HF 3240

as introduced - 86th Legislature (2009 - 2010) Posted on 03/01/2010 09:20am

A bill for an act
relating to motor carriers; providing sliding scale cargo insurance requirement for
household goods carriers based on gross vehicle weight; amending Minnesota
Statutes 2008, section 221.141, subdivisions 1b, 4.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2008, section 221.141, subdivision 1b, is amended to
read:

Subd. 1b.

Amount.

Except as provided in subdivision 1d new text begin or 4 new text end , the amount of
insurance, bond, or other security required for motor carriers is the amount prescribed
by order of the commissioner. The amount prescribed may from time to time be reduced
or increased by order of the commissioner. The commissioner may, if desired by the
petitioner, prescribe in lieu of the bond or insurance some other form of security as may
be satisfactory. Each policy of insurance, surety bond, or other evidence of financial
responsibility issued to a motor carrier or to an interstate carrier must be amended by
attachment to the policy of the Uniform Motor Carrier Bodily Injury and Property Damage
Liability Insurance Endorsement (Form F) prescribed in Code of Federal Regulations,
title 49, part 1023, or must by its terms provide coverage that conforms to the terms and
conditions of that endorsement.

Sec. 2.

Minnesota Statutes 2008, section 221.141, subdivision 4, is amended to read:

Subd. 4.

Household goods mover.

new text begin (a) new text end A household goods mover shall maintain
in effect cargo insurance or cargo bond deleted text begin in the amount of $50,000 deleted text end and shall file with
the commissioner a cargo certificate of insurance or cargo bond. A cargo certificate of
insurance must conform to Form H, Uniform Motor Cargo Certificate of Insurance,
described in Code of Federal Regulations, title 49, part 1023. A cargo bond must conform
to Form J, described in Code of Federal Regulations, title 49, part 1023. Both Form H and
Form J are incorporated by reference. The cargo certificate of insurance or cargo bond
must be issued in the full and correct name of the person, corporation, or partnership to
whom the household goods mover permit was issued and whose operations are being
insured.

new text begin (b) The amount of cargo insurance or cargo bond that must be maintained by a
household goods mover is determined by the maximum weight allowed for the vehicle or
combination of vehicles according to the table of axle weight limits under section 169.824,
subdivision 1, multiplied by 0.625; provided that, the minimum amount that must be
maintained is $5,000 and the maximum amount imposed must not exceed $50,000.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for cargo insurance and cargo bond
contracts entered into or renewed on or after July 1, 2010.
new text end