Kentucky Gov. Steve Beshear recently signed legislation directing the state’s transportation department to develop and implement standards to authorize the operation of low speed electric vehicles on Kentucky highways.
Sharon P. Clark, Kentucky’s Insurance Commissioner, said these types of vehicles must be insured as motor vehicles if they are to be used on public roadways in Kentucky.
“We expect most of these vehicles will be owned and operated by individuals and insured under personal auto policies,” Clark said.
Clark issued a “reminder” to insurers that all personal auto rates, supplementary rating information as well as forms must be filed with her department.
“Insurers who elect to offer coverage to these vehicles will need to submit their filings,” Clark said. “Insurers who elect not to offer coverage to such vehicles should review their policy provisions and file appropriate revisions as well.”
The insurance which must be provided or made available to these vehicles is the same as all other motor vehicles (except motorcycles), Clark said. State law requires at least $25,000 bodily injury per person, $50,000 bodily injury per accident, $10,000 property damage, or $60,000 combined single limit and $10,000 basic reparation benefits per person per accident, she added.
The new law (KRS 304.20-040) states no automobile or motor vehicle insurance liability policy can be issued without uninsured motorist coverage unless this coverage is rejected in writing by the insured. The law also requires underinsured motorist coverage be made available.
Individuals cannot reject the limitations on their tort rights only for these vehicles. The only carve-out for no-fault rejections is for motorcycles, Clark said.
The Commissioner said proof of coverage cards must be provided to the insured. These cards should comply with state law and coverage for these vehicles should be included in the required electronic reports to the Transportation Cabinet pursuant to the Kentucky Automobile Liability Insurance Reporting Guide, Clark added.
Clark said any questions should be directed to Robin Coombs, assistant director, Property & Casualty Division. Coombs can be reached at (502) 564-3630 ext. 4294 or Robin.Coombs@ky.gov.
Source: Kentucky Office of Insurance
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