2012 -- S 2947

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

RELATING TO INSURANCE - CASUALTY INSURANCE RATING

     Introduced By: Senator John J. Tassoni

     Date Introduced: May 03, 2012

     Referred To: Senate Special Legislation and Veterans Affairs

It is enacted by the General Assembly as follows:

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     SECTION 1. Section 27-9-7.1 of the General Laws in Chapter 27-9 entitled "Casualty

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Insurance Rating" is hereby amended to read as follows:

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     27-9-7.1. Premium reduction for completing a motor vehicle accident prevention

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course. -- (a) Every schedule of rates, rating plan, or rating system for automobile liability and

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physical damage insurance filed with the commissioner shall provide for a reduction in premium

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charges for those persons fifty-five (55) years of age and older who successfully complete a

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motor vehicle accident prevention course approved by the division of motor vehicles. All insurers

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shall allow a reduction in the premium deemed appropriate by the commissioner to persons

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successfully completing that course.

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      (b) Motor vehicle accident prevention courses shall be taught by instructors who may be

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members of the American Association of Retired Persons, and are certified or approved by the

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division of motor vehicles. Courses may be approved which provide for a form of instruction

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including, but not limited to, online courses, classroom or driving instruction for a minimum

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number of hours as determined by the division of motor vehicles. Instructors may or may not

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receive compensation. No course shall be approved which provides for self-instruction or does

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not provide for classroom or driving instruction for a minimum number of hours determined by

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the division of motor vehicles. Instructors may or may not receive compensation.

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      (c) Each person who completes an approved course shall be issued a certificate by the

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course sponsor, provided that person has no chargeable accidents or convictions within a three (3)

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year period. Any certificate issued shall be valid for a period of two (2) years from its issuance,

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provided the holder has had no chargeable accidents or convictions within a three (3) year period.

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Any person who desires to renew or extend a certificate shall be required to successfully

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complete another course.

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      (d) Nothing provided in this section shall preclude an insurer from increasing the

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premium or charging an insured a surcharge for motor vehicle accidents and/or motor vehicle

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convictions during the two (2) year period for which a certificate was issued.

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      (e) This section shall not apply to any group automobile insurance policy under which

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premiums are broadly averaged for the group rather than determined individually.

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     SECTION 2. This act shall take effect upon passage.

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LC02551

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO INSURANCE - CASUALTY INSURANCE RATING

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     This act would amend the law relative to motor vehicle accident prevention courses and

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the form of instruction, to be approved by the division of motor vehicles, which shall include

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online courses, classroom or driving instruction to be performed for a period of hours determined

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by the division of motor vehicles.

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     This act would take effect upon passage.

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LC02551

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