The bill amends Section 27-10.3-1 of the General Laws in Chapter 27-10.3 entitled "Motor Vehicle Insurance — Mandatory Arbitration Provision." It introduces a change to the arbitration provision within motor vehicle liability insurance contracts issued in the state. Specifically, the bill increases the minimum claim amount for mandatory arbitration from fifty thousand dollars ($50,000) to one hundred thousand dollars ($100,000). This means that any person suffering a loss due to motor vehicle use by an insured or self-insured party, and seeking damages for property damage, bodily injury, or death, may choose to submit the matter to arbitration if the claim is for $100,000 or less.

The bill also outlines the process for selecting an arbitrator, conducting hearings, and the binding nature of the arbitrators' decision. It specifies that the decision of the arbitrators shall be binding unless either party reserves the right to a jury trial or files a request for a jury trial within sixty days of the arbitrator's award. Additionally, the bill states that the decision of the arbitrators shall not be admissible if the case proceeds to trial subsequent to arbitration. The act would take effect upon passage, indicating that these changes would be implemented immediately once the bill is enacted.