Jul 25, 2016

DOBI proposes changes to auto insurance ID cards

The Department of Banking and Insurance has proposed regulations on automobile insurance identification cards, which would allow motor vehicle operators to provide and to display proof of insurance electronically. The proposed amendments also would require insurance companies to issue ID cards to all named insureds; establish formats for permanent insurance ID cards and documents that demonstrate temporary evidence of insurance; provide general guidelines regarding insurance, time restrictions and replacement of insurance ID cards; and provide guidelines for electronic insurance ID cards.

The proposed regulations provide general requirements for all permanent insurance ID cards, which includes both paper and electronic insurance ID cards. Under the proposed regulations, insurers must issue permanent insurance ID cards in paper and/or electronic format for each motor vehicle insured under an insurance policy; issue paper insurance ID cards upon the written or oral request of the insured; and issue replacement permanent insurance ID cards upon: the written or oral request of the insured if the card is lost or destroyed, renewal of the policy, the change of motor vehicle, the acquisition of additional motor vehicles or the assignment of a new policy number.

Whether an ID card is paper or electronic it must display the following information: a heading reading, "State of New Jersey Insurance Identification Card;" the name of the insurer; insurer logos; name and address of the insured; policy number; policy effective and expiration dates; motor vehicle description; insurer code; and the name and address of the insurer or office or agency issuing the insurance ID card. These requirements are all required in the current law for paper insurance ID cards and are applicable equally to electronic insurance ID cards.

The deadline for comments on these regulations, which PIANJ will provide to the DOBI, is Tuesday, Aug. 16, 2016. If you would like to comment on this issue, email PIANJ at govaffairs@pia.org.