PRINTER'S NO. 794

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 733 Session of 1979


        INTRODUCED BY ITKIN, DeVERTER, A. C. FOSTER, JR., KNEPPER,
           KOWALYSHYN, W. W. FOSTER, RITTER, REED, MUSTO, DOMBROWSKI,
           J. L. WRIGHT, JR., L. E. SMITH, NOYE, GIAMMARCO, STEIGHNER,
           CIMINI, COWELL, DAWIDA, FISHER, CESSAR, SWEET, FREIND, ZORD,
           HELFRICK, NOVAK, LETTERMAN, D. R. WRIGHT, KERNICK, GRABOWSKI,
           MOWERY, MRKONIC, SIEMINSKI, MICHLOVIC, COLE, GLADECK,
           CUNNINGHAM, SIRIANNI, BORSKI, SALVATORE, KUKOVICH, SEVENTY,
           ZELLER AND REED, MARCH 19, 1979

        REFERRED TO COMMITTEE ON INSURANCE, MARCH 19, 1979

                                     AN ACT

     1  Amending the act of July 19, 1974 (P.L.489, No.176), entitled
     2     "An act providing for a compensation system for persons
     3     injured in motor vehicle accidents; requiring insurance for
     4     all motor vehicles required to be registered in Pennsylvania;
     5     defining compensable damage in motor vehicle accident cases;
     6     establishing an assigned claims plan; providing for
     7     arbitration; imposing powers and duties on courts, the
     8     Department of Transportation and the Insurance Commissioner;
     9     prohibiting certain discrimination; and providing penalties,"
    10     further providing for converters and ineligible claimants.

    11     The General Assembly of the Commonwealth of Pennsylvania
    12  hereby enacts as follows:
    13     Section 1.  Subsection (a)(1) of section 108 and section 208,
    14  act of July 19, 1974 (P.L.489, No.176), known as the
    15  "Pennsylvania No-fault Motor Vehicle Insurance Act," are amended
    16  to read:
    17  § 108.  Assigned claims plan.
    18     (a)  General.--
    19         (1)  If this act is in effect on the date when the

     1     accident resulting in injury occurs, a victim or the survivor
     2     or survivors of a deceased victim may obtain basic benefits
     3     through the assigned claims plan established pursuant to
     4     subsection (b) of this section, if basic loss insurance:
     5             (A)  is not applicable to the injury for a reason
     6         other than those specified in the provisions on
     7         ineligible claimants;
     8             [(B)  is not applicable to the injury because the
     9         victim converted a motor vehicle while he was under
    10         fifteen years of age;]
    11             (C)  applicable to the injury cannot be identified;
    12             (D)  applicable to the injury is inadequate to
    13         provide the contracted-for benefits because of financial
    14         inability of an obligor to fulfill its obligations; or
    15             (E)  benefits are refused by an obligor for a reason
    16         other than that the individual is not entitled in
    17         accordance with this act to receive the basic loss
    18         benefits claimed.
    19         * * *
    20  § 208.  Ineligible claimants.
    21     (a)  Converter.--
    22         (1)  [Except as provided for assigned claims, a] A
    23     converter of a motor vehicle is ineligible to receive no-
    24     fault benefits, including benefits otherwise due him as a
    25     survivor, from any source other than a contract of insurance
    26     under which he is an insured, for any injury arising out of
    27     the maintenance or use of the converted vehicle. If a
    28     converter dies from such injuries, his survivor or survivors
    29     are not entitled to no-fault benefits for survivor's loss
    30     from any source other than a contract of insurance under
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     1     which the converter is an insured.
     2         (2)  For purposes of this subsection and subsection (c)
     3     of section 111 of this act, an individual is not a converter
     4     of a motor vehicle if he used it in the good faith belief
     5     that he was legally entitled to do so.
     6     (b)  Intentional injuries.--
     7         (1)  An individual who intentionally injures himself or
     8     another individual is ineligible to receive no-fault benefits
     9     for injury arising out of his acts, including benefits
    10     otherwise due him as a survivor. If an individual dies as a
    11     result of intentionally injuring himself, his survivor or
    12     survivors are not entitled to no-fault benefits for
    13     survivor's loss. An individual intentionally injures himself
    14     or another individual if he acts or fails to act for the
    15     purpose of causing such injury or with knowledge that such
    16     injury is substantially certain to follow. [An] For purposes
    17     of this subsection and section 111(c), an individual does not
    18     intentionally injure himself or another individual:
    19             (A)  merely because his act or failure to act is
    20         intentional or done with his realization that it creates
    21         a grave risk of causing injury; or
    22             (B)  if the act or omission causing the injury is for
    23         the purpose of averting bodily harm to himself or another
    24         individual.
    25         (2)  For purposes of section 111(c) and section 206 of
    26     this act, an individual does not intentionally injure himself
    27     or another individual merely because his act or failure to
    28     act is intentional or done with his realization that it
    29     creates a grave risk of harm.
    30     (c)  Ownership and occupancy of a motor vehicle without
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     1  security.--For purposes of this subsection, an individual who at
     2  the time of the accident was the owner of a motor vehicle which
     3  was registered or operated in this Commonwealth and was an
     4  occupant of such motor vehicle with respect to which security
     5  was not in effect and therefore was not in compliance with
     6  section 104 shall not be entitled to no-fault benefits. If such
     7  individual dies from such injuries, his survivor or survivors
     8  are not entitled to no-fault benefits for survivor's loss.
     9     (d)  Nonresident occupants.--For the purposes of this
    10  subsection, an individual who, at the time of the accident, was
    11  not a resident of this State, was an occupant of a motor vehicle
    12  not registered in this State and with respect to which security
    13  was not in effect and therefore was not in compliance with
    14  section 104 shall not be entitled to no-fault benefits. If such
    15  individual dies from such injuries, his survivor or survivors
    16  are not entitled to no-fault benefits for survivor's loss.
    17     Section 2.  This act shall take effect in 90 days.









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