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1 New Section; Motor Vehicle Insurance Premium Discounts for Annual Safety Inspections. Amend RSA 412 by inserting after section 16 the following new section:
412:16-a Motor Vehicle Insurance Premium Discounts for Annual Safety Inspections.
I. Each insurer writing motor vehicle insurance in this state shall include in its rating manual and file with the insurance department provisions for premium discounts on liability, collision, and comprehensive coverage, specifically relating to motor vehicles that pass an annual safety inspection pursuant to RSA 266 and 263. The annual inspection shall verify major safety features including but not limited to headlights, taillights, tires, steering, and brakes. Insurers may also consider additional shop recommendations, provided these are not required for passing inspection, and actuarial justification for rate filings shall be based on demonstrable reduction in claims for vehicles meeting inspection standards.
II. The insurer shall verify that the inspection has been performed and meets state guidelines before applying any discount.
III. The insurer shall not penalize a policyholder who chooses not to undergo annual inspection or whose vehicle fails inspection and does not claim the discount; no surcharge or penalty shall apply for non-participation.
IV. Premium discounts shall not specify a mandated percentage but shall be actuarially justified and filed with the insurance department as part of the insurer's required rate manual submission.
V. Nothing in this section shall require policyholders to obtain inspections for insurance purposes beyond those mandated by state law.
2 Effective Date. This act shall take effect January 1, 2027.
Text to be added highlighted in green.
1 New Section; Motor Vehicle Insurance Premium Discounts for Annual Safety Inspections. Amend RSA 412 by inserting after section 16 the following new section:
412:16-a Motor Vehicle Insurance Premium Discounts for Annual Safety Inspections.
I. Each insurer writing motor vehicle insurance in this state shall include in its rating manual and file with the insurance department provisions for premium discounts on liability, collision, and comprehensive coverage, specifically relating to motor vehicles that pass an annual safety inspection pursuant to RSA 266 and 263. The annual inspection shall verify major safety features including but not limited to headlights, taillights, tires, steering, and brakes. Insurers may also consider additional shop recommendations, provided these are not required for passing inspection, and actuarial justification for rate filings shall be based on demonstrable reduction in claims for vehicles meeting inspection standards.
II. The insurer shall verify that the inspection has been performed and meets state guidelines before applying any discount.
III. The insurer shall not penalize a policyholder who chooses not to undergo annual inspection or whose vehicle fails inspection and does not claim the discount; no surcharge or penalty shall apply for non-participation.
IV. Premium discounts shall not specify a mandated percentage but shall be actuarially justified and filed with the insurance department as part of the insurer's required rate manual submission.
V. Nothing in this section shall require policyholders to obtain inspections for insurance purposes beyond those mandated by state law.
2 Effective Date. This act shall take effect January 1, 2027.