Senate Bill 1029 Summary

• Requires insurers to offer new applicants for private passenger nonfleet automobile insurance two collision coverage options: limited collision coverage with no deductible if the insured is not substantially at fault, and broad form collision coverage with commissioner-approved deductibles that are waived if the insured is not substantially at fault.

• Mandates written rejection procedures when applicants decline offered collision coverages, with clear disclosure of policyholder rights under each coverage option.

• Requires insurers to provide written explanations of collision coverage options in easily understandable language at the time of initial application.

• Establishes annual renewal notifications to policyholders about current collision coverage status, available options, and procedures for changing coverage.

• Allows tort liability for motor vehicle damages up to $500 on a comparative fault basis, with damages assessed based on the plaintiff's degree of fault (no recovery if more than 50% at fault).