This bill aims to protect individuals involved in automobile accidents from having their insurance rates increased if they are deemed not at fault. It prohibits automobile insurers from using underwriting rules to assign risks to a rating plan based on a named insured's involvement in an accident where they are not at fault. Additionally, the bill mandates that the Commissioner of Banking and Insurance establish standards for determining at-fault accidents and create a schedule of automobile insurance eligibility points.

Furthermore, the bill stipulates that insurers cannot increase premiums, impose surcharges, or adversely rerate a policy based on scheduled eligibility points unless the named insured is determined to be at fault, supported by a review of relevant information such as police reports and claim documentation. Insurers are also required to provide written disclosure of any adverse rerating, detailing the basis for the at-fault determination and the impact on the policy. This legislation is set to take effect seven months after its enactment and will apply to all automobile insurance policies issued or renewed thereafter.

Statutes affected:
Introduced: 17:29A-46.2, 17:33B-14