Bill > SB1335

This bill strengthens Tennessee's Financial Responsibility Law by implementing stricter requirements for motor vehicle registration and insurance verification. Under the new provisions, vehicle owners must provide proof of insurance when registering or renewing vehicle registration, which can be done through documentation like an insurance policy declaration page, insurance binder, or insurance card, either in paper or electronic format (including digital displays on mobile devices). The bill introduces escalating financial penalties for repeated failures to maintain required insurance coverage: the first violation will result in a $50 fee (increased from $25), with 50% of the fee allocated to county clerks; a second violation within three years will incur a $250 fee; and a third violation within three years will result in a $500 fee. County clerks will receive a portion of these increased fees, with 20% earmarked specifically for administering the vehicle insurance verification program. The bill also requires a notice on vehicle registrations reminding owners of their obligation to meet the Financial Responsibility Law, and allows county clerks and the commissioner to use a vehicle insurance verification program to confirm insurance status. These changes aim to ensure more Tennessee drivers maintain appropriate vehicle insurance coverage, with escalating consequences for non-compliance. The new law will take effect on July 1, 2025.

Transportation and Infrastructure

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=SB1335&ga=114