Washington State House of Representatives Office of Program Research | BILL ANALYSIS |
Business & Financial Services Committee |
HB 2827
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: Requiring minimum liability insurance coverage for certain towing expenses.
Sponsors: Representative Kirby.
Brief Summary of Bill |
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Hearing Date: 1/24/18
Staff: Robbi Kesler (786-7153).
Background:
Financial Responsibility For Motorists.
Proof of financial responsibility means proof of the ability to respond to damages where a driver or owner is liable. Unless exempt, the driver or owner of a motor vehicle subject to registration who is involved in an accident within Washington that results in bodily injury, death, or property damage must provide a security deposit. The requirement to provide a security deposit does not apply to drivers or owners of a motor vehicle with a valid automobile liability insurance policy.
Motor vehicle insurance policies issued must provide the following minimum liability in any one accident:
not less than $25,000 for the bodily injury or death of one person;
not less than $50,000 for the bodily injury or death of two persons; and
not less than $10,000 for property damage.
Summary of Bill:
The minimum liability for automobile insurance policies is amended to include a $5,000 minimum for third party expenses, such as towing, recovery, and storage that are the result of any one accident.
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.