S-914                 _______________________________________________

                                                   SENATE BILL NO. 5391

                        _______________________________________________

State of Washington                               51st Legislature                              1989 Regular Session

By Senators Bender, Rasmussen and Moore

Read first time 1/23/89 and referred to Committee on   Financial Institutions & Insurance.

AN ACT Relating to motor vehicle passenger safety device usage; adding a new chapter to Title 48 RCW; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.     The legislature finds that laws requiring the use of child restraints in motor vehicles and the use of motor vehicle seat belts will result in a significant reduction in the loss of lives and injuries from motor vehicle accidents.  The legislature further finds that other reductions are expected from those laws in the area of court costs, hospital and medical costs, and property damage.  It is therefore the intent of this chapter that the monetary savings achieved as a result of seat belt usage accrue to Washington's citizens themselves by providing for a system of motor vehicle insurance rate reductions to serve as an incentive for further seat belt usage.

NEW SECTION. Sec. 2.     (1) The insurance commissioner shall effect a reduction in the bodily injury protection portion of motor vehicle insurance premiums that reflects the savings attributable to the mandatory use of seat belts, child restraints, and other lifesaving devices.  The reduction shall be not less than five percent or more than fifteen percent of the average motor vehicle premium for the previous year.

          (2) A person shall be eligible for the reductions contained in subsection (1) of this section if the person signs an affidavit certifying that he or she will wear a seat belt in accordance with the mandatory seat belt requirements of RCW 46.61.688.

          (3) If the insured receives a rate reduction under this section and then is cited for failure to wear a seat belt under RCW 46.61.688, the insured shall remit to the insurer the amount of the discount plus interest at an appropriate rate.  In addition to remitting the amount of the discount plus interest to the insurer, a person who has signed an affidavit and is then cited for a traffic infraction under RCW 46.61.688 shall forward to the state patrol the sum of one hundred dollars for deposit in the state patrol highway account within the motor vehicle fund for the purpose of traffic safety education.

NEW SECTION. Sec. 3.     (1) The commissioner shall effect a twenty percent reduction in the bodily injury protection portion of motor vehicle insurance premiums for any motor vehicle licensed in Washington state when the vehicle is equipped with automatic air bag devices designed to protect the driver from injury.

          (2) The commissioner shall effect a twenty percent reduction in the bodily injury protection portion of motor vehicle insurance premiums for any vehicle licensed in Washington state when the vehicle is equipped with passive restraint devices other than air bags.

          (3) The rate reductions directed by this section include the reduction made under section 2 of this act.

NEW SECTION. Sec. 4.     The commissioner, in consultation with the Washington traffic safety commission, shall adopt, pursuant to chapter 34.05 RCW, definitions of "air bags" and "passive restraint devices" and any other terms the commissioner determines to be necessary.  The commissioner may adopt other rules pursuant to chapter 34.05 RCW for the implementation of this chapter.

NEW SECTION. Sec. 5.     (1) The motor vehicle insurance rate reductions required by this chapter apply to insurance policies issued or renewed after July 1, 1989.

          (2) All policies issued that include a rate reduction pursuant to this chapter shall identify the amount of reduction and the reasons for the reduction.

          (3) Any insured who has been cited for violation of the mandatory seat belt or child restraint law does not qualify for a rate reduction for the next policy period.

NEW SECTION. Sec. 6.     The commissioner shall annually report to the senate and house committees on transportation and the senate and house committees on financial institutions and insurance regarding this chapter.

NEW SECTION. Sec. 7.     Sections 1 through 6 of this act shall constitute a new chapter in Title 48 RCW.

NEW SECTION. Sec. 8.     This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect on July 1, 1989.