H.B. 210 Enrolled

1

IDENTITY THEFT AND OTHER CRIMES
2 2008 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Stephen E. Sandstrom
5 Senate Sponsor: Carlene M. Walker
6
7 LONG TITLE
8 General Description:
9 This bill modifies provisions of the Financial Responsibility of Motor Vehicle Owners
10 and Operators Act related to access by a state or local law enforcement agency to the
11 Uninsured Motorist Identification Database.
12 Highlighted Provisions:
13 This bill:
14 . provides that the Uninsured Motorist Identification Database Program shall be used
15 to assist in the identification and prevention of identity theft and other crimes;
16 . provides that information in the Uninsured Motorist Identification Database may be
17 disclosed to a state or local law enforcement agency upon its request for the purpose
18 of investigating and prosecuting identity theft and other crimes; and
19 . makes certain technical changes.
20 Monies Appropriated in this Bill:
21 None
22 Other Special Clauses:
23 None
24 Utah Code Sections Affected:
25 AMENDS:
26 41-12a-803, as last amended by Laws of Utah 2007, Chapter 262
27 41-12a-805, as last amended by Laws of Utah 2003, Chapter 32
28
29 Be it enacted by the Legislature of the state of Utah:

30 Section 1. Section 41-12a-803 is amended to read:
31 41-12a-803. Program creation -- Administration -- Selection of designated agent
32 -- Duties -- Rulemaking -- Audits.
33 (1) There is created the Uninsured Motorist Identification Database Program to:
34 (a) establish an Uninsured Motorist Identification Database to verify compliance with
35 motor vehicle owner's or operator's security requirements under Section 41-12a-301 and other
36 provisions under this part;
37 (b) assist in reducing the number of uninsured motor vehicles on the highways of the
38 state;
39 (c) assist in increasing compliance with motor vehicle registration and sales and use tax
40 laws; [and]
41 (d) assist in protecting a financial institution's bona fide security interest in a motor
42 vehicle[.]; and
43 (e) assist in the identification and prevention of identity theft and other crimes.
44 (2) The program shall be administered by the department with the assistance of the
45 designated agent and the Motor Vehicle Division.
46 (3) (a) The department shall contract in accordance with Title 63, Chapter 56, Utah
47 Procurement Code, with a third party to establish and maintain an Uninsured Motorist
48 Identification Database for the purposes established under this part.
49 (b) The contract may not obligate the department to pay the third party more monies
50 than are available in the account.
51 (4) (a) The third party under contract under this section is the department's designated
52 agent, and shall develop and maintain a computer database from the information provided by:
53 (i) insurers under Section 31A-22-315 ;
54 (ii) the division under Subsection (6); and
55 (iii) the Motor Vehicle Division under Section 41-1a-120 .
56 (b) (i) The database shall be developed and maintained in accordance with guidelines
57 established by the department so that state and local law enforcement agencies and financial

58 institutions as defined in Section 7-1-103 can efficiently access the records of the database,
59 including reports useful for the implementation of the provisions of this part.
60 (ii) (A) The reports shall be in a form and contain information approved by the
61 department.
62 (B) The reports may be made available through the Internet or through other electronic
63 medium, if the department determines that sufficient security is provided to ensure compliance
64 with Section 41-12a-805 regarding limitations on disclosure of information in the database.
65 (5) With information provided by the department and the Motor Vehicle Division, the
66 designated agent shall, at least monthly for submissions under Subsection 31A-22-315 (2)(b) or
67 at least twice a month for submissions under Subsection 31A-22-315 (2)(a):
68 (a) update the database with the motor vehicle insurance information provided by the
69 insurers in accordance with Section 31A-22-315 ; and
70 (b) compare all current motor vehicle registrations against the database.
71 (6) The division shall provide the designated agent with the name, date of birth,
72 address, and driver license number of all persons on the driver license database.
73 (7) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
74 department shall make rules and develop procedures in cooperation with the Motor Vehicle
75 Division to use the database for the purpose of administering and enforcing this part.
76 (8) (a) The designated agent shall archive computer data files at least semi-annually for
77 auditing purposes.
78 (b) The internal audit unit of the tax commission provided under Section 59-1-206 shall
79 audit the program at least every three years.
80 (c) The audit under Subsection (8)(b) shall include verification of:
81 (i) billings made by the designated agent; and
82 (ii) the accuracy of the designated agent's matching of vehicle registration with
83 insurance data.
84 Section 2. Section 41-12a-805 is amended to read:
85 41-12a-805. Disclosure of insurance information -- Penalty.

86 (1) Information in the database established under Section 41-12a-803 provided by a
87 person to the designated agent is considered to be the property of the person providing the
88 information.
89 (2) The information may not be disclosed from the database under Title 63, Chapter 2,
90 Government Records Access and Management Act, or otherwise, except as follows:
91 (a) for the purpose of investigating, litigating, or enforcing the owner's or operator's
92 security requirement under Section 41-12a-301 , the designated agent shall verify insurance
93 information through the state computer network for a state or local government agency or
94 court;
95 (b) for the purpose of investigating, litigating, or enforcing the owner's or operator's
96 security requirement under Section 41-12a-301 , the designated agent shall, upon request, issue
97 to any state or local government agency or court a certificate documenting the insurance
98 information, according to the database, of a specific individual or motor vehicle for the time
99 period designated by the government agency;
100 (c) upon request, the department or its designated agent shall disclose whether or not a
101 person is an insured individual and the insurance company name to:
102 (i) that individual or, if that individual is deceased, any interested person of that
103 individual, as defined in Section 75-1-201 ;
104 (ii) the parent or legal guardian of that individual if the individual is an unemancipated
105 minor;
106 (iii) the legal guardian of that individual if the individual is legally incapacitated;
107 (iv) a person who has power of attorney from the insured individual;
108 (v) a person who submits a notarized release from the insured individual dated no more
109 than 90 days before the date the request is made; or
110 (vi) a person suffering loss or injury in a motor vehicle accident in which the insured
111 individual is involved, but only as part of an accident report as authorized in Section
112 41-12a-202 ;
113 (d) for the purpose of investigating, enforcing, or prosecuting laws or issuing citations

114 by state or local law enforcement agencies related to the:
115 (i) registration and renewal of registration of a motor vehicle under Title 41, Chapter
116 1a, Motor Vehicle Act;
117 (ii) purchase of a motor vehicle under Title 59, Chapter 12, Sales and Use Tax Act; and
118 (iii) owner's or operator's security requirements under Section 41-12a-301 ;
119 (e) upon request of a peace officer acting in an official capacity under the provisions of
120 Subsection [(1)] (2)(d), the department or the designated agent shall, upon request, disclose
121 relevant information for investigation, enforcement, or prosecution;
122 (f) for the purpose of the state auditor, the legislative auditor general, or other auditor
123 of the state conducting audits of the program; [and]
124 (g) upon request of a financial institution as defined under Section 7-1-103 for the
125 purpose of protecting the financial institution's bona fide security interest in a motor vehicle[.];
126 and
127 (h) upon the request of a state or local law enforcement agency for the purpose of
128 investigating and prosecuting identity theft and other crimes.
129 [(2)] (3) (a) The department may allow the designated agent to prepare and deliver
130 upon request, a report on the insurance information of a person or motor vehicle in accordance
131 with this section.
132 (b) The report may be in the form of:
133 (i) a certified copy that is considered admissible in any court proceeding in the same
134 manner as the original; or
135 (ii) information accessible through the Internet or through other electronic medium if
136 the department determines that sufficient security is provided to ensure compliance with this
137 section.
138 (c) The department may allow the designated agent to charge a fee established by the
139 department under Section 63-38-3.2 for each:
140 (i) document authenticated, including each certified copy;
141 (ii) record accessed by the Internet or by other electronic medium; and

142 (iii) record provided to a financial institution under Subsection [(1)] (2)(g).
143 [(3)] (4) [Any] A person who knowingly releases or discloses information from the
144 database for a purpose other than those authorized in this section or to a person who is not
145 entitled to it is guilty of a third degree felony.
146 [(4)] (5) An insurer is not liable to any person for complying with Section 31A-22-315
147 by providing information to the designated agent.
148 [(5)] (6) Neither the state nor the department's designated agent [are] is liable to any
149 person for gathering, managing, or using the information in the database as provided in Section
150 31A-22-315 and this part.