Washington State House of Representatives Office of Program Research | BILL ANALYSIS |
Business & Financial Services Committee |
HB 1804
This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent. |
Brief Description: Addressing financial responsibility insurance requirements with respect to motorcycles, motor-driven cycles, and mopeds.
Sponsors: Representatives Kirby and Ormsby.
Brief Summary of Bill |
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Hearing Date: 2/14/17
Staff: Robbi Kesler (786-7153).
Background:
Insurance Requirement
No person may operate a motor vehicle required to be registered in the state unless the person is insured under a motor vehicle liability policy, self-insured, covered by a certificate of deposit, or covered by a liability bond.
A motor vehicle liability policy or bond must be issued by an insurance or surety company authorized to do business in the state. The policy or bond must provide a minimum coverage level of $25,000 for bodily injury or death of a single person in any one accident, $50,000 for bodily injury or death of two or more people in any one accident, and $10,000 for injury to or destruction of property of others in any one accident.
In lieu of the liability insurance or bond a person may be self-insured or be covered by a certificate of deposit. To be self-insured a person must have more than 25 vehicles registered in that person's name and the Department of Licensing (DOL) must find that the person possesses the ability to pay a judgment obtained against him or her. To be covered by a certificate of deposit the DOL will issue a certificate of deposit to the person named once that person has deposited $60,000 in cash or securities that may legally be purchased by savings banks or for trust funds for a market value of $60,000.
Proof of insurance or the equivalent for motor vehicle operation must be provided at the request of a law enforcement officer. When asked to do so by a law enforcement officer, failure to display this proof for motor vehicle operation is a traffic infraction.
The insurance requirement does not apply to drivers of motorcycles, motor-driven cycles, or mopeds.
Helmet Requirement
All persons riding a motorcycle, motor-driven cycle, or moped in Washington state are required to wear a motorcycle helmet.
Summary of Bill:
Persons over the age of 18 operating a motorcycle, motor-driven cycle, or moped in Washington are not required to wear a helmet if the operator is covered under a motor vehicle liability policy, self-insured, or covered by a certificate of deposit or liability bond according to the terms required for each under current law.
Appropriation: None.
Fiscal Note: Not requested.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.