Pennsylvania Act 1996-123 — INSURANCE COMPANY LAW OF 1921, THE - AMEND

Act text

Session of 1996

No. 1996-123

SB 80

AN ACT

Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An act relating to insurance; amending, revising, and consolidating the law providing for the incorporation of insurance companies, and the regulation, supervision, and protection of home and foreign insurance companies, Lloyds associations, reciprocal and inter-insurance exchanges, and fire insurance rating bureaus, and the regulation and supervision of insurance carried by such companies, associations, and exchanges, including insurance carried by the State Workmen's Insurance Fund; providing penalties; and repealing existing laws," requiring insurance companies to notify the Department of Transportation upon the lapse or cancellation of liability insurance held by an official vehicle inspection station.

The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

Section 1. The act of May 17, 1921 (P.L.682, No.284), known as The Insurance Company Law of 1921, is amended by adding a section to read:

Section 216. Reports of Policy Cancellation to Department of Transportation.--(a) An insurer shall notify the Department of Transportation of the cancellation, lapse, rescission or nonrenewal of any policy of liability insurance or any bond held by or on behalf of an official vehicle inspection station in this Commonwealth in accordance with 75 Pa.C.S. § 4722 (relating to certificate of appointment). An official vehicle inspection station is, for purposes of this section, a commercial garage or similar facility certified by the Department of Transportation to conduct inspections of motor vehicles in accordance with 75 Pa.C.S. Ch. 47 (relating to inspection of vehicles).

(b) For purposes of compliance with this section, insurers shall include language on appropriate applications or renewals for applicants or insureds to indicate whether or not they are official vehicle inspection stations.

(c) This section shall not apply to "Commonwealth inspection stations" or "fleet inspection stations" as defined in regulations promulgated by the Department of Transportation.

Section 2. This act shall take effect in 90 days.

APPROVED--The 16th day of October, A. D. 1996.

THOMAS J. RIDGE