SENATE BILL REPORT

                            SB 5192

                    AS OF JANUARY 22, 1993

Brief Description:  Clarifying liability of overlapping homeowners' policies.

SPONSORS: Senators Moore and Prentice

SENATE COMMITTEE ON LABOR & COMMERCE

Staff:  Blaine Gibson  (786‑7457)

Hearing Dates: January 29, 1993

BACKGROUND:

Some consumers are experiencing a "run-around" when their furniture is damaged while it is being moved from one residence to another.  Some consumers have experienced difficulty receiving payments on claims for damage to goods in transit between one residence to another.

SUMMARY:

The insurer from which the furniture is being moved from is designated as the primary insurer, thereby eliminating fights between insurers regarding who must pay a claim.

The other insurer(s) is required to make up the difference, if any, between the amount of the loss and the amount paid by the primary insurer.

The insurers are required to cover the loss regardless of bailment.  Thus, in the case of goods damaged in transit, the insurer would first pay the insured, then collect from the carrier.

Appropriation:  none

Revenue:  none

Fiscal Note:  none requested