S-4281               _______________________________________________

                                                   SENATE BILL NO. 6883

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Senators McMullen, Bender, Vognild, Moore and Smitherman

Read first time 2/2/90 and referred to Committee on  Financial Institutions & Insurance.

AN ACT Relating to motor vehicle liability insurance; reenacting and amending RCW 7.06.020; and adding new sections to Title 48 RCW.

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

NEW SECTION. Sec. 1.  A new section is added to Title 48 RCW to read as follows:

          Every insurer writing coverage with respect to a motor vehicle shall have available, for applicants who meet the insurer's underwriting guidelines, a policy that includes the following coverages:

          (1) Minimum liability insurance limits as defined in  RCW 46.29.090;

          (2) Underinsured motorist insurance coverage, with the same provision for rejection of coverage, under RCW 48.22.030 in the same amounts as the liability limits; and

          (3) A provision for mandatory arbitration for all disputed claims under the policy as provided under chapter 7.06 RCW.

NEW SECTION. Sec. 2.  A new section is added to Title 48 RCW to read as follows:

          No insurer writing liability insurance coverage with respect to private passenger automobiles shall refuse to issue a policy or increase the premium to be charged solely because the applicant for insurance coverage:

          (1) Has never purchased such a policy of insurance or has not purchased or been covered by such a policy of insurance during any specified period immediately preceding the date of application; or

          (2) Was previously insured by an insurer specializing in insuring high risk drivers or by the assigned risk plan.

        Sec. 3.  Section 2, chapter 103, Laws of 1979 as last amended by section 127, chapter 202, Laws of 1987 and by section 101, chapter 212, Laws of 1987 and RCW 7.06.020 are each reenacted and amended to read as follows:

          (1) All civil actions, except for appeals from municipal or district courts, which are at issue in the superior court in counties which have authorized arbitration, where the sole relief sought is a money judgment, and where no party asserts a claim in excess of fifteen thousand dollars, or if approved by the superior court of a county by two-thirds or greater vote of the judges thereof, up to thirty-five thousand dollars, exclusive of interest and costs, are subject to mandatory arbitration.

          (2) If approved by majority vote of the superior court judges of a county which has authorized arbitration, all civil actions which are at issue in the superior court in which the sole relief sought is the establishment, termination or modification of maintenance or child support payments are subject to mandatory arbitration.  The arbitrability of any such action shall not be affected by the amount or number of payments involved.

(3) Any county electing to subject civil actions to mandatory arbitration under subsection (1) of this section shall subject all actions regarding minimum motor vehicle liability policy claims under section 1 of this act to mandatory arbitrations.

NEW SECTION. Sec. 4.     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 immediately.