Bill Summary – FastDemocracy

APPROVED                  CHAPTER
                                                                   JUNE 17, 2021                 254
                                                                 BY GOVERNOR               PUBLIC LAW
                                  STATE OF MAINE
                                             _____
                           IN THE YEAR OF OUR LORD
                        TWO THOUSAND TWENTY-ONE
                                             _____
                                   S.P. 151 - L.D. 368
  An Act To Amend the Laws Governing Proof of Financial Responsibility
                    with Respect to Motor Vehicles
Be it enacted by the People of the State of Maine as follows:
    Sec. 1. 29-A MRSA §1605, sub-§3, ¶C, as enacted by PL 1993, c. 683, Pt. A, §2
and affected by Pt. B, §5, is amended to read:
    C. For a corporation that is a transmission and distribution utility as defined in Title
    35-A, section 102, subsection 20-B, by satisfying the Secretary of State that the
    corporation has financial ability to comply with the requirements of this subchapter.
    Sec. 2. 29-A MRSA §1605, sub-§4, as enacted by PL 1993, c. 683, Pt. A, §2 and
affected by Pt. B, §5, is amended to read:
    4. Money or securities deposited as proof. A person may give proof of financial
responsibility by delivering to the Secretary of State a receipt of the Treasurer of State
showing a deposit of money or securities approved by the Treasurer of State with a value
or amount equal to that required in a policy.
Securities must be of a type that may legally be purchased by savings banks or for trust
funds.
Money or securities deposited are subject to execution to satisfy a judgment, but are not
otherwise subject to attachment or execution. The deposited money or securities may also
be released upon the direction of the Secretary of State when the holding period to satisfy
the statute of limitations has been satisfied.
The depositor shall also provide evidence that there are no unsatisfied judgments against
the depositor registered in the office of the clerk of any Superior Court in this State.
Upon receipt and approval by the Secretary of State of the Treasurer of State's receipt and
the evidence that there are no unsatisfied judgments against the depositor, the Secretary of
State shall issue to the depositor a certificate of compliance with the laws governing
financial responsibility effective for a specific period of time not to exceed one year. This
certificate may be produced to establish proof of financial responsibility at the request of a
law enforcement officer or to satisfy registration requirements under section 402.
                                    Page 1 - 130LR0472(03)
The depositor shall submit to the Secretary of State a new statement from the Treasurer of
State and new evidence that there are no unsatisfied judgments against the depositor
registered in the office of the clerk of any Superior Court in this State one month prior to
the expiration of the period covered by the most recently issued certificate of compliance.
Upon inspection and approval of the new receipt and evidence, the Secretary of State shall
issue a new certificate of compliance for a new period of time not to exceed one year.
The depositor shall, as necessary, make additional deposits to maintain the deposit in a
value or amount equal to that required in a policy. If the value of the money or securities
deposited at any time falls below the value or amount equal to that required in a policy and
remains below that value or amount for a period of 30 days, the Secretary of State shall
revoke the certificate of compliance.
Actions taken by the Treasurer of State or the Secretary of State pursuant to this subsection
do not constitute doing the business of insurance.
    Sec. 3. 29-A MRSA §1605, sub-§5, as enacted by PL 1993, c. 683, Pt. A, §2 and
affected by Pt. B, §5, is amended to read:
     5. May substitute other proof. The Secretary of State shall return or cancel proof on
acceptance of other adequate proof of financial responsibility, except that when proof of
financial responsibility is established by the deposit of money or securities, the Treasurer
of State shall hold the money or securities for a period of not less than 6 years following
the cancellation of the deposit as proof of financial responsibility or for such other period
of time required to satisfy the statute of limitations in effect at the time of cancellation for
filing damage claims for causes of action arising from a motor vehicle accident.
    Sec. 4. 29-A MRSA §1605, sub-§9 is enacted to read:
    9. Rules. The Treasurer of State may adopt routine technical rules pursuant to Title
5, chapter 375, subchapter 2-A to implement the provisions of this section.
                                     Page 2 - 130LR0472(03)
Statutes affected: 
Bill Text LD 368, SP 151: 29-A.402, 29-A.1551, 29-A.1602, 29-A.1605
Bill Text ACTPUB , Chapter 254: 29-A.1605