SENATE BILL REPORT

SB 5391

BYSenators Bender, Rasmussen and Moore

Directing bodily injury protection premium reductions where automobile safety devices are used.

Senate Committee on Financial Institutions & Insurance

Senate Hearing Date(s):February 21, 1989

Senate Staff:Bev Tweddle (786-7403)

AS OF FEBRUARY 20, 1989

BACKGROUND:

The child passenger restraint law enacted in 1983 requires a parent or legal guardian to have any child under five years of age riding in his or her motor vehicle to be properly secured.  The mandatory seat belt law enacted in 1986 requires anyone operating or riding in a motor vehicle equipped with seat belts to have them securely fastened except for physical or medical reasons.

The mandatory seat belt law required the Traffic Safety Commission to undertake an effectiveness study of the law and report its findings to the Legislature by January 1, 1989.  The study was prepared under contract to Washington State University and presented to the Legislative Transportation Committee in December of 1988.  The report contains analysis of the number of deaths and injuries that would have occurred without the law.  It concluded that 35 lives had been saved and more than 2,500 injuries prevented over a two-year period.  The report indicated that the prevention of deaths and injuries saved society between $16 million and $24 million.

It has been suggested that this purported reduction of serious injury and/or death by the mandatory use of seat belts may reduce the amount and frequency of claims paid by insurance companies for bodily injury.

SUMMARY:

Beginning July 1, 1989 Washington citizens are eligible to receive a reduction of 5 to 15 percent in the rate they pay for the bodily injury protection portion of their motor vehicle insurance if they sign an affidavit certifying use of their seat belts.

If a citation is issued which shows violation of the affidavit, the discount is forfeited and a fine of $100 is paid for deposit into the Washington State Patrol motor vehicle fund for traffic safety education.

A reduction of 20 percent (including the previous 15 percent) in the bodily injury protection portion of the motor vehicle insurance premium occurs when a vehicle is equipped with passive restraints other than air bags.

Appropriation:    none

Revenue:    none

Fiscal Note:      requested January 30, 1989

Effective Date:July 1, 1989