Arkansas Bill Would Prevent Claim Denial for Damage by Stolen Vehicle

A bill to be considered by the Arkansas Senate today would prevent auto insurers from denying a claim for damage caused by a stolen vehicle even if “a valid police report of the theft of vehicle has not been filed.”

Senate Bill 889 states that if “a claim is filed under a motor vehicle liability insurance policy for damages caused by a stolen motor vehicle insured under the policy, the insurer cannot deny the claim based on the fact that the insured motor vehicle is stolen if a valid police report of the theft of the insured motor vehicle has not been filed.”

The bill, sponsored by Sen. Alan Clark of Lonsdale, is scheduled to be heard by the Senate Committee on Insurance and Commerce.

Topics Auto Fraud