as to the
applicant's health at the time of application, but
without any questions concerning the insured's
health history or medical treatment history, the
policy shall cover loss developing after twelve
months from any preexisting condition not
specifically excluded from coverage by the terms
of the policy and, except as so provided, the
policy shall not include wording that would permit
a defense based upon preexisting conditions.
Sec. 24. Section 52-225c of the general
statutes is repealed and the following is
substituted in lieu thereof:
Unless otherwise provided by law, no insurer
or any other person providing collateral source
benefits as defined in section 52-225b shall be
entitled to recover the amount of any such
benefits from the defendant or any other person or
entity as a result of any CLAIM OR action for
damages for personal injury or wrongful death
REGARDLESS OF WHETHER SUCH CLAIM OR ACTION IS
RESOLVED BY SETTLEMENT OR JUDGMENT. The provisions
of this section shall apply to insurance contracts
issued, reissued or renewed on or after October 1,
1986.
Sec. 25. The insurance commissioner, within
available appropriations, shall study the rating
and premium impact of adjusting territorial rating
formula to reduce rates for consumers in high cost
territories. The commissioner shall study
territorial rating adjustments from the current
twenty-five per cent of the state-wide average up
to and including fifty per cent of the state-wide
average. The commissioner shall report his
findings and recommendations to the general
assembly not later than January 1, 1994.
Sec. 26. The insurance commissioner, within
available appropriations, shall study the
establishment of a consumer rate information
service and report to the general assembly not
later than January 1, 1994, on the cost and
programmatic steps necessary to implement such
service. Such service shall make it possible for
consumers to obtain current, individualized and
company-specific premium data for private
passenger automobile insurance by all insurance
companies offering such insurance in the state.
Sec. 27. (NEW) (a) The general assembly finds
and concludes that the system of bodily injury
liability, basic and added reparations benefits
and uninsured and underinsured motorist insurance,
as amended by the provisions of this act, will
generate premium savings for policyholders with
such coverages.
(b) Every insurer licensed to sell private
passenger automobile insurance in this state shall
refile, with the insurance commissioner, its base
rates for such coverages to reflect the
elimination of mandatory basic and added
reparations benefits pursuant to this act and any
additional premium savings attributable to this
act. Such rates shall be refiled, as soon as
practicable, for use with policies effective on or
after January 1, 1994.
(c) Upon receipt of the initial base rate
filing made under this section, the insurance
commissioner, before permitting such filing to
become effective, shall consult with an
independent actuary for the purpose of assuring
that such rates reflect both (1) the insurer's
rates on file on May 1, 1993, adjusted for cost
trends from the date of filing to January 1, 1994;
and (2) the elimination of mandatory basic and
added reparations benefits pursuant to this act
and any additional premium savings attributable to
this act. Such revised rates shall be applicable
to all new and renewal policies effective on or
after January 1, 1994.
(d) For the period from January 1, 1994, to
December 31, 1997, base rates for bodily injury
liability coverage and uninsured and underinsured
motorist coverage that are filed subsequent to the
initial filing of base rates pursuant to this
section shall be subject to prior rate approval in
the same manner as in a noncompetitive market
pursuant to subdivision (2) of subsection (a) of
section 38a-688 of the general statutes.
Sec. 28. Sections 38a-365 to 38a-369,
inclusive, 38a-373 to 38a-378, inclusive, 38a-380
to 38a-384, inclusive, and 38a-386 of the general
statutes are repealed.
Sec. 29. This act shall take effect from its
passage, except that sections 1 to 24, inclusive,
and section 28 shall take effect January 1, 1994,
and sections 1, 2 and 5 to 24, inclusive, shall be
applicable to acts or omissions occurring on or
after January 1, 1994.
Approved July 1, 1993