Chief Sponsor: Daniel W. Thatcher

House Sponsor: Lee B. Perry


8     General Description:
9          This bill amends provisions related to security while operating a motor vehicle.
10     Highlighted Provisions:
11          This bill:
12          ▸     modifies the penalties for operating a motor vehicle without proof of security; and
13          ▸     makes technical and conforming changes.
14     Money Appropriated in this Bill:
15          None
16     Other Special Clauses:
17          None
18     Utah Code Sections Affected:
19     AMENDS:
20          41-12a-303.2, as last amended by Laws of Utah 2017, Chapter 416

22     Be it enacted by the Legislature of the state of Utah:
23          Section 1. Section 41-12a-303.2 is amended to read:
24          41-12a-303.2. Evidence of owner's or operator's security to be carried when
25     operating motor vehicle -- Defense -- Penalties.
26          (1) As used in this section:
27          (a) "Division" means the Motor Vehicle Division of the State Tax Commission.
28          (b) "Registration materials" means the evidences of motor vehicle registration,
29     including all registration cards, license plates, temporary permits, and nonresident temporary

30     permits.
31          (2) (a) (i) A person operating a motor vehicle shall:
32          (A) have in the person's immediate possession evidence of owner's or operator's
33     security for the motor vehicle the person is operating; and
34          (B) display it upon demand of a peace officer.
35          (ii) A person is exempt from the requirements of Subsection (2)(a)(i) if the person is
36     operating:
37          (A) a government-owned or leased motor vehicle; or
38          (B) an employer-owned or leased motor vehicle and is driving it with the employer's
39     permission.
40          (iii) A person operating a vehicle that is owned by a rental company, as defined in
41     Section 31A-22-311, may comply with Subsection (2)(a)(i) by having in the person's
42     immediate possession, or displaying, the rental vehicle's rental agreement, as defined in Section
43     31A-22-311.
44          (b) Evidence of owner's or operator's security includes any one of the following:
45          (i) a copy of the operator's valid:
46          (A) insurance policy;
47          (B) insurance policy declaration page;
48          (C) binder notice;
49          (D) renewal notice; or
50          (E) card issued by an insurance company as evidence of insurance;
51          (ii) a certificate of insurance issued under Section 41-12a-402;
52          (iii) a certified copy of a surety bond issued under Section 41-12a-405;
53          (iv) a certificate of the state treasurer issued under Section 41-12a-406;
54          (v) a certificate of self-funded coverage issued under Section 41-12a-407; or
55          (vi) information that the vehicle or driver is insured from the Uninsured Motorist
56     Identification Database Program created under Title 41, Chapter 12a, Part 8, Uninsured
57     Motorist Identification Database Program.

58          (c) A card issued by an insurance company as evidence of owner's or operator's
59     security under Subsection (2)(b)(i)(E) on or after July 1, 2014, may not display the owner's or
60     operator's address on the card.
61          (d) (i) A person may provide to a peace officer evidence of owner's or operator's
62     security described in this Subsection (2) in:
63          (A) a hard copy format; or
64          (B) an electronic format using a mobile electronic device.
65          (ii) If a person provides evidence of owner's or operator's security in an electronic
66     format using a mobile electronic device under this Subsection (2)(d), the peace officer viewing
67     the owner's or operator's security on the mobile electronic device may not view any other
68     content on the mobile electronic device.
69          (iii) Notwithstanding any other provision under this section, a peace officer is not
70     subject to civil liability or criminal penalties under this section if the peace officer inadvertently
71     views content other than the evidence of owner's or operator's security on the mobile electronic
72     device.
73          (e) (i) Evidence of owner's or operator's security from the Uninsured Motorist
74     Identification Database Program described under Subsection (2)(b)(vi) supercedes any
75     evidence of owner's or operator's security described under Subsection (2)(b)(i)(D) or (E).
76          (ii) A peace officer may not cite or arrest a person for a violation of Subsection (2)(a) if
77     the Uninsured Motorist Identification Database Program created under Title 41, Chapter 12a,
78     Part 8, Uninsured Motorist Identification Database Program, information indicates that the
79     vehicle or driver is insured.
80          (3) It is an affirmative defense to a charge or in an administrative action under this
81     section that the person had owner's or operator's security in effect for the vehicle the person
82     was operating at the time of the person's citation or arrest.
83          (4) (a) The following are considered proof of owner's or operator's security for
84     purposes of Subsection (3) and Section 41-12a-804:
85          (i) evidence defined in Subsection (2)(b);

86          (ii) a written statement from an insurance producer or company verifying that the
87     person had the required motor vehicle insurance coverage on the date specified; or
88          (iii) a written statement from an insurance producer or company, or provision in an
89     insurance policy, indicating that the policy provides coverage for a newly purchased car and the
90     coverage extended to the date specified.
91          (b) The court considering a citation issued under this section shall allow the evidence
92     or a written statement under Subsection (4)(a) and a copy of the citation to be faxed or mailed
93     to the clerk of the court to satisfy Subsection (3).
94          (c) The notice under Section 41-12a-804 shall specify that the written statement under
95     Subsection (4)(a) and a copy of the notice shall be faxed or mailed to the designated agent to
96     satisfy the proof of owner's or operator's security required under Section 41-12a-804.
97          [(5) A violation of this section is an infraction, and the fine shall be not less than:]
98          [(a) $400 for a first offense; and]
99          [(b) $1,000 for a second and subsequent offense within three years of a previous
100     conviction or bail forfeiture.]
101          (5) (a) A person who is convicted of violating Subsection (2)(a)(i):
102          (i) is guilty of an infraction for a first offense and subject to a fine of not less than
103     $400; and
104          (ii) is guilty of a class C misdemeanor for each offense subsequent to the first offense
105     that is committed within three years after the day on which the person commits the first offense
106     and subject to a fine of not less than $1,000.
107          (b) A court may waive up to $300 of a fine charged under Subsection (5)(a) if the
108     person demonstrates that the owner's or operator's security required under Section 41-12a-301
109     was obtained after the violation but before sentencing.
110          (6) Upon receiving notification from a court of a conviction for a violation of this
111     section, the department:
112          (a) shall suspend the person's driver license; and
113          (b) may not renew the person's driver license or issue a driver license to the person

114     until the person gives the department proof of owner's or operator's security.
115          (i) This proof of owner's or operator's security shall be given by any of the ways
116     required under Section 41-12a-401.
117          (ii) This proof of owner's or operator's security shall be maintained with the department
118     for a three-year period.
119          (iii) An insurer that provides a certificate of insurance as provided under Section
120     41-12a-402 or 41-12a-403 may not terminate the insurance policy unless notice of termination
121     is filed with the department no later than 10 days after termination as required under Section
122     41-12a-404.
123          (iv) If a person who has canceled the certificate of insurance applies for a license
124     within three years from the date proof of owner's or operator's security was originally required,
125     the department shall refuse the application unless the person reestablishes proof of owner's or
126     operator's security and maintains the proof for the remainder of the three-year period.