SB-1322, As Passed House, December 13, 2012

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 1322

 

 

September 25, 2012, Introduced by Senator HUNE and referred to the Committee on Insurance.

 

 

 

     A bill to amend 1982 PA 432, entitled

 

"Motor bus transportation act,"

 

by amending section 9 (MCL 474.109), as amended by 1996 PA 432.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 9. (1) In determining the fitness, willingness, and

 

ability of an applicant for a certificate of authority to provide

 

transportation service, the department shall consider all of the

 

following before the issuance of issuing the original certificate

 

of authority:

 

     (a) The applicant's safety record.

 

     (b) The character and condition of each motor bus is such that

 

and whether it may be operated safely upon the public highways

 


based on an inspection conducted by the department required

 

pursuant to under section 16.

 

     (c) The applicant's financial ability to provide continuous

 

insurance coverage as required by subsection (2) or (3) and to have

 

adequate financial resources in order to pay for damage claims

 

against the applicant.

 

     (2) An applicant shall acquire the following liability

 

insurance coverage of liability for acts or omissions of the

 

applicant as a motor carrier of passengers:

 

     (a) Bodily injury and property damage liability insurance with

 

a minimum combined single limit of $5,000,000.00 for all persons

 

injured or for property damage.

 

     (b) Personal protection insurance and property protection

 

insurance as required by sections 3101 to 3179 chapter 31 of the

 

insurance code of 1956, Act No. 218 of the Public Acts of 1956,

 

being sections 500.3101 to 500.3179 of the Michigan Compiled Laws

 

1956 PA 218, MCL 500.3101 to 500.3119. A motor common carrier of

 

passengers shall maintain the insurance described in this

 

subsection as a condition of maintaining a certificate of authority

 

issued under this act.

 

     (3) The insurance requirements of subsection (2) are waived if

 

the applicant qualifies for and obtains a certificate of self-

 

insurance from the secretary of state commissioner of the office of

 

financial and insurance regulation under section 531 3101d of the

 

Michigan vehicle code, Act No. 300 of the Public Acts of 1949,

 

being section 257.531 of the Michigan Compiled Laws insurance code

 

of 1956, 1956 PA 218, MCL 500.3101d.

 


     (4) An applicant that does not satisfy subsection (1) and

 

either subsection (2) or subsection (3) shall not be issued a

 

certificate of authority to provide transportation service under

 

this act.

 

     Enacting section 1. This amendatory act takes effect January

 

1, 2013.