As Reported by the House Insurance Committee

125th General Assembly
Regular Session
2003-2004
Sub. H. B. No. 139


REPRESENTATIVES G. Smith, Gibbs, Barrett, Setzer, Sferra, Driehaus, Koziura, Faber



A BILL
To amend sections 4509.01, 4509.101, 4509.20, 1
4509.41, 4509.45, 4509.51, 4509.53, 4509.59, 2
4509.65, 4509.67, and 4509.80, to enact section 3
2323.57, and to repeal sections 4509.62 and 4
4509.63 of the Revised Code to specify that, under 5
the Financial Responsibility Law, motor-vehicle 6
liability policies remain subject to their terms 7
and conditions, to amend minimum coverage 8
requirements for the Financial Responsibility Law, 9
and to limit damage awards to uninsured motorists 10
and to amend the versions of sections 4509.101, 11
4509.45, and 4509.80 of the Revised Code that are 12
scheduled to take effect January 1, 2004, to 13
continue the provisions of this act on and after 14
that effective date.15


BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

       Section 1. That sections 4509.01, 4509.101, 4509.20, 4509.41, 16
4509.45, 4509.51, 4509.53, 4509.59, 4509.65, 4509.67, and 4509.80 17
be amended and section 2323.57 of the Revised Code be enacted to 18
read as follows:19

       Sec. 2323.57.  (A) As used in this section:20

       (1) "Proof of financial responsibility" has the same meaning 21
as in section 4509.01 of the Revised Code.22

       (2) "Noneconomic loss" means any nonpecuniary harm that 23
results from an injury.24

       (B) In any civil action to recover damages for accidental 25
bodily injury incurred during the operation of a motor vehicle, 26
both of the following are applicable to the award of damages:27

       (1) There shall not be any limitation on the award of 28
compensatory damages for economic losses sustained by the 29
plaintiff;30

       (2) The plaintiff shall not be awarded damages for 31
noneconomic losses if, at the time of the injury, the plaintiff 32
was operating a motor vehicle owned by the plaintiff without proof 33
of financial responsibility.34

       Sec. 4509.01.  As used in sections 4509.01 to 4509.78 of the35
Revised Code:36

       (A) "Person" includes every natural person, firm,37
partnership, association, or corporation.38

       (B) "Driver" means every person who drives or is in actual39
physical control of a motor vehicle.40

       (C) "License" includes any license, permit, or privilege to41
operate a motor vehicle issued under the laws of this state42
including:43

       (1) Any temporary instruction permit or examiner's driving44
permit;45

       (2) The privilege of any person to drive a motor vehicle46
whether or not such person holds a valid license;47

       (3) Any nonresident's operating privilege.48

       (D) "Owner" means a person who holds the legal title of a49
motor vehicle. If a motor vehicle is the subject of a lease with50
an immediate right of possession vested in the lessee, the lessee51
is the owner. A person listed as the owner on a certificate of52
title on which there is a notation of a security interest is the53
owner. A buyer or other transferee of a motor vehicle who receives 54
the certificate of title from the seller or transferor listing the 55
seller or transferor thereon as the owner with an assignment of 56
title to the buyer or transferee nonetheless is the owner even 57
though a subsequent certificate of title has not been issued 58
listing the buyer or transferee as the owner.59

       (E) "Registration" means registration certificates and60
registration plates issued under the laws of this state pertaining61
to the registration of motor vehicles.62

       (F) "Nonresident" means every person who is not a resident of 63
this state.64

       (G) "Nonresident's operating privilege" means the privilege65
conferred upon a nonresident by the laws of this state pertaining66
to the operation by such person of a motor vehicle, or the use of67
a motor vehicle owned by such person, in this state.68

       (H) "Vehicle" means every device by which any person or69
property may be transported upon a highway, except electric70
personal assistive mobility devices, devices moved by power71
collected from overhead electric trolley wires, or used72
exclusively upon stationary rails or tracks, and except devices73
other than bicycles moved by human power.74

       (I) "Motor vehicle" means every vehicle propelled by power75
other than muscular power or power collected from overhead76
electric trolley wires, except motorized bicycles, road rollers,77
traction engines, power shovels, power cranes and other equipment78
used in construction work and not designed for or employed in79
general highway transportation, hole-digging machinery,80
well-drilling machinery, ditch-digging machinery, farm machinery,81
threshing machinery, hay baling machinery, and agricultural82
tractors and machinery used in the production of horticultural,83
floricultural, agricultural, and vegetable products.84

       (J) "Accident" or "motor vehicle accident" means any accident 85
involving a motor vehicle which results in bodily injury to or 86
death of any person, or damage to the property of any person in 87
excess of four hundred dollars.88

       (K) "Proof of financial responsibility" means proof of89
ability to respond in damages for liability, on account of90
accidents occurring subsequent to the effective date of such91
proof, arising out of the ownership, maintenance, or use of a92
motor vehicle in the amount of twelvetwenty-five thousand five 93
hundred dollars because of bodily injury to or death of one person 94
in any one accident, in the amount of twenty-fivefifty thousand 95
dollars because of bodily injury to or death of two or more 96
persons in any one accident, and in the amount of seven97
twenty-five thousand five hundred dollars because of injury to 98
property of others in any one accident.99

       (L) "Motor-vehicle liability policy" means an "owner's100
policy" or an "operator's policy" of liability insurance,101
certified as provided in section 4509.46 or 4509.47 of the Revised102
Code as proof of financial responsibility, and issued, except as103
provided in section 4509.47 of the Revised Code, by an insurance104
carrier authorized to do business in this state, to or for the105
benefit of the person named therein as insured.106

       Sec. 4509.101.  (A)(1) No person shall operate, or permit the 107
operation of, a motor vehicle in this state, unless proof of108
financial responsibility is maintained continuously throughout the109
registration period with respect to that vehicle, or, in the case110
of a driver who is not the owner, with respect to that driver's111
operation of that vehicle.112

       (2) Whoever violates division (A)(1) of this section shall be 113
subject to the following civil penalties:114

       (a) Suspension of the person's operating privileges and115
impoundment of the person's license until the person complies with116
division (A)(5) of this section. The suspension shall be for a117
period of not less than ninety days except that if, within five118
years of the violation, the person's operating privileges are119
again suspended and the person's license is impounded one or more120
times for a violation of division (A)(1) of this section, the121
suspension shall be for a period of not less than one year. Except122
as provided by section 4509.105 of the Revised Code, the123
suspension is not subject to revocation, suspension, or124
occupational or other limited operating privileges.125

       (b) In addition to the suspension of an owner's license under 126
division (A)(2)(a) of this section, the suspension of the rights 127
of the owner to register the motor vehicle and the impoundment of 128
the owner's certificate of registration and license plates until 129
the owner complies with division (A)(5) of this section.130

       (3) A person to whom this state has issued a certificate of131
registration for a motor vehicle or a license to operate a motor132
vehicle or who is determined to have operated any motor vehicle or133
permitted the operation in this state of a motor vehicle owned by134
the person shall be required to verify the existence of proof of135
financial responsibility covering the operation of the motor136
vehicle or the person's operation of the motor vehicle under any137
of the following circumstances:138

       (a) The person or a motor vehicle owned by the person is139
involved in a traffic accident that requires the filing of an140
accident report under section 4509.06 of the Revised Code.141

       (b) The person receives a traffic ticket indicating that142
proof of the maintenance of financial responsibility was not143
produced upon the request of a peace officer or state highway144
patrol trooper made in accordance with division (D)(2) of this145
section.146

       (c) Whenever, in accordance with rules adopted by the147
registrar, the person is randomly selected by the registrar and148
requested to provide such verification.149

       (4) An order of the registrar that suspends and impounds a150
license or registration, or both, shall state the date on or151
before which the person is required to surrender the person's152
license or certificate of registration and license plates. The153
person is deemed to have surrendered the license or certificate of154
registration and license plates, in compliance with the order, if155
the person does either of the following:156

       (a) On or before the date specified in the order, personally157
delivers the license or certificate of registration and license158
plates, or causes the delivery of the items, to the registrar;159

       (b) Mails the license or certificate of registration and160
license plates to the registrar in an envelope or container161
bearing a postmark showing a date no later than the date specified162
in the order.163

       (5) Except as provided in division (A)(6) of this section,164
the registrar shall not restore any operating privileges or165
registration rights suspended under this section, return any166
license, certificate of registration, or license plates impounded167
under this section, or reissue license plates under section168
4503.232 of the Revised Code, if the registrar destroyed the169
impounded license plates under that section, or reissue a license170
under section 4507.54 of the Revised Code, if the registrar171
destroyed the suspended license under that section, unless the172
rights are not subject to suspension or revocation under any other173
law and unless the person, in addition to complying with all other174
conditions required by law for reinstatement of the operating175
privileges or registration rights, complies with all of the176
following:177

       (a) Pays a financial responsibility reinstatement fee of178
seventy-five dollars for the first violation of division (A)(1) of179
this section, two hundred fifty dollars for a second violation of180
that division, and five hundred dollars for a third or subsequent181
violation of that division;182

       (b) If the person has not voluntarily surrendered the183
license, certificate, or license plates in compliance with the184
order, pays a financial responsibility nonvoluntary compliance fee185
in an amount, not to exceed fifty dollars, determined by the186
registrar;187

       (c) Files and continuously maintains proof of financial188
responsibility under sections 4509.44 to 4509.65 of the Revised189
Code.190

       (6) If the registrar issues an order under division (A)(2) of 191
this section resulting from the failure of a person to respond to 192
a financial responsibility random verification request under193
division (A)(3)(c) of this section and the person successfully194
maintains an affirmative defense to a violation of section 4507.02195
of the Revised Code or is determined by the registrar or a deputy196
registrar to have been in compliance with division (A)(1) of this197
section at the time of the initial financial responsibility random198
verification request, the registrar shall do both of the199
following:200

       (a) Terminate the order of suspension or impoundment;201

       (b) Restore the operating privileges and registration rights202
of the person without payment of the fees established in divisions203
(A)(5)(a) and (b) of this section and without a requirement to204
file proof of financial responsibility.205

       (B)(1) Every party required to file an accident report under206
section 4509.06 of the Revised Code also shall include with the207
report a document described in division (G)(1) of this section.208

       If the registrar determines, within forty-five days after the209
report is filed, that an operator or owner has violated division210
(A)(1) of this section, the registrar shall do all of the211
following:212

       (a) Order the impoundment, with respect to the motor vehicle213
involved, required under division (A)(2)(b) of this section, of214
the certificate of registration and license plates of any owner215
who has violated division (A)(1) of this section;216

       (b) Order the suspension required under division (A)(2)(a) of 217
this section of the license of any operator or owner who has218
violated division (A)(1) of this section;219

       (c) Record the name and address of the person whose220
certificate of registration and license plates have been impounded221
or are under an order of impoundment, or whose license has been222
suspended or is under an order of suspension; the serial number of223
the person's license; the serial numbers of the person's224
certificate of registration and license plates; and the person's225
social security account number, if assigned, or, where the motor226
vehicle is used for hire or principally in connection with any227
established business, the person's federal taxpayer identification228
number. The information shall be recorded in such a manner that it 229
becomes a part of the person's permanent record, and assists the 230
registrar in monitoring compliance with the orders of suspension 231
or impoundment.232

       (d) Send written notification to every person to whom the233
order pertains, at the person's last known address as shown on the234
records of the bureau. The person, within ten days after the date235
of the mailing of the notification, shall surrender to the236
registrar, in a manner set forth in division (A)(4) of this237
section, any certificate of registration and registration plates238
under an order of impoundment, or any license under an order of239
suspension.240

       (2) The registrar shall issue any order under division (B)(1) 241
of this section without a hearing. Any person adversely affected 242
by the order, within ten days after the issuance of the order, may 243
request an administrative hearing before the registrar, who shall 244
provide the person with an opportunity for a hearing in accordance 245
with this paragraph. A request for a hearing does not operate as a 246
suspension of the order. The scope of the hearing shall be limited 247
to whether the person in fact demonstrated to the registrar proof 248
of financial responsibility in accordance with this section. The 249
registrar shall determine the date, time, and place of any 250
hearing, provided that the hearing shall be held, and an order 251
issued or findings made, within thirty days after the registrar 252
receives a request for a hearing. If requested by the person in 253
writing, the registrar may designate as the place of hearing the 254
county seat of the county in which the person resides or a place 255
within fifty miles of the person's residence. The person shall pay 256
the cost of the hearing before the registrar, if the registrar's 257
order of suspension or impoundment is upheld.258

       (C) Any order of suspension or impoundment issued under this259
section or division (B) of section 4509.37 of the Revised Code may260
be terminated at any time if the registrar determines upon a261
showing of proof of financial responsibility that the operator or262
owner of the motor vehicle was in compliance with division (A)(1)263
of this section at the time of the traffic offense, motor vehicle264
inspection, or accident that resulted in the order against the265
person. A determination may be made without a hearing. This266
division does not apply unless the person shows good cause for the267
person's failure to present satisfactory proof of financial268
responsibility to the registrar prior to the issuance of the269
order.270

       (D)(1) For the purpose of enforcing this section, every peace 271
officer is deemed an agent of the registrar.272

       (a) Except as provided in division (D)(1)(b) of this section, 273
any peace officer who, in the performance of the peace officer's 274
duties as authorized by law, becomes aware of a person whose 275
license is under an order of suspension, or whose certificate of 276
registration and license plates are under an order of impoundment, 277
pursuant to this section, may confiscate the license, certificate 278
of registration, and license plates, and return them to the279
registrar.280

       (b) Any peace officer who, in the performance of the peace281
officer's duties as authorized by law, becomes aware of a person282
whose license is under an order of suspension, or whose283
certificate of registration and license plates are under an order284
of impoundment resulting from failure to respond to a financial285
responsibility random verification, shall not, for that reason,286
arrest the owner or operator or seize the vehicle or license287
plates. Instead, the peace officer shall issue a citation for a288
violation of division (B)(1) of section 4507.02 of the Revised289
Code specifying the circumstances as failure to respond to a290
financial responsibility random verification.291

       (2) A peace officer shall request the owner or operator of a292
motor vehicle to produce proof of financial responsibility in a293
manner described in division (G) of this section at the time the294
peace officer acts to enforce the traffic laws of this state and295
during motor vehicle inspections conducted pursuant to section296
4513.02 of the Revised Code.297

       (3) A peace officer shall indicate on every traffic ticket298
whether the person receiving the traffic ticket produced proof of299
the maintenance of financial responsibility in response to the300
officer's request under division (D)(2) of this section. The peace 301
officer shall inform every person who receives a traffic ticket 302
and who has failed to produce proof of the maintenance of303
financial responsibility that the person must submit proof to the304
traffic violations bureau with any payment of a fine and costs for305
the ticketed violation or, if the person is to appear in court for306
the violation, the person must submit proof to the court.307

       (4)(a) If a person who has failed to produce proof of the308
maintenance of financial responsibility appears in court for a309
ticketed violation, the court may permit the defendant to present310
evidence of proof of financial responsibility to the court at such311
time and in such manner as the court determines to be necessary or312
appropriate. The clerk of courts shall provide the registrar with313
the identity of any person who fails to submit proof of the314
maintenance of financial responsibility pursuant to division315
(D)(3) of this section.316

       (b) If a person who has failed to produce proof of the317
maintenance of financial responsibility also fails to submit that318
proof to the traffic violations bureau with payment of a fine and319
costs for the ticketed violation, the traffic violations bureau320
shall notify the registrar of the identity of that person.321

       (5)(a) Upon receiving notice from a clerk of courts or322
traffic violations bureau pursuant to division (D)(4) of this323
section, the registrar shall order the suspension of the license324
of the person required under division (A)(2)(a) of this section325
and the impoundment of the person's certificate of registration326
and license plates required under division (A)(2)(b) of this327
section, effective thirty days after the date of the mailing of328
notification. The registrar also shall notify the person that the329
person must present the registrar with proof of financial330
responsibility in accordance with this section, surrender to the331
registrar the person's certificate of registration, license332
plates, and license, or submit a statement subject to section333
2921.13 of the Revised Code that the person did not operate or334
permit the operation of the motor vehicle at the time of the335
offense. Notification shall be in writing and shall be sent to the 336
person at the person's last known address as shown on the records 337
of the bureau of motor vehicles. The person, within fifteen days 338
after the date of the mailing of notification, shall present proof 339
of financial responsibility, surrender the certificate of 340
registration, license plates, and license to the registrar in a341
manner set forth in division (A)(4) of this section, or submit the 342
statement required under this section together with other 343
information the person considers appropriate.344

       If the registrar does not receive proof or the person does345
not surrender the certificate of registration, license plates, and346
license, in accordance with this division, the registrar shall347
permit the order for the suspension of the license of the person348
and the impoundment of the person's certificate of registration349
and license plates to take effect.350

       (b) In the case of a person who presents, within the351
fifteen-day period, documents to show proof of financial352
responsibility, the registrar shall terminate the order of353
suspension and the impoundment of the registration and license354
plates required under division (A)(2)(b) of this section and shall355
send written notification to the person, at the person's last356
known address as shown on the records of the bureau.357

       (c) Any person adversely affected by the order of the358
registrar under division (D)(5)(a) or (b) of this section, within359
ten days after the issuance of the order, may request an360
administrative hearing before the registrar, who shall provide the361
person with an opportunity for a hearing in accordance with this362
paragraph. A request for a hearing does not operate as a363
suspension of the order. The scope of the hearing shall be limited 364
to whether the person in fact demonstrated to the registrar proof 365
of financial responsibility in accordance with this section. The 366
registrar shall determine the date, time, and place of any 367
hearing; provided, that the hearing shall be held, and an order 368
issued or findings made, within thirty days after the registrar 369
receives a request for a hearing. If requested by the person in 370
writing, the registrar may designate as the place of hearing the 371
county seat of the county in which the person resides or a place 372
within fifty miles of the person's residence. Such person shall 373
pay the cost of the hearing before the registrar, if the 374
registrar's order of suspension or impoundment under division375
(D)(5)(a) or (b) of this section is upheld.376

       (6) A peace officer may charge an owner or operator of a377
motor vehicle with a violation of division (B)(1) of section378
4507.02 of the Revised Code when the owner or operator fails to379
show proof of the maintenance of financial responsibility pursuant380
to a peace officer's request under division (D)(2) of this381
section, if a check of the owner or operator's driving record382
indicates that the owner or operator, at the time of the operation383
of the motor vehicle, is required to file and maintain proof of384
financial responsibility under section 4509.45 of the Revised Code385
for a previous violation of this chapter.386

       (7) Any forms used by law enforcement agencies in387
administering this section shall be prescribed, supplied, and paid388
for by the registrar.389

       (8) No peace officer, law enforcement agency employing a390
peace officer, or political subdivision or governmental agency391
that employs a peace officer shall be liable in a civil action for392
damages or loss to persons arising out of the performance of any393
duty required or authorized by this section.394

       (9) As used in this division and divisions (E) and (G) of395
this section, "peace officer" has the meaning set forth in section396
2935.01 of the Revised Code.397

       (E) All fees, except court costs, collected under this398
section shall be paid into the state treasury to the credit of the399
financial responsibility compliance fund. The financial400
responsibility compliance fund shall be used exclusively to cover401
costs incurred by the bureau in the administration of this section402
and sections 4503.20, 4507.212, and 4509.81 of the Revised Code,403
and by any law enforcement agency employing any peace officer who404
returns any license, certificate of registration, and license405
plates to the registrar pursuant to division (C) of this section,406
except that the director of budget and management may transfer407
excess money from the financial responsibility compliance fund to408
the state bureau of motor vehicles fund if the registrar409
determines that the amount of money in the financial410
responsibility compliance fund exceeds the amount required to411
cover such costs incurred by the bureau or a law enforcement412
agency and requests the director to make the transfer.413

       All investment earnings of the financial responsibility414
compliance fund shall be credited to the fund.415

       (F) Chapter 119. of the Revised Code applies to this section416
only to the extent that any provision in that chapter is not417
clearly inconsistent with this section.418

       (G)(1) The registrar, court, traffic violations bureau, or419
peace officer may require proof of financial responsibility to be420
demonstrated by use of a standard form prescribed by the421
registrar. If the use of a standard form is not required, a person 422
may demonstrate proof of financial responsibility under this 423
section by presenting to the traffic violations bureau, court, 424
registrar, or peace officer any of the following documents or a 425
copy of the documents:426

       (a) A financial responsibility identification card as427
provided in section 4509.1044509.103 of the Revised Code;428

       (b) A certificate of proof of financial responsibility on a429
form provided and approved by the registrar for the filing of an430
accident report required to be filed under section 4509.06 of the431
Revised Code;432

       (c) A policy of liability insurance, a declaration page of a433
policy of liability insurance, or liability bond, if the policy or434
bond complies with section 4509.20 or sections 4509.49 to 4509.61435
of the Revised Code;436

       (d) A bond or certification of the issuance of a bond as437
provided in section 4509.59 of the Revised Code;438

       (e) A certificate of deposit of money or securities as439
provided in section 4509.62 of the Revised Code;440

       (f) A certificate of self-insurance as provided in section441
4509.72 of the Revised Code.442

       (2) If a person fails to demonstrate proof of financial443
responsibility in a manner described in division (G)(1) of this444
section, the person may demonstrate proof of financial445
responsibility under this section by any other method that the446
court or the bureau, by reason of circumstances in a particular447
case, may consider appropriate.448

       (3) A motor carrier certificated by the interstate commerce449
commission or by the public utilities commission may demonstrate450
proof of financial responsibility by providing a statement451
designating the motor carrier's operating authority and averring452
that the insurance coverage required by the certificating453
authority is in full force and effect.454

       (4)(a) A finding by the registrar or court that a person is455
covered by proof of financial responsibility in the form of an456
insurance policy or surety bond is not binding upon the named457
insurer or surety or any of its officers, employees, agents, or458
representatives and has no legal effect except for the purpose of459
administering this section.460

       (b) The preparation and delivery of a financial461
responsibility identification card or any other document462
authorized to be used as proof of financial responsibility under463
this division does not do any of the following:464

       (i) Create any liability or estoppel against an insurer or465
surety, or any of its officers, employees, agents, or466
representatives;467

       (ii) Constitute an admission of the existence of, or of any468
liability or coverage under, any policy or bond;469

       (iii) Waive any defenses or counterclaims available to an470
insurer, surety, agent, employee, or representative in an action471
commenced by an insured or third-party claimant upon a cause of472
action alleged to have arisen under an insurance policy or surety473
bond or by reason of the preparation and delivery of a document474
for use as proof of financial responsibility.475

       (c) Whenever it is determined by a final judgment in a476
judicial proceeding that an insurer or surety, which has been477
named on a document accepted by a court or the registrar as proof478
of financial responsibility covering the operation of a motor479
vehicle at the time of an accident or offense, is not liable to480
pay a judgment for injuries or damages resulting from such481
operation, the registrar, notwithstanding any previous contrary482
finding, shall forthwith suspend the operating privileges and483
registration rights of the person against whom the judgment was484
rendered as provided in division (A)(2) of this section.485

       (H) In order for any document described in division (G)(1)(b) 486
of this section to be used for the demonstration of proof of 487
financial responsibility under this section, the document shall 488
state the name of the insured or obligor, the name of the insurer 489
or surety company, and the effective and expiration dates of the 490
financial responsibility, and designate by explicit description or 491
by appropriate reference all motor vehicles covered which may 492
include a reference to fleet insurance coverage.493

       (I) For purposes of this section, "owner" does not include a494
licensed motor vehicle leasing dealer as defined in section495
4517.01 of the Revised Code, but does include a motor vehicle496
renting dealer as defined in section 4549.65 of the Revised Code. 497
Nothing in this section or in section 4509.51 of the Revised Code498
shall be construed to prohibit a motor vehicle renting dealer from499
entering into a contractual agreement with a person whereby the500
person renting the motor vehicle agrees to be solely responsible501
for maintaining proof of financial responsibility, in accordance502
with this section, with respect to the operation, maintenance, or503
use of the motor vehicle during the period of the motor vehicle's504
rental.505

       (J) The purpose of this section is to require the maintenance 506
of proof of financial responsibility with respect to the operation 507
of motor vehicles on the highways of this state, so as to minimize 508
those situations in which persons are not compensated for injuries 509
and damages sustained in motor vehicle accidents. The general 510
assembly finds that this section contains reasonable civil 511
penalties and procedures for achieving this purpose.512

       (K) Nothing in this section shall be construed to be subject513
to section 4509.78 of the Revised Code.514

       (L) The registrar shall adopt rules in accordance with515
Chapter 119. of the Revised Code that are necessary to administer516
and enforce this section. The rules shall include procedures for517
the surrender of license plates upon failure to maintain proof of518
financial responsibility and provisions relating to reinstatement519
of registration rights, acceptable forms of proof of financial520
responsibility, and verification of the existence of financial521
responsibility during the period of registration.522

       Sec. 4509.20.  (A) A policy or bond does not comply with523
divisions (A)(5), (A)(6), and (A)(7) of section 4509.19 of the524
Revised Code unless issued by an insurance company or surety525
company authorized to do business in this state, except as526
provided in division (B) of this section, or unless such policy or527
bond is subject, if the accident has resulted in bodily injury or528
death, to a limit, exclusive of interest and costs, of not less529
than twelvetwenty-five thousand five hundred dollars because of530
bodily injury to or death of one person in any one accident, and,531
subject to said limit for one person, to a limit of not less than532
twenty-fivefifty thousand dollars because of bodily injury to or533
death of two or more persons in one accident, and, if the accident534
has resulted in injury to, or destruction of property, to a limit535
of not less than seventwenty-five thousand five hundred dollars536
because of injury to or destruction of property of others in any537
one accident.538

       (B) A policy or bond does not comply with divisions (A) (5),539
(A) (6), and (A) (7) of section 4509.19 of the Revised Code with540
respect to any motor vehicle which was not registered in this541
state or was a motor vehicle which was registered elsewhere than542
in this state at the effective date of the policy or bond or the543
most recent renewal thereof, unless the insurance company or544
surety company issuing such policy or bond is authorized to do545
business in this state, or if said company is not authorized to do546
business in this state unless it executes a power of attorney547
authorizing the registrar of motor vehicles to accept service on548
its behalf of notice or process in any action upon such policy or549
bond arising out of such accident.550

       The registrar may rely upon the accuracy of the information551
in the required report of a motor vehicle accident as to the552
existence of insurance or a bond unless the registrar has reason553
to believe that the information is erroneous.554

       Sec. 4509.41.  (A) Judgments are satisfied for the purpose of 555
sections 4509.01 to 4509.78, inclusive, of the Revised Code, in556
each of the following cases:557

       (1) When twelvetwenty-five thousand five hundred dollars has 558
been credited upon any judgments in excess of that amount because 559
of bodily injury to or death of one person as a result of any one560
accident;561

       (2) When the sum of twenty-fivefifty thousand dollars has562
been credited upon any judgments in excess of that amount because563
of bodily injury to or death of two or more persons as the result564
of any one accident;565

       (3) When seventwenty-five thousand five hundred dollars has566
been credited upon any judgments rendered in excess of that amount567
because of injury to property of others as a result of any one568
accident.569

       (B) Payments made in settlements of any claims because of570
bodily injury, death, or property damage arising from such571
accident shall be credited in reduction of the amounts provided572
for in this section.573

       Sec. 4509.45.  Proof of financial responsibility when574
required under section 4507.022, 4509.101, 4509.32, 4509.33,575
4509.34, 4509.38, 4509.40, 4509.42, or 4509.44 of the Revised Code576
may be given by filing any of the following:577

       (A) A financial responsibility identification card as578
provided in section 4509.104 of the Revised Code;579

       (B) A certificate of insurance as provided in section 4509.46 580
or 4509.47 of the Revised Code;581

       (C) A bond as provided in section 4509.59 of the Revised582
Code;583

       (D) A certificate of deposit of money or securities as584
provided in section 4509.62 of the Revised Code;585

       (E) A certificate of self-insurance, as provided in section586
4509.72 of the Revised Code, supplemented by an agreement by the587
self-insurer that, with respect to accidents occurring while the588
certificate is in force, hethe self-insurer will pay the same589
amounts that an insurer would have been obligated to pay under an590
owner's motor vehicle liability policy if it had issued such a591
policy to the self-insurer.592

       Such proof shall be filed and maintained for five years from593
the date of suspension of operating privileges by the registrar of594
motor vehicles.595

       Sec. 4509.51. EverySubject to the terms and conditions of596
an owner's policy, every owner's policy of liability insurance:597

       (A) Shall designate by explicit description or by appropriate 598
reference all motor vehicles with respect to which coverage is 599
thereby granted;600

       (B) Shall insure the person named therein and any other601
person, as insured, using any such motor vehicles with the express602
or implied permission of the insured, against loss from the603
liability imposed by law for damages arising out of the ownership,604
maintenance, or use of such vehicles within the United States or605
the Dominion of Canada, subject to monetary limits exclusive of606
interest and costs, with respect to each such motor vehicle, as607
follows:608

       (1) TwelveTwenty-five thousand five hundred dollars because609
of bodily injury to or death of one person in any one accident;610

       (2) Twenty-fiveFifty thousand dollars because of bodily611
injury to or death of two or more persons in any one accident;612

       (3) SevenTwenty-five thousand five hundred dollars because613
of injury to property of others in any one accident.614

       Sec. 4509.53.  Every motor-vehicle liability policy is 615
subject to the following provisions which need not be contained 616
therein:617

       (A) TheSubject to the terms and conditions of the policy, 618
the liability of the insurance carrier with respect to the 619
insurance required by sections 4509.01 to 4509.78, inclusive, of 620
the Revised Code, shall become absoluteconclusive whenever injury 621
or damage covered by the policy occurs; the policy shall not be 622
canceled or annulled as to such liability by any agreement between 623
the insurance carrier and the insured after the occurrence of the624
injury; no statement made by the insured or on histhe insured's625
behalf and no violation of the policy shall defeat or void the 626
policy.627

       (B) The satisfaction by the insured of a judgment for such 628
injury or damage shall not be a condition precedent to the right 629
or duty of the insurance carrier to make payment on account of 630
such injury or damage.631

       (C) The insurance carrier may settle any claim covered by the 632
policy, and if such settlement is made in good faith, the amount 633
thereof shall be deductible from the limits of liability specified 634
in division (B) of section 4509.51 of the Revised Code.635

       (D) The policy, the written application therefor, and any 636
rider or indorsement which does not conflict with sections 4509.01 637
to 4509.78, inclusive, of the Revised Code, shall constitute the 638
entire contract between the parties.639

       Sec. 4509.59.  Proof of financial responsibility may be640
evidenced by the bond of a surety company duly authorized to641
transact business within this state, or a bond with at least two642
individual sureties each owning real estate within this state, and643
together having equities equal in value to at least twice the644
amount of suchthe bond; the. Any such real estate shall be645
scheduled in the bond approved by a judge of a court of record and646
the. The bond shall be conditioned for payment of the amount647
specified in section 4509.62 of the Revised Codethirty thousand648
dollars. SuchThe bond shall be filed with the registrar of motor649
vehicles and shall not be cancelable except after ten days written650
notice to the registrar of motor vehicles.651

       Sec. 4509.65.  The registrar of motor vehicles shall consent652
to the cancellation of any bond or certificate of insurance or the653
registrar shall direct and the treasurer of state shall return any654
money or securities to the person entitled thereto upon the655
substitution and acceptance of other adequate proof of financial656
responsibility in accordance with sections 4509.01 to 4509.78,657
inclusive, of the Revised Code.658

       Sec. 4509.67.  (A) The registrar of motor vehicles shall,659
upon request, consent to the immediate cancellation of any bond or660
certificate of insurance, or shall direct and the treasurer of661
state shall return to the person entitled any money or securities662
deposited under sections 4509.01 to 4509.78 of the Revised Code,663
as proof of financial responsibility, or the registrar shall waive664
the requirement of filing proof, in any of the following events:665

       (1) At any time after three years from the date such proof666
was required when, during the three years preceding the request,667
the registrar has not received record of a conviction or bail668
forfeiture whichthat would require or permit the suspension or669
revocation of the license, registration, or nonresident's670
operating privilege of the person by or for whom such proof was671
furnished and the person's motor vehicle registration has not been672
suspended for a violation of section 4509.101 of the Revised Code;673

       (2) In the event of the death of the person on whose behalf674
such proof was filed or the permanent incapacity of such person to675
operate a motor vehicle;676

       (3) In the event the person who has given proof surrenders677
histhe person's license and registration to the registrar.678

       (B) The registrar shall not consent to the cancellation of679
any bond or the return of any money or securities if any action680
for damages upon a liability covered by such proof is pending, or681
any judgment upon any such liability is unsatisfied, or in the682
event the person who has filed such bond or deposited such money683
or securities has within two years immediately preceding such684
request been involved as a driver or owner in any motor-vehicle685
motor vehicle accident resulting in injury to the person or686
property of others. An affidavit of the applicant as to the687
nonexistence of such facts, or that hethe applicant has been688
released from all liability, or has been finally adjudicated not689
liable, for such injury may be accepted as evidence thereof in the690
absence of evidence to the contrary in the records of the691
registrar.692

       (C) Whenever any person whose proof has been canceled or693
returned under division (A)(3) of this section applies for a694
license or registration within a period of three years from the695
date proof was originally required, any such application shall be696
refused unless the applicant re-establishes proof of financial697
responsibility for the remainder of the three-year period.698

       Sec. 4509.80.  (A) Every owner registering a chauffeured699
limousine shall furnish and maintain proof of financial700
responsibility with respect to the limousine by filing with the701
registrar of motor vehicles any of the following:702

       (1) A certificate of insurance as provided in section 4509.46 703
or 4509.47 of the Revised Code;704

       (2) A policy of liability insurance, a declaration page of a705
policy of liability insurance, or liability bond, if the policy or706
bond provides coverage in accordance with division (B) of this707
section and otherwise complies with sections 4509.49 to 4509.61 of708
the Revised Code, and if the policy or bond provides that such709
policy or bond shall not be canceled or terminated prior to not710
less than ten days after a written notice of cancellation or711
termination is filed with the registrar;712

       (3) A bond or certification of the issuance of a bond if the713
bond provides coverage in the amount of three hundred thousand714
dollars and otherwise complies with section 4509.59 of the Revised715
Code;716

       (4) A certificate of deposit of money or securities if the717
certificate of deposit provides coverage in the amount of three718
hundred thousand dollars and otherwise complies with section719
4509.62 of the Revised Code;720

       (5) A certificate of self-insurance as provided in section721
4509.72 of the Revised Code.722

       (B) As used in this section and section 4509.81 of the723
Revised Code, "proof of financial responsibility" means proof of724
ability to respond in damages for liability, on account of725
accidents occurring subsequent to the effective date of such726
proof, arising out of the ownership, maintenance, or use of a727
chauffeured limousine in the amount of one hundred thousand728
dollars because of bodily injury to or death of one person in any729
one accident, three hundred thousand dollars because of bodily730
injury to or death of two or more persons in any one accident, and731
fifty thousand dollars because of injury to property of others in732
any one accident.733

       (C) Upon the request of a law enforcement officer, the734
operator of any chauffeured limousine shall produce proof of735
compliance with this section. The law enforcement officer736
requesting such proof shall notify the registrar of any violation737
of this section. The notice to the registrar shall be on a form738
prescribed by the registrar and supplied by the registrar at the739
registrar's expense, and shall include the license plate number of740
the chauffeured limousine and any other information the registrar741
requires.742

       (D) The owner, or histhe owner's designee, shall provide743
written notice to the registrar of cancellation or termination of744
the coverage required by this section not less than ten days prior745
to the effective date of cancellation, and, on or before the746
effective date of cancellation, shall voluntarily surrender the747
livery license plate sticker for the vehicle or vehicles for which748
the cancellation is effective. If the livery license plate sticker 749
is timely and voluntarily surrendered, the registrar shall, upon 750
the filing of proof of financial responsibility as required by 751
this section, reinstate the livery registration of the vehicle and 752
issue a current livery license plate sticker for the vehicle.753

       Section 2. That existing sections 4509.01, 4509.101, 4509.20, 754
4509.41, 4509.45, 4509.51, 4509.53, 4509.59, 4509.65, 4509.67, and 755
4509.80, and sections        Sec. 4509.62.  and        Sec. 4509.63.  of the Revised Code are 756
hereby repealed.757

       Section 3. Sections 4509.01, 4509.20, 4509.41, 4509.51, and 758
4509.53 of the Revised Code, as amended by this act, apply only 759
with respect to new insurance policies or bonds, and renewals of 760
insurance policies or bonds, that are issued on or after the 761
effective date of this act.762

       Section 4. Upon the effective date of this act, the Registrar 763
of Motor Vehicles shall send notice to each person who has 764
deposited money or securities with the Treasurer of State in 765
accordance with sections 4509.62 and 4509.63 of the Revised Code, 766
as repealed by this act. The notice shall inform such persons that 767
they must, within ninety days after receiving the notice, submit 768
to the Registrar proof of financial responsibility in another 769
manner approved by the Registrar. Upon receiving such proof, the 770
Registrar shall direct the Treasurer of State to return the money 771
or securities deposited by each such person. The Treasurer of 772
State shall promptly comply with the Registrar's request.773

       Section 5. That the versions of sections 4509.101, 4509.45, 774
and 4509.80 of the Revised Code that are scheduled to take effect 775
January 1, 2004, be amended to read as follows:776

       Sec. 4509.101.  (A)(1) No person shall operate, or permit the 777
operation of, a motor vehicle in this state, unless proof of778
financial responsibility is maintained continuously throughout the779
registration period with respect to that vehicle, or, in the case780
of a driver who is not the owner, with respect to that driver's781
operation of that vehicle.782

       (2) Whoever violates division (A)(1) of this section shall be 783
subject to the following civil penalties:784

       (a) Subject to divisions (A)(2)(b) and (c) of this section, a 785
class E suspension of the person's driver's license, commercial786
driver's license, temporary instruction permit, probationary787
license, or nonresident operating privilege for the period of time788
specified in division (B)(5) of section 4510.02 of the Revised789
Code and impoundment of the person's license. The court may grant790
limited driving privileges to the person only if the person791
presents proof of financial responsibility and has complied with792
division (A)(5) of this section.793

       (b) If, within five years of the violation, the person's794
operating privileges are again suspended and the person's license795
again is impounded for a violation of division (A)(1) of this796
section, a class C suspension of the person's driver's license,797
commercial driver's license, temporary instruction permit,798
probationary license, or nonresident operating privilege for the799
period of time specified in division (B)(3) of section 4510.02 of800
the Revised Code. The court may grant limited driving privileges801
to the person only if the person presents proof of financial802
responsibility and has complied with division (A)(5) of this803
section, and no court may grant limited driving privileges for the804
first fifteen days of the suspension.805

       (c) If, within five years of the violation, the person's806
operating privileges are suspended and the person's license is807
impounded two or more times for a violation of division (A)(1) of808
this section, a class B suspension of the person's driver's809
license, commercial driver's license, temporary instruction810
permit, probationary license, or nonresident operating privilege811
for the period of time specified in division (B)(2) of section812
4510.02 of the Revised Code. No court may grant limited driving813
privileges during the suspension.814

       (d) In addition to the suspension of an owner's license under 815
division (A)(2)(a), (b), or (c) of this section, the suspension of 816
the rights of the owner to register the motor vehicle and the817
impoundment of the owner's certificate of registration and license 818
plates until the owner complies with division (A)(5) of this 819
section.820

       (3) A person to whom this state has issued a certificate of821
registration for a motor vehicle or a license to operate a motor822
vehicle or who is determined to have operated any motor vehicle or823
permitted the operation in this state of a motor vehicle owned by824
the person shall be required to verify the existence of proof of825
financial responsibility covering the operation of the motor826
vehicle or the person's operation of the motor vehicle under any827
of the following circumstances:828

       (a) The person or a motor vehicle owned by the person is829
involved in a traffic accident that requires the filing of an830
accident report under section 4509.06 of the Revised Code.831

       (b) The person receives a traffic ticket indicating that832
proof of the maintenance of financial responsibility was not833
produced upon the request of a peace officer or state highway834
patrol trooper made in accordance with division (D)(2) of this835
section.836

       (c) Whenever, in accordance with rules adopted by the837
registrar, the person is randomly selected by the registrar and838
requested to provide such verification.839

       (4) An order of the registrar that suspends and impounds a840
license or registration, or both, shall state the date on or841
before which the person is required to surrender the person's842
license or certificate of registration and license plates. The843
person is deemed to have surrendered the license or certificate of844
registration and license plates, in compliance with the order, if845
the person does either of the following:846

       (a) On or before the date specified in the order, personally847
delivers the license or certificate of registration and license848
plates, or causes the delivery of the items, to the registrar;849

       (b) Mails the license or certificate of registration and850
license plates to the registrar in an envelope or container851
bearing a postmark showing a date no later than the date specified852
in the order.853

       (5) Except as provided in division (A)(6) or (L) of this854
section, the registrar shall not restore any operating privileges855
or registration rights suspended under this section, return any856
license, certificate of registration, or license plates impounded857
under this section, or reissue license plates under section858
4503.232 of the Revised Code, if the registrar destroyed the859
impounded license plates under that section, or reissue a license860
under section 4510.52 of the Revised Code, if the registrar861
destroyed the suspended license under that section, unless the862
rights are not subject to suspension or revocation under any other863
law and unless the person, in addition to complying with all other864
conditions required by law for reinstatement of the operating865
privileges or registration rights, complies with all of the866
following:867

       (a) Pays a financial responsibility reinstatement fee of868
seventy-five dollars for the first violation of division (A)(1) of869
this section, two hundred fifty dollars for a second violation of870
that division, and five hundred dollars for a third or subsequent871
violation of that division;872

       (b) If the person has not voluntarily surrendered the873
license, certificate, or license plates in compliance with the874
order, pays a financial responsibility nonvoluntary compliance fee875
in an amount, not to exceed fifty dollars, determined by the876
registrar;877

       (c) Files and continuously maintains proof of financial878
responsibility under sections 4509.44 to 4509.65 of the Revised879
Code.880

       (6) If the registrar issues an order under division (A)(2) of 881
this section resulting from the failure of a person to respond to 882
a financial responsibility random verification request under883
division (A)(3)(c) of this section and the person successfully884
maintains an affirmative defense to a violation of section 4510.16 885
of the Revised Code or is determined by the registrar or a deputy886
registrar to have been in compliance with division (A)(1) of this887
section at the time of the initial financial responsibility random888
verification request, the registrar shall do both of the 889
following:890

       (a) Terminate the order of suspension or impoundment;891

       (b) Restore the operating privileges and registration rights892
of the person without payment of the fees established in divisions893
(A)(5)(a) and (b) of this section and without a requirement to894
file proof of financial responsibility.895

       (B)(1) Every party required to file an accident report under896
section 4509.06 of the Revised Code also shall include with the897
report a document described in division (G)(1) of this section.898

       If the registrar determines, within forty-five days after the899
report is filed, that an operator or owner has violated division900
(A)(1) of this section, the registrar shall do all of the901
following:902

       (a) Order the impoundment, with respect to the motor vehicle903
involved, required under division (A)(2)(d) of this section, of904
the certificate of registration and license plates of any owner905
who has violated division (A)(1) of this section;906

       (b) Order the suspension required under division (A)(2)(a),907
(b), or (c) of this section of the license of any operator or908
owner who has violated division (A)(1) of this section;909

       (c) Record the name and address of the person whose910
certificate of registration and license plates have been impounded911
or are under an order of impoundment, or whose license has been912
suspended or is under an order of suspension; the serial number of913
the person's license; the serial numbers of the person's914
certificate of registration and license plates; and the person's915
social security account number, if assigned, or, where the motor916
vehicle is used for hire or principally in connection with any917
established business, the person's federal taxpayer identification918
number. The information shall be recorded in such a manner that it 919
becomes a part of the person's permanent record, and assists the 920
registrar in monitoring compliance with the orders of suspension 921
or impoundment.922

       (d) Send written notification to every person to whom the923
order pertains, at the person's last known address as shown on the924
records of the bureau. The person, within ten days after the date925
of the mailing of the notification, shall surrender to the926
registrar, in a manner set forth in division (A)(4) of this927
section, any certificate of registration and registration plates928
under an order of impoundment, or any license under an order of929
suspension.930

       (2) The registrar shall issue any order under division (B)(1) 931
of this section without a hearing. Any person adversely affected 932
by the order, within ten days after the issuance of the order, may 933
request an administrative hearing before the registrar, who shall 934
provide the person with an opportunity for a hearing in accordance 935
with this paragraph. A request for a hearing does not operate as a 936
suspension of the order. The scope of the hearing shall be limited 937
to whether the person in fact demonstrated to the registrar proof 938
of financial responsibility in accordance with this section. The 939
registrar shall determine the date, time, and place of any 940
hearing, provided that the hearing shall be held, and an order 941
issued or findings made, within thirty days after the registrar 942
receives a request for a hearing. If requested by the person in 943
writing, the registrar may designate as the place of hearing the 944
county seat of the county in which the person resides or a place 945
within fifty miles of the person's residence. The person shall pay 946
the cost of the hearing before the registrar, if the registrar's 947
order of suspension or impoundment is upheld.948

       (C) Any order of suspension or impoundment issued under this949
section or division (B) of section 4509.37 of the Revised Code may950
be terminated at any time if the registrar determines upon a951
showing of proof of financial responsibility that the operator or952
owner of the motor vehicle was in compliance with division (A)(1)953
of this section at the time of the traffic offense, motor vehicle954
inspection, or accident that resulted in the order against the955
person. A determination may be made without a hearing. This956
division does not apply unless the person shows good cause for the957
person's failure to present satisfactory proof of financial958
responsibility to the registrar prior to the issuance of the959
order.960

       (D)(1) For the purpose of enforcing this section, every peace 961
officer is deemed an agent of the registrar.962

       (a) Except as provided in division (D)(1)(b) of this section, 963
any peace officer who, in the performance of the peace officer's 964
duties as authorized by law, becomes aware of a person whose 965
license is under an order of suspension, or whose certificate of 966
registration and license plates are under an order of impoundment, 967
pursuant to this section, may confiscate the license, certificate 968
of registration, and license plates, and return them to the969
registrar.970

       (b) Any peace officer who, in the performance of the peace971
officer's duties as authorized by law, becomes aware of a person972
whose license is under an order of suspension, or whose973
certificate of registration and license plates are under an order974
of impoundment resulting from failure to respond to a financial975
responsibility random verification, shall not, for that reason,976
arrest the owner or operator or seize the vehicle or license977
plates. Instead, the peace officer shall issue a citation for a978
violation of section 4510.16 of the Revised Code specifying the979
circumstances as failure to respond to a financial responsibility980
random verification.981

       (2) A peace officer shall request the owner or operator of a982
motor vehicle to produce proof of financial responsibility in a983
manner described in division (G) of this section at the time the984
peace officer acts to enforce the traffic laws of this state and985
during motor vehicle inspections conducted pursuant to section986
4513.02 of the Revised Code.987

       (3) A peace officer shall indicate on every traffic ticket988
whether the person receiving the traffic ticket produced proof of989
the maintenance of financial responsibility in response to the990
officer's request under division (D)(2) of this section. The peace 991
officer shall inform every person who receives a traffic ticket 992
and who has failed to produce proof of the maintenance of993
financial responsibility that the person must submit proof to the994
traffic violations bureau with any payment of a fine and costs for995
the ticketed violation or, if the person is to appear in court for996
the violation, the person must submit proof to the court.997

       (4)(a) If a person who has failed to produce proof of the998
maintenance of financial responsibility appears in court for a999
ticketed violation, the court may permit the defendant to present1000
evidence of proof of financial responsibility to the court at such1001
time and in such manner as the court determines to be necessary or1002
appropriate. The clerk of courts shall provide the registrar with1003
the identity of any person who fails to submit proof of the1004
maintenance of financial responsibility pursuant to division1005
(D)(3) of this section.1006

       (b) If a person who has failed to produce proof of the1007
maintenance of financial responsibility also fails to submit that1008
proof to the traffic violations bureau with payment of a fine and1009
costs for the ticketed violation, the traffic violations bureau1010
shall notify the registrar of the identity of that person.1011

       (5)(a) Upon receiving notice from a clerk of courts or1012
traffic violations bureau pursuant to division (D)(4) of this1013
section, the registrar shall order the suspension of the license1014
of the person required under division (A)(2)(a), (b), or (c) of1015
this section and the impoundment of the person's certificate of1016
registration and license plates required under division (A)(2)(d)1017
of this section, effective thirty days after the date of the1018
mailing of notification. The registrar also shall notify the1019
person that the person must present the registrar with proof of1020
financial responsibility in accordance with this section,1021
surrender to the registrar the person's certificate of1022
registration, license plates, and license, or submit a statement1023
subject to section 2921.13 of the Revised Code that the person did1024
not operate or permit the operation of the motor vehicle at the1025
time of the offense. Notification shall be in writing and shall be 1026
sent to the person at the person's last known address as shown on 1027
the records of the bureau of motor vehicles. The person, within 1028
fifteen days after the date of the mailing of notification, shall 1029
present proof of financial responsibility, surrender the1030
certificate of registration, license plates, and license to the1031
registrar in a manner set forth in division (A)(4) of this1032
section, or submit the statement required under this section1033
together with other information the person considers appropriate.1034

       If the registrar does not receive proof or the person does1035
not surrender the certificate of registration, license plates, and1036
license, in accordance with this division, the registrar shall1037
permit the order for the suspension of the license of the person1038
and the impoundment of the person's certificate of registration1039
and license plates to take effect.1040

       (b) In the case of a person who presents, within the1041
fifteen-day period, documents to show proof of financial1042
responsibility, the registrar shall terminate the order of1043
suspension and the impoundment of the registration and license1044
plates required under division (A)(2)(d) of this section and shall1045
send written notification to the person, at the person's last1046
known address as shown on the records of the bureau.1047

       (c) Any person adversely affected by the order of the1048
registrar under division (D)(5)(a) or (b) of this section, within1049
ten days after the issuance of the order, may request an1050
administrative hearing before the registrar, who shall provide the1051
person with an opportunity for a hearing in accordance with this1052
paragraph. A request for a hearing does not operate as a1053
suspension of the order. The scope of the hearing shall be limited 1054
to whether the person in fact demonstrated to the registrar proof 1055
of financial responsibility in accordance with this section. The 1056
registrar shall determine the date, time, and place of any 1057
hearing; provided, that the hearing shall be held, and an order 1058
issued or findings made, within thirty days after the registrar 1059
receives a request for a hearing. If requested by the person in 1060
writing, the registrar may designate as the place of hearing the 1061
county seat of the county in which the person resides or a place 1062
within fifty miles of the person's residence. Such person shall 1063
pay the cost of the hearing before the registrar, if the 1064
registrar's order of suspension or impoundment under division1065
(D)(5)(a) or (b) of this section is upheld.1066

       (6) A peace officer may charge an owner or operator of a1067
motor vehicle with a violation of section 4510.16 of the Revised1068
Code when the owner or operator fails to show proof of the1069
maintenance of financial responsibility pursuant to a peace1070
officer's request under division (D)(2) of this section, if a1071
check of the owner or operator's driving record indicates that the1072
owner or operator, at the time of the operation of the motor1073
vehicle, is required to file and maintain proof of financial1074
responsibility under section 4509.45 of the Revised Code for a1075
previous violation of this chapter.1076

       (7) Any forms used by law enforcement agencies in1077
administering this section shall be prescribed, supplied, and paid1078
for by the registrar.1079

       (8) No peace officer, law enforcement agency employing a1080
peace officer, or political subdivision or governmental agency1081
that employs a peace officer shall be liable in a civil action for1082
damages or loss to persons arising out of the performance of any1083
duty required or authorized by this section.1084

       (9) As used in this division and divisions (E) and (G) of1085
this section, "peace officer" has the meaning set forth in section1086
2935.01 of the Revised Code.1087

       (E) All fees, except court costs, collected under this1088
section shall be paid into the state treasury to the credit of the1089
financial responsibility compliance fund. The financial1090
responsibility compliance fund shall be used exclusively to cover1091
costs incurred by the bureau in the administration of this section1092
and sections 4503.20, 4507.212, and 4509.81 of the Revised Code,1093
and by any law enforcement agency employing any peace officer who1094
returns any license, certificate of registration, and license1095
plates to the registrar pursuant to division (C) of this section,1096
except that the director of budget and management may transfer1097
excess money from the financial responsibility compliance fund to1098
the state bureau of motor vehicles fund if the registrar1099
determines that the amount of money in the financial1100
responsibility compliance fund exceeds the amount required to1101
cover such costs incurred by the bureau or a law enforcement1102
agency and requests the director to make the transfer.1103

       All investment earnings of the financial responsibility1104
compliance fund shall be credited to the fund.1105

       (F) Chapter 119. of the Revised Code applies to this section1106
only to the extent that any provision in that chapter is not1107
clearly inconsistent with this section.1108

       (G)(1) The registrar, court, traffic violations bureau, or1109
peace officer may require proof of financial responsibility to be1110
demonstrated by use of a standard form prescribed by the1111
registrar. If the use of a standard form is not required, a person 1112
may demonstrate proof of financial responsibility under this 1113
section by presenting to the traffic violations bureau, court, 1114
registrar, or peace officer any of the following documents or a 1115
copy of the documents:1116

       (a) A financial responsibility identification card as1117
provided in section 4509.103 of the Revised Code;1118

       (b) A certificate of proof of financial responsibility on a1119
form provided and approved by the registrar for the filing of an1120
accident report required to be filed under section 4509.06 of the1121
Revised Code;1122

       (c) A policy of liability insurance, a declaration page of a1123
policy of liability insurance, or liability bond, if the policy or1124
bond complies with section 4509.20 or sections 4509.49 to 4509.611125
of the Revised Code;1126

       (d) A bond or certification of the issuance of a bond as1127
provided in section 4509.59 of the Revised Code;1128

       (e) A certificate of deposit of money or securities as1129
provided in section 4509.62 of the Revised Code;1130

       (f) A certificate of self-insurance as provided in section1131
4509.72 of the Revised Code.1132

       (2) If a person fails to demonstrate proof of financial1133
responsibility in a manner described in division (G)(1) of this1134
section, the person may demonstrate proof of financial1135
responsibility under this section by any other method that the1136
court or the bureau, by reason of circumstances in a particular1137
case, may consider appropriate.1138

       (3) A motor carrier certificated by the interstate commerce1139
commission or by the public utilities commission may demonstrate1140
proof of financial responsibility by providing a statement1141
designating the motor carrier's operating authority and averring1142
that the insurance coverage required by the certificating1143
authority is in full force and effect.1144

       (4)(a) A finding by the registrar or court that a person is1145
covered by proof of financial responsibility in the form of an1146
insurance policy or surety bond is not binding upon the named1147
insurer or surety or any of its officers, employees, agents, or1148
representatives and has no legal effect except for the purpose of1149
administering this section.1150

       (b) The preparation and delivery of a financial1151
responsibility identification card or any other document1152
authorized to be used as proof of financial responsibility under1153
this division does not do any of the following:1154

       (i) Create any liability or estoppel against an insurer or1155
surety, or any of its officers, employees, agents, or1156
representatives;1157

       (ii) Constitute an admission of the existence of, or of any1158
liability or coverage under, any policy or bond;1159

       (iii) Waive any defenses or counterclaims available to an1160
insurer, surety, agent, employee, or representative in an action1161
commenced by an insured or third-party claimant upon a cause of1162
action alleged to have arisen under an insurance policy or surety1163
bond or by reason of the preparation and delivery of a document1164
for use as proof of financial responsibility.1165

       (c) Whenever it is determined by a final judgment in a1166
judicial proceeding that an insurer or surety, which has been1167
named on a document accepted by a court or the registrar as proof1168
of financial responsibility covering the operation of a motor1169
vehicle at the time of an accident or offense, is not liable to1170
pay a judgment for injuries or damages resulting from such1171
operation, the registrar, notwithstanding any previous contrary1172
finding, shall forthwith suspend the operating privileges and1173
registration rights of the person against whom the judgment was1174
rendered as provided in division (A)(2) of this section.1175

       (H) In order for any document described in division (G)(1)(b) 1176
of this section to be used for the demonstration of proof of 1177
financial responsibility under this section, the document shall 1178
state the name of the insured or obligor, the name of the insurer 1179
or surety company, and the effective and expiration dates of the 1180
financial responsibility, and designate by explicit description or 1181
by appropriate reference all motor vehicles covered which may 1182
include a reference to fleet insurance coverage.1183

       (I) For purposes of this section, "owner" does not include a1184
licensed motor vehicle leasing dealer as defined in section1185
4517.01 of the Revised Code, but does include a motor vehicle1186
renting dealer as defined in section 4549.65 of the Revised Code. 1187
Nothing in this section or in section 4509.51 of the Revised Code1188
shall be construed to prohibit a motor vehicle renting dealer from1189
entering into a contractual agreement with a person whereby the1190
person renting the motor vehicle agrees to be solely responsible1191
for maintaining proof of financial responsibility, in accordance1192
with this section, with respect to the operation, maintenance, or1193
use of the motor vehicle during the period of the motor vehicle's1194
rental.1195

       (J) The purpose of this section is to require the maintenance 1196
of proof of financial responsibility with respect to the operation 1197
of motor vehicles on the highways of this state, so as to minimize 1198
those situations in which persons are not compensated for injuries 1199
and damages sustained in motor vehicle accidents. The general 1200
assembly finds that this section contains reasonable civil 1201
penalties and procedures for achieving this purpose.1202

       (K) Nothing in this section shall be construed to be subject1203
to section 4509.78 of the Revised Code.1204

       (L) The registrar may terminate any suspension imposed under1205
this section and not require the owner to comply with divisions1206
(A)(5)(a), (b), and (c) of this section if the registrar with or1207
without a hearing determines that the owner of the vehicle has1208
established by clear and convincing evidence that all of the1209
following apply:1210

       (1) The owner customarily maintains proof of financial1211
responsibility.1212

       (2) Proof of financial responsibility was not in effect for1213
the vehicle on the date in question for one of the following1214
reasons:1215

       (a) The vehicle was inoperable.1216

       (b) The vehicle is operated only seasonally, and the date in1217
question was outside the season of operation.1218

       (c) A person other than the vehicle owner or driver was at1219
fault for the lapse of proof of financial responsibility through1220
no fault of the owner or driver.1221

       (d) The lapse of proof of financial responsibility was caused 1222
by excusable neglect under circumstances that are not likely to 1223
recur and do not suggest a purpose to evade the requirements of 1224
this chapter.1225

       (3) The owner or driver has not previously been granted1226
relief under division (L) of this section.1227

       (M) The registrar shall adopt rules in accordance with1228
Chapter 119. of the Revised Code that are necessary to administer1229
and enforce this section. The rules shall include procedures for1230
the surrender of license plates upon failure to maintain proof of1231
financial responsibility and provisions relating to reinstatement1232
of registration rights, acceptable forms of proof of financial1233
responsibility, and verification of the existence of financial1234
responsibility during the period of registration.1235

       Sec. 4509.45.  (A) Proof of financial responsibility when1236
required under section 4509.101, 4509.33, 4509.34, 4509.38,1237
4509.40, 4509.42, 4509.44, or 4510.038 of the Revised Code may be1238
given by filing any of the following:1239

       (1) A financial responsibility identification card as1240
provided in section 4509.104 of the Revised Code;1241

       (2) A certificate of insurance as provided in section 4509.46 1242
or 4509.47 of the Revised Code;1243

       (3) A bond as provided in section 4509.59 of the Revised1244
Code;1245

       (4) A certificate of deposit of money or securities as1246
provided in section 4509.62 of the Revised Code;1247

       (5) A certificate of self-insurance, as provided in section1248
4509.72 of the Revised Code, supplemented by an agreement by the1249
self-insurer that, with respect to accidents occurring while the1250
certificate is in force, the self-insurer will pay the same1251
amounts that an insurer would have been obligated to pay under an1252
owner's motor vehicle liability policy if it had issued such a1253
policy to the self-insurer.1254

       (B) Proof under division (A) of this section shall be filed1255
and maintained for five years from the date of the registrar's1256
imposition of a class A, B, or C suspension of operating1257
privileges and shall be filed and maintained for three years from1258
the date of the registrar's imposition of a class D, E, or F1259
suspension of operating privileges.1260

       Sec. 4509.80.  (A) Every owner registering a chauffeured1261
limousine shall furnish and maintain proof of financial1262
responsibility with respect to the limousine by filing with the1263
registrar of motor vehicles any of the following:1264

       (1) A certificate of insurance as provided in section 4509.46 1265
or 4509.47 of the Revised Code;1266

       (2) A policy of liability insurance, a declaration page of a1267
policy of liability insurance, or liability bond, if the policy or1268
bond provides coverage in accordance with division (B) of this1269
section and otherwise complies with sections 4509.49 to 4509.61 of1270
the Revised Code, and if the policy or bond provides that such1271
policy or bond shall not be canceled or terminated prior to not1272
less than ten days after a written notice of cancellation or1273
termination is filed with the registrar;1274

       (3) A bond or certification of the issuance of a bond if the1275
bond provides coverage in the amount of three hundred thousand1276
dollars and otherwise complies with section 4509.59 of the Revised1277
Code;1278

       (4) A certificate of deposit of money or securities if the1279
certificate of deposit provides coverage in the amount of three1280
hundred thousand dollars and otherwise complies with section1281
4509.62 of the Revised Code;1282

       (5) A certificate of self-insurance as provided in section1283
4509.72 of the Revised Code.1284

       (B) As used in this section and section 4509.81 of the1285
Revised Code, "proof of financial responsibility" means proof of1286
ability to respond in damages for liability, on account of1287
accidents occurring subsequent to the effective date of such1288
proof, arising out of the ownership, maintenance, or use of a1289
chauffeured limousine in the amount of one hundred thousand1290
dollars because of bodily injury to or death of one person in any1291
one accident, three hundred thousand dollars because of bodily1292
injury to or death of two or more persons in any one accident, and1293
fifty thousand dollars because of injury to property of others in1294
any one accident.1295

       (C) Upon the request of a law enforcement officer, the1296
operator of any chauffeured limousine shall produce proof of1297
compliance with this section. The law enforcement officer1298
requesting such proof shall notify the registrar of any violation1299
of this section. The notice to the registrar shall be on a form1300
prescribed by the registrar and supplied by the registrar at the1301
registrar's expense, and shall include the license plate number of1302
the chauffeured limousine and any other information the registrar1303
requires.1304

       (D) The owner, or the owner's designee, shall provide written1305
notice to the registrar of cancellation or termination of the1306
coverage required by this section not less than ten days prior to1307
the effective date of cancellation, and, on or before the1308
effective date of cancellation, shall voluntarily surrender the1309
livery license plate sticker for the vehicle or vehicles for which1310
the cancellation is effective. If the livery license plate sticker 1311
is timely and voluntarily surrendered, the registrar shall, upon 1312
the filing of proof of financial responsibility as required by 1313
this section, reinstate the livery registration of the vehicle and 1314
issue a current livery license plate sticker for the vehicle.1315

       (E) Whoever violates this section is guilty of a misdemeanor1316
of the first degree.1317

       Section 6. That the existing versions of sections 4509.101, 1318
4509.45, and 4509.80 of the Revised Code that are scheduled to 1319
take effect on January 1, 2004, are hereby repealed.1320

       Section 7. Sections 5 and 6 of this act shall take effect 1321
January 1, 2004.1322