Bill
Bill > HF6
IA HF6
IA HF6A bill for an act relating to the minimum amounts required for motor vehicle financial responsibility, and making penalties applicable.
summary
Introduced
01/14/2025
01/14/2025
In Committee
01/14/2025
01/14/2025
Crossed Over
Passed
Dead
Introduced Session
91st General Assembly
Bill Summary
This bill increases the minimum amounts of coverage required for motor vehicle financial responsibility for bodily injury or death of one person ($20,000 to $50,000), bodily injury or death of two or more persons ($40,000 to $100,000), and property damage ($15,000 to $25,000). Such amounts match the requirements under current law for transportation network company drivers (Code section 321N.4) while operating but not engaged in a prearranged ride. The bill makes corresponding changes to provisions regarding associated policies, bonds, and judgments. A person who violates a provision of Code chapter 321A which does not otherwise provide a penalty commits a serious misdemeanor, punishable by confinement for no more than one year and a fine of at least $430 but not more than $2,560. In addition, Code section 321.20B prohibits a person from driving a motor vehicle unless financial liability coverage is in effect for the vehicle and the person carries proof of such coverage. By operation of law, the associated coverage amounts are increased by the bill. A person who violates Code section 321.20B commits a simple misdemeanor punishable by a $325 scheduled fine. If a violation is discovered in connection with a motor vehicle accident, the fine increases to $645. The person is also subject to possible removal of the vehicle’s registration plates and registration receipt, and impoundment of the vehicle.
AI Summary
This bill increases the minimum amounts of motor vehicle financial responsibility coverage in Iowa, effectively raising the required insurance limits for bodily injury, death, and property damage. Specifically, the bill raises the coverage for bodily injury or death of one person from $20,000 to $50,000, bodily injury or death of two or more persons from $40,000 to $100,000, and property damage from $15,000 to $25,000. These new amounts align with existing requirements for transportation network company drivers. The changes apply to various sections of the Iowa Code related to motor vehicle insurance, including provisions about policies, bonds, and judgments. The bill maintains existing penalties for driving without financial liability coverage, which include a simple misdemeanor with a $325 fine (increasing to $645 if discovered in connection with an accident), potential vehicle registration plate removal, and possible vehicle impoundment. By updating these coverage amounts, the bill aims to ensure that motor vehicle insurance provides more comprehensive financial protection in the event of accidents, reflecting potential increases in medical costs and property damage expenses.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
House Commerce Committee (10:30:00 2/6/2025 RM 103) (on 02/06/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=HF6 |
| BillText | https://www.legis.iowa.gov/docs/publications/LGI/91/attachments/HF6.html |
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