PRINTER'S NO. 2811
No. 2155 Session of 1988
INTRODUCED BY LLOYD, J. L. WRIGHT, KOSINSKI, JAROLIN, HALUSKA,
FEE, TIGUE, KUKOVICH, MILLER, BOOK, BELARDI, MORRIS, FARGO,
CAWLEY, RAYMOND, MAINE, JOHNSON, DISTLER, KENNEY, TRELLO,
TELEK, PETRONE, FOX, CAPPABIANCA, MICOZZIE AND MRKONIC,
FEBRUARY 8, 1988
REFERRED TO COMMITTEE ON INSURANCE, FEBRUARY 8, 1988
AN ACT
1 Amending Title 75 (Vehicles) of the Pennsylvania Consolidated
2 Statutes, regulating motor vehicle liability insurance,
3 required benefits and adequate limits; waiving damage
4 actions; defining "ineligible claimant" for catastrophic loss
5 benefits; and regulating funding and enforcement of the
6 Catastrophic Loss Trust Fund.
7 The General Assembly of the Commonwealth of Pennsylvania
8 hereby enacts as follows:
9 Section 1. Sections 1711 and 1715(b) of Title 75 of the
10 Pennsylvania Consolidated Statutes are amended to read:
11 § 1711. Required benefits.
12 (a) General rule.--An insurer issuing or delivering
13 liability insurance policies covering any motor vehicle of the
14 type required to be registered under this title, except
15 recreational vehicles not intended for highway use, motorcycles,
16 motor-driven cycles or motorized pedalcycles or like type
17 vehicles, registered and operated in this Commonwealth, shall
18 include coverage providing a medical benefit in the amount of
1 $10,000, an income loss benefit up to a monthly maximum of
2 $1,000 up to a maximum benefit of $5,000 and a funeral benefit
3 in the amount of $1,500, as defined in section 1712 (relating to
4 availability of benefits), with respect to injury arising out of
5 the maintenance or use of a motor vehicle. The income loss
6 benefit provided under this section may be expressly waived by
7 the named insured provided the named insured has no expectation
8 of actual income loss due to age, disability or lack of
9 employment history.
10 (b) Special rule.--Notwithstanding the provisions of
11 subsection (a), a person shall be given an option to waive
12 coverage for an income loss benefit and a funeral benefit and to
13 purchase coverage for a medical benefit in the amount of $5,000
14 instead of in the amount of $10,000.
15 § 1715. Availability of adequate limits.
16 * * *
17 (b) Higher or lower limits and additional benefits.--
18 Insurers may make available higher or lower limits or benefits
19 in addition to those enumerated in subsection (a) and shall make
20 available coverage for a medical benefit of $5,000 if the option
21 provided by section 1711(b) (relating to required benefits) is
22 exercised.
23 * * *
24 Section 2. Title 75 is amended by adding a section to read:
25 § 1725. Waiver of action for damages.
26 An insurer issuing or delivering liability insurance policies
27 covering any motor vehicle of the type required to be registered
28 under this title, except recreational vehicles not intended for
29 highway use, motorcycles, motor-driven cycles or motorized
30 pedalcycles or like-type vehicles, registered and operated in
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1 this Commonwealth, shall make available coverage in which the
2 insured waives any right to bring an action for damages against
3 a tortfeasor arising out of the maintenance or use of a motor
4 vehicle other than for medical benefits, income loss benefits,
5 accidental death benefits, funeral benefits and property damage.
6 An insured who purchases coverage in accordance with this
7 section shall be entitled to recover reasonable attorney fees in
8 an action for damages against a tortfeasor arising out of the
9 maintenance or use of a motor vehicle for medical benefits,
10 income loss benefits, accidental death benefits, funeral
11 benefits and property damage.
12 Section 3. The definition of "ineligible claimant" in
13 section 1761 of Title 75 is amended by adding a paragraph to
14 read:
15 § 1761. Definitions.
16 The following words and phrases when used in this subchapter
17 shall have the meanings given to them in this section unless the
18 context clearly indicates otherwise:
19 * * *
20 "Ineligible claimant." Any of the following:
21 * * *
22 (3) A person who is the owner, driver or occupant of a
23 motor vehicle for which the owner or owners have waived the
24 right to the catastrophic loss benefit.
25 * * *
26 Section 4. Sections 1762 and 1763 of Title 75 are amended to
27 read:
28 § 1762. Funding.
29 The Catastrophic Loss Trust Fund shall be funded by levying
30 an initial charge of $5 upon all motor vehicles required to be
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1 registered under Chapter 13 (relating to registration of
2 vehicles) except trailers, recreational vehicles not intended
3 for highway use, motorcycles, motor-driven cycles, motorized
4 pedalcycles or like type vehicles. This charge shall be remitted
5 to an insurance company [or other party as may be designated by
6 the Insurance Department]. Upon receipt of the charge, the
7 insurance company [or other designated party] shall remit it to
8 the Insurance Department for deposit in the trust fund. The
9 Catastrophic Loss Trust Fund Board shall, by regulation,
10 determine by January 1 of each calendar year the amount of the
11 fund charge for each registration year subsequent to the initial
12 registration year and shall notify the Insurance Department
13 which shall notify the insurance companies [or other designated
14 parties] to collect the charge.
15 § 1763. Enforcement.
16 The Department of Transportation shall refuse registration or
17 renewal or transfer of registration to the owner or owners of
18 any motor vehicle for which registration is required under this
19 subchapter until there is proof that the amount levied under
20 this subchapter was paid or that the owner or owners of such
21 motor vehicle waived the right to the catastrophic loss benefit.
22 Section 5. This act shall take effect in 60 days.
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