As Introduced 1
122nd General Assembly 4
Regular Session H. B. No. 261 5
1997-1998 6
REPRESENTATIVES HOTTINGER-BATCHELDER-BUCHY-GARCIA-HOUSEHOLDER- 8
TIBERI-VAN VYVEN-MASON-METELSKY-TAVARES-OLMAN 9
11
A B I L L
To amend section 3937.18 of the Revised Code to 13
modify Ohio's Uninsured and Underinsured 14
Motorists Law by limiting the insured's right to 15
recover when the owner or operator of the 16
uninsured motor vehicle has an immunity; by 17
requiring independent corroborative evidence to 18
recover for injuries caused by an unidentified 19
motorist; and by making other modifications to 20
the scope of and coverage under the Uninsured and 21
Underinsured Motorists Law. 22
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 24
Section 1. That section 3937.18 of the Revised Code be 26
amended to read as follows: 27
Sec. 3937.18. (A) No automobile liability or motor 36
vehicle liability policy of insurance insuring against loss 37
resulting from liability imposed by law for bodily injury or 38
death suffered by any person arising out of the ownership, 39
maintenance, or use of a motor vehicle shall be delivered or 40
issued for delivery in this state with respect to any motor 41
vehicle registered or principally garaged in this state unless 42
both of the following coverages are provided OFFERED to persons 43
insured under the policy for loss due to bodily injury or death 45
suffered by such persons INSUREDS: 46
(1) Uninsured motorist coverage, which shall be in an 48
amount of coverage equivalent to the automobile liability or 49
2
motor vehicle liability coverage and shall provide protection for 50
bodily injury, SICKNESS, or DISEASE, INCLUDING death under 52
provisions approved by the superintendent of insurance, for the 53
protection of persons insured INSUREDS thereunder who are legally 54
entitled to recover damages from owners or operators of uninsured 56
motor vehicles because of bodily injury, sickness, or disease, 57
including death, suffered by any person insured under the policy. 58
For purposes of division (A)(1) of this section, a person 60
AN INSURED is legally entitled to recover damages if he THE 62
INSURED is able to prove the elements of his THE INSURED'S claim 64
that are necessary to recover damages from the owner or operator 66
of the uninsured motor vehicle. The fact that the owner or 67
operator of the uninsured motor vehicle has an immunity, whether 68
based upon a statute or the common law, UNDER CHAPTER 2744. OF 69
THE REVISED CODE that could be raised as a defense in an action
brought against him THE OWNER OR OPERATOR by the person insured 72
under uninsured motorist coverage does not affect the insured 73
person's INSURED'S right to recover under his uninsured motorist 75
coverage. HOWEVER, ANY OTHER TYPE OF STATUTORY OR COMMON LAW 76
IMMUNITY THAT MAY BE A DEFENSE FOR THE OWNER OR OPERATOR OF AN 77
UNINSURED MOTOR VEHICLE SHALL ALSO BE A DEFENSE TO AN ACTION 79
BROUGHT BY THE INSURED TO RECOVER UNDER UNINSURED MOTORIST 80
COVERAGE. 81
(2) Underinsured motorist coverage, which shall be in an 83
amount of coverage equivalent to the automobile liability or 84
motor vehicle liability coverage and shall provide protection for 85
an insured INSUREDS THEREUNDER against loss for bodily injury, 86
sickness, or disease, including death, suffered by any person 88
insured under the policy, where the limits of coverage available 89
for payment to the insured under all bodily injury liability 90
bonds and insurance policies covering persons liable to the 91
insured are less than the limits for the insured's uninsured 92
motorist coverage. Underinsured motorist coverage is not and 93
shall not be excess insurance to other applicable liability 94
3
coverages, and shall be provided only to afford the insured an 95
amount of protection not greater than that which would be 96
available under the insured's uninsured motorist coverage if the 97
person or persons liable were uninsured at the time of the 98
accident. The policy limits of the underinsured motorist 99
coverage shall be reduced by those amounts available for payment 100
under all applicable bodily injury liability bonds and insurance 101
policies covering persons liable to the insured. 102
(B) Coverages offered under division (A) of this section 104
shall be written for the same limits of liability. No change 105
shall be made in the limits of one of these coverages without an 106
equivalent change in the limits of the other coverage. 107
(C) The A named insured OR APPLICANT may only reject or 109
accept both coverages offered under division (A) of this section. 111
The A named insured OR APPLICANT may require the issuance of such 112
coverages for bodily injury or death in accordance with a 114
schedule of optional lesser amounts approved by the 115
superintendent, that shall be no less than the limits set forth 116
in section 4509.20 of the Revised Code for bodily injury or 117
death. Unless the A named insured OR APPLICANT requests such 119
coverages in writing, such coverages need not be provided in or 120
supplemental to a POLICY renewal OR REPLACEMENT policy where the 121
A named insured OR APPLICANT has rejected the coverages in 122
connection with a policy previously issued to him THE NAMED 123
INSURED OR APPLICANT by the same insurer. If the A named insured 124
OR APPLICANT has selected uninsured motorist coverage in 125
connection with a policy previously issued to him THE NAMED 126
INSURED OR APPLICANT by the same insurer, such THE coverages 127
offered under division (A) of this section need not be provided 128
in excess of the limits of the liability previously issued for 129
uninsured motorist coverage, unless the A named insured OR 130
APPLICANT requests in writing higher limits of liability for such 132
coverages. THE REJECTION OF SUCH COVERAGES, OR THE ELECTION OF 133
LOWER LIMITS, BY ANY NAMED INSURED OR APPLICANT SHALL BE BINDING 135
4
ON ALL INSUREDS.
(D) For the purpose of this section, a motor vehicle is 137
SHALL BE DEEMED uninsured if the IN EITHER OF THE FOLLOWING 138
CIRCUMSTANCES: 139
(1) THE liability insurer denies coverage or is or becomes 142
the subject of insolvency proceedings in any jurisdiction; 143
(2) THE IDENTITY OF THE OWNER AND OPERATOR OF THE MOTOR 145
VEHICLE CANNOT BE DETERMINED, BUT INDEPENDENT CORROBORATIVE 146
EVIDENCE EXISTS TO PROVE THAT THE BODILY INJURY, SICKNESS, 147
DISEASE, OR DEATH OF THE INSURED WAS PROXIMATELY CAUSED BY THE 148
NEGLIGENCE OR INTENTIONAL ACTIONS OF THE UNIDENTIFIED OPERATOR OF 149
THE MOTOR VEHICLE. FOR PURPOSES OF THIS DIVISION, THE TESTIMONY 150
OF ANY INSURED SEEKING RECOVERY FROM THE INSURER SHALL NOT 151
CONSTITUTE INDEPENDENT CORROBORATIVE EVIDENCE, UNLESS THE 152
TESTIMONY IS SUPPORTED BY ADDITIONAL EVIDENCE. 153
(E) In the event of payment to any person under the 155
coverages required OFFERED by this section and subject to the 156
terms and conditions of such coverages, the insurer making such 158
payment to the extent thereof is entitled to the proceeds of any 159
settlement or judgment resulting from the exercise of any rights 160
of recovery of such person against any person or organization 161
legally responsible for the bodily injury or death for which such 162
payment is made, including any amount recoverable from an insurer 163
which is or becomes the subject of insolvency proceedings, 164
through such proceedings or in any other lawful manner. No 165
insurer shall attempt to recover any amount against the insured 166
of an insurer which is or becomes the subject of insolvency 167
proceedings, to the extent of his THOSE rights against such 168
insurer which such insured assigns to the paying insurer. 169
(F) The coverages required OFFERED by this section shall 171
not be made subject to an exclusion or reduction in amount 172
because of any workers' compensation benefits payable as a result 173
of the same injury or death. 174
(G) Any automobile liability or motor vehicle liability 176
5
policy of insurance that includes coverages offered under 177
division (A) of this section may, without regard to any premiums 178
involved, include terms and conditions that preclude any and all 179
stacking of such coverages, including but not limited to: 180
(1) Interfamily stacking, which is the aggregating of the 182
limits of such coverages by the same person or two or more 183
persons, whether family members or not, who are not members of 184
the same household; 185
(2) Intrafamily stacking, which is the aggregating of the 187
limits of such coverages purchased by the same person or two or 188
more family members of the same household. 189
(H) Any automobile liability or motor vehicle liability 191
policy of insurance that includes coverages offered under 192
division (A) of this section and that provides a limit of 193
coverage for payment for damages for bodily injury, including 194
death, sustained by any one person in any one automobile 195
accident, may, notwithstanding Chapter 2125. of the Revised Code, 196
include terms and conditions to the effect that all claims 197
resulting from or arising out of any one person's bodily injury, 198
including death, shall collectively be subject to the limit of 199
the policy applicable to bodily injury, including death, 200
sustained by one person, and, for the purpose of such policy 201
limit shall constitute a single claim. Any such policy limit 202
shall be enforceable regardless of the number of insureds, claims 203
made, vehicles or premiums shown in the declarations or policy, 204
or vehicles involved in the accident. 205
(I) Nothing in this section shall prohibit the inclusion 207
of underinsured motorist coverage in any uninsured motorist 208
coverage provided in compliance with this section. 209
(J) THE COVERAGES OFFERED UNDER DIVISION (A) OF THIS 211
SECTION MAY INCLUDE TERMS AND CONDITIONS THAT PRECLUDE COVERAGE 213
FOR BODILY INJURY OR DEATH SUFFERED BY AN INSURED UNDER EITHER OF 214
THE FOLLOWING CIRCUMSTANCES:
(1) WHILE THE INSURED IS OPERATING OR OCCUPYING A MOTOR 216
6
VEHICLE OWNED BY, FURNISHED TO, OR AVAILABLE FOR THE REGULAR USE 217
OF THE INSURED, A SPOUSE, OR A RESIDENT RELATIVE, IF THE MOTOR 218
VEHICLE IS NOT DESCRIBED IN THE POLICY UNDER WHICH A CLAIM IS 219
MADE, OR IS NOT A NEWLY ACQUIRED OR REPLACEMENT MOTOR VEHICLE 220
COVERED UNDER THE TERMS OF THE POLICY;
(2) WHILE THE INSURED IS OPERATING OR OCCUPYING A MOTOR 222
VEHICLE WITHOUT A REASONABLE BELIEF THAT THE INSURED IS ENTITLED 223
TO DO SO, PROVIDED THAT UNDER NO CIRCUMSTANCES WILL AN INSURED 224
WHOSE LICENSE HAS BEEN SUSPENDED, REVOKED, OR NEVER ISSUED, BE 225
HELD TO HAVE A REASONABLE BELIEF THAT THE INSURED IS ENTITLED TO 226
OPERATE A MOTOR VEHICLE.
(K) AS USED IN THIS SECTION, "UNINSURED MOTOR VEHICLE" AND 228
"UNDERINSURED MOTOR VEHICLE" DO NOT INCLUDE ANY OF THE FOLLOWING 230
MOTOR VEHICLES:
(1) A MOTOR VEHICLE INSURED WITHOUT ANY APPLICABLE 232
EXCLUSION UNDER THE LIABILITY COVERAGE OF THE SAME POLICY OF 234
WHICH THE UNINSURED AND UNDERINSURED MOTOR VEHICLE COVERAGE IS A
PART; 235
(2) A MOTOR VEHICLE OWNED BY, FURNISHED TO, OR AVAILABLE 237
FOR THE REGULAR USE OF THE INSURED, A SPOUSE, OR A RESIDENT 238
RELATIVE;
(3) A MOTOR VEHICLE DURING THE TIME IT IS OPERATED BY ANY 240
PERSON WHO IS SPECIFICALLY EXCLUDED FROM COVERAGE FOR BODILY 241
INJURY LIABILITY UNDER THE POLICY OF WHICH THE UNINSURED AND 242
UNDERINSURED MOTOR VEHICLE COVERAGE IS A PART; 243
(4) A MOTOR VEHICLE OWNED BY A POLITICAL SUBDIVISION, 245
UNLESS THE OPERATOR OF THE MOTOR VEHICLE HAS AN IMMUNITY UNDER 247
CHAPTER 2744. OF THE REVISED CODE THAT COULD BE RAISED AS A 248
DEFENSE IN AN ACTION BROUGHT AGAINST THE OPERATOR BY THE INSURED; 249
(5) A MOTOR VEHICLE SELF-INSURED WITHIN THE MEANING OF THE 251
FINANCIAL RESPONSIBILITY LAW OF THE STATE IN WHICH THE MOTOR 252
VEHICLE IS REGISTERED.
Section 2. That existing section 3937.18 of the Revised 254
Code is hereby repealed. 255