SF 243

as introduced - 87th Legislature (2011 - 2012) Posted on 02/23/2012 08:34am

A bill for an act
relating to insurance; establishing the Fairness for Responsible Drivers Act;
limiting certain remedies of uninsured motorists; increasing the amount of
certain criminal fines; amending Minnesota Statutes 2010, sections 65B.51,
subdivision 3; 169.797, subdivision 4.

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

Section 1.

Minnesota Statutes 2010, section 65B.51, subdivision 3, is amended to read:

Subd. 3.

Limitation of damages for noneconomic detriment.

In an action
described in subdivision 1, no person shall recover damages for noneconomic detriment
unless:

(a) The sum of the following exceeds $4,000:

(1) reasonable medical expense benefits paid, payable new text begin , new text end or payable but for any
applicable deductible, plus

(2) the value of free medical or surgical care or ordinary and necessary nursing
services performed by a relative of the injured person or a member of the injured person's
household, plus

(3) the amount by which the value of reimbursable medical services or products
exceeds the amount of benefit paid, payable, or payable but for an applicable deductible
for those services or products if the injured person was charged less than the average
reasonable amount charged in this state for similar services or products, minus

(4) the amount of medical expense benefits paid, payable, or payable but for
an applicable deductible for diagnostic X-rays and for a procedure or treatment for
rehabilitation and not for remedial purposes or a course of rehabilitative occupational
training; or

(b) the injury results in:

(1) permanent disfigurement;

(2) permanent injury;

(3) death; or

(4) disability for 60 days or more.

(c) For the purposes of clause (a) evidence of the reasonable value of medical
services and products shall be admissible in any action brought in this state.

For the purposes of this subdivision disability means the inability to engage in
substantially all of the injured person's usual and customary daily activities.

new text begin (d) Except as provided in paragraph (f), in any action to recover damages arising out
of the operation or use of a motor vehicle, a person shall not recover noneconomic losses
to compensate for pain, suffering, inconvenience, physical impairment, disfigurement, and
other nonpecuniary damages if any of the following applies:
new text end

new text begin (1) the injured person was at the time of the accident operating the vehicle in
violation of sections 169A.20 to 169A.27 and was convicted of that offense;
new text end

new text begin (2) the injured person was the owner of a vehicle involved in the accident and the
vehicle was not insured as required by the financial responsibility laws of this state; or
new text end

new text begin (3) the injured person was the operator of a vehicle involved in the accident and the
operator cannot establish financial responsibility as required by the financial responsibility
laws of this state.
new text end

new text begin (e) Except as provided in paragraph (f), an insurer is not liable, directly or indirectly,
under a policy of liability or uninsured motorist insurance to indemnify for noneconomic
losses of a person injured as described in paragraph (d).
new text end

new text begin (f) In the event a person described in paragraph (d), clause (2), was injured by a
motorist who at the time of the accident was operating their vehicle in violation of sections
169A.20 to 169A.27 and was convicted of that offense, the injured person is not barred
from recovering noneconomic losses to compensate for pain, suffering, inconvenience,
physical impairment, disfigurement, and other nonpecuniary damages.
new text end

Sec. 2.

Minnesota Statutes 2010, section 169.797, subdivision 4, is amended to read:

Subd. 4.

Penalty.

(a) A person who violates this section is guilty of a misdemeanor.
A person is guilty of a gross misdemeanor who violates this section within ten years
of the first of two prior convictions under this section, section 169.791, or a statute or
ordinance in conformity with one of those sections. The operator of a vehicle who violates
subdivision 3 and who causes or contributes to causing a vehicle accident that results in
the death of any person or in substantial bodily harm to any person, as defined in section
609.02, subdivision 7a, is guilty of a gross misdemeanor. The same prosecuting authority
who is responsible for prosecuting misdemeanor violations of this section is responsible
for prosecuting gross misdemeanor violations of this section. In addition to any sentence
of imprisonment that the court may impose on a person convicted of violating this section,
the court shall impose a fine of not less than deleted text begin $200 deleted text end new text begin $600 new text end nor more than the maximum
amount authorized by law. The court may allow community service in lieu of any fine
imposed if the defendant is indigent.

(b) The court may impose consecutive sentences for offenses arising out of a single
course of conduct as permitted in section 609.035, subdivision 2.

(c) In addition to the criminal penalty, the driver's license of an operator convicted
under this section shall be revoked for not more than 12 months. If the operator is also an
owner of the vehicle, the registration of the vehicle shall also be revoked for not more
than 12 months. Before reinstatement of a driver's license or registration, the operator
shall file with the commissioner of public safety the written certificate of an insurance
carrier authorized to do business in this state stating that security has been provided by the
operator as required by section 65B.48.

(d) The commissioner shall include a notice of the penalties contained in this section
on all forms for registration of vehicles required to maintain a plan of reparation security.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2012.
new text end

Sec. 3. new text begin TITLE.
new text end

new text begin Sections 1 and 2 shall be known as the Fairness for Responsible Drivers Act.
new text end