HOUSE BILL 548

51st legislature - STATE OF NEW MEXICO - first session, 2013

INTRODUCED BY

Christine Trujillo

AN ACT

RELATING TO MOTOR VEHICLE INSURANCE; REQUIRING MOTOR VEHICLE INSURERS TO OFFER MILE-BASED RATING PLANS; PROVIDING ADDITIONAL RULEMAKING AUTHORITY TO THE SUPERINTENDENT OF INSURANCE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. A new section of the New Mexico Insurance Code is enacted to read:

      "[NEW MATERIAL] MOTOR VEHICLE INSURANCE--MILE-BASED RATING PLANS.--

          A. As used in this section, "mile-based rating plan" means a rating plan in which a specific number of traveled miles is insured.

          B. An insurer that delivers, issues or renews a policy of motor vehicle insurance shall offer to each person who purchases motor vehicle insurance from that insurer a mile-based rating plan policy.

          C. A mile-based rating plan policy may be offered in a defined set of miles, which may be prepaid by the insured.           D. A mile-based rating plan policy shall expire when the number of miles specified in the policy have elapsed, even if notice of policy expiration is not provided to the motor vehicle division of the taxation and revenue department, the insured or any other entity.

          E. The superintendent may adopt rules as necessary to implement and effectively administer mile-based rating plans."

     SECTION 2. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2013.

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