Bill > HB1690

This bill significantly strengthens Tennessee's motor vehicle financial responsibility laws, commonly known as the James Lee Atwood Jr. Law, by increasing penalties for non-compliance and limiting damages in certain lawsuits. Specifically, it raises the fee for a first failure to maintain required insurance from $25 to $500, and for a second or subsequent failure, the fee jumps to $1,500, with the added consequence of vehicle registration suspension or revocation. Furthermore, the bill introduces a provision that bars individuals who are not in compliance with these financial responsibility laws from recovering non-economic damages, which are damages not related to direct financial loss like pain and suffering, in lawsuits arising from vehicle accidents if they themselves were operating an uninsured vehicle. The bill also mandates that vehicle registration applications and renewals will not be processed without proof of insurance or alternative financial security, and requires insurers to report policy data more frequently to the state. Finally, it mandates public awareness campaigns about these requirements and sets specific dates for when these changes will take effect.