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CSSB 68(L&C): "An Act requiring motor vehicle insurers to provide to the commissioner of administration vehicle insurance policy information to allow the commissioner to verify whether mandatory motor vehicle insurance has been obtained and limiting access to the information; requiring proof of mandatory insurance coverage when a person applies for or renews motor vehicle registration; and allowing the additional penalties of vehicle impoundment and forfeiture for failure to have mandatory motor vehicle insurance."

00                       CS FOR SENATE BILL NO. 68(L&C)                                                                    
01 "An Act requiring motor vehicle insurers to provide to the commissioner of                                              
02 administration vehicle insurance policy information to allow the commissioner to verify                                 
03 whether mandatory motor vehicle insurance has been obtained and limiting access to                                      
04 the information; requiring proof of mandatory insurance coverage when a person                                          
05 applies for or renews motor vehicle registration; and allowing the additional penalties of                              
06 vehicle impoundment and forfeiture for failure to have mandatory motor vehicle                                          
07 insurance."                                                                                                             
08 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
09    * Section 1. AS 21.89.020 is amended by adding a new subsection to read:                                           
10            (j)  An insurer licensed to issue motor vehicle liability insurance shall provide                            
11       to the commissioner of administration or to a person designated by the commissioner                               
12       information that allows the commissioner to verify that a person has the mandatory                                
13       insurance required under AS 28.22.011.                                                                            
01    * Sec. 2. AS 28.01.015(a) is amended to read:                                                                      
02            (a)  Notwithstanding other provisions in this title, a municipality may adopt an                             
03       ordinance providing for the impoundment or forfeiture of a                                                        
04                 (1)  motor vehicle, watercraft, or aircraft involved in the commission of                               
05       an offense under AS 28.35.030, 28.35.032, or an ordinance with elements substantially                             
06       similar to AS 28.35.030 or 28.35.032;                                                                             
07                 (2)  motor vehicle involved in the commission of an offense under                                       
08       AS 28.15.291 or an ordinance with elements similar to AS 28.15.291;                                               
09                 (3)  motor vehicle used by a person whose license is suspended under                                    
10       AS 28.22.041; [OR]                                                                                                
11                 (4)  motor vehicle used by a person who fails to carry proof of                                         
12       insurance as required under AS 28.22.019; or                                                                  
13                 (5)  motor vehicle for failure to have mandatory motor vehicle                                      
14       insurance under AS 28.22.011.                                                                                 
15    * Sec. 3. AS 28.10.021(a) is amended to read:                                                                      
16            (a)  The owner of a vehicle subject to registration shall apply for registration                             
17       under this chapter by properly completing the form prescribed by the commissioner                                 
18       under AS 28.05.041. Before the issuance of a certificate of registration by the                                   
19       department, the owner shall                                                                                       
20                 (1)  pay all registration fees and taxes required under this chapter and                                
21       federal heavy vehicle use taxes required under 26 U.S.C. 4481 (Internal Revenue Code                              
22       of 1954);                                                                                                         
23                 (2)  unless the owner qualifies as a self-insurer under AS 28.20.400 or                                 
24       is exempted from obtaining liability insurance under AS 28.22.011, certify to the                                 
25       department the existence of a motor vehicle liability policy that complies with                                   
26       AS 28.22.011 for the vehicle being registered; in this paragraph, "certify" means to                              
27       provide proof, in a [INDICATE BY CHECK-OFF ON THE VEHICLE                                                     
28       REGISTRATION] form prescribed by the department, of the existence of a policy of                              
29       insurance that complies with AS 28.22.011, [IF A POLICY IS REQUIRED AT                                        
30       THAT TIME,] and the intention to continue the policy [OR OBTAIN A POLICY AS                                       
31       REQUIRED BY THIS SUBSECTION]; and                                                                                 
01                 (3)  comply with other applicable statutes and regulations.                                             
02    * Sec. 4. AS 28.10.111(a) is amended to read:                                                                      
03            (a)  Application for the renewal of vehicle registration shall be made by                                    
04       completing the proper form, providing proof, in a form prescribed by the                                      
05       department, of the existence of a policy of insurance that complies with                                      
06       AS 28.22.011 and the intention to continue the policy, and paying any required fee                            
07       and tax.                                                                                                          
08    * Sec. 5. AS 28.22 is amended by adding a new section to read:                                                     
09            Sec. 28.22.035. Mandatory motor vehicle insurance verification. (a) The                                    
10       department shall develop methods by which the department, a peace officer, court                                  
11       personnel, and other persons with a need for the information, as determined by the                                
12       commissioner, may verify that an insurance policy complying with AS 28.22.011 has                                 
13       been issued.                                                                                                      
14            (b)  The commissioner shall adopt regulations establishing methods for                                       
15       determining whether a person has effective mandatory motor vehicle insurance,                                     
16       including the use of an online, worldwide web-based system or service.                                            
17            (c)  Information available to the department under this section is not a public                              
18       record for purposes of AS 40.25.110 - 40.25.140 and shall be available only to the                                
19       department, peace officers, court personnel, and other persons with a need for the                                
20       information, as determined by the commissioner.                                                                   
21    * Sec. 6. AS 28.22 is amended by adding a new section to read:                                                     
22            Sec. 28.22.042. Uninsured vehicle impoundment. In addition to the penalty                                  
23       set out in AS 09.65.320, AS 28.22.041, AS 28.90.010, or other penalty, a motor                                    
24       vehicle without the insurance required by AS 28.22.011 that is driven, moved, or                                  
25       parked on a highway or vehicular way or area may be impounded by a peace officer or                               
26       an employee of the Department of Public Safety officially designated for that purpose.                            
27       The impounded motor vehicle shall be considered abandoned and disposed of under                                   
28       AS 28.11. The motor vehicle may be redeemed from impoundment if                                                   
29                 (1)  the insurance required by AS 28.22.011 has been obtained;                                          
30                 (2)  proof of insurance by a method set out in AS 28.22.031 is provided                                 
31       to the department; and                                                                                            
01                 (3)  the costs of impounding and storing the vehicle have been paid.