This bill introduces a new section to the existing law that prohibits insurers from penalizing insured drivers based on the driving record or license status of their spouse, household member, or relative by marriage, unless that individual is a named insured or listed driver on the policy. Specifically, it states that insurers cannot impose increased premiums or other coverage conditions solely due to a spouse's DWI conviction or license suspension. Additionally, the bill clarifies that any policy provisions that violate this prohibition will be considered void and unenforceable.

The bill also allows insurers to consider the driving record or license status of named insureds or listed drivers when making decisions about rating, underwriting, or policy issuance, as long as these decisions are not based solely on the relationship to someone with a DWI conviction or license suspension who is not covered by the policy. The effective date for this legislation is set for January 1, 2027.