House Bill 1691c1

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    Florida House of Representatives - 1998             CS/HB 1691

        By the Committee on Transportation and Representatives
    Flanagan, Thrasher, Bainter, Melvin, Burroughs, Dockery, Lynn,
    Turnbull and Bitner




  1                      A bill to be entitled

  2         An act relating to limits on liability for

  3         motor vehicles; creating s. 768.092, F.S.;

  4         limiting liability for certain damages arising

  5         from motor vehicle accidents; requiring renters

  6         with foreign driver licenses to purchase

  7         certain liability insurance from the motor

  8         vehicle rental business; amending s. 627.7263,

  9         F.S.; modifying language required in rental and

10         lease agreements regarding insurance coverage;

11         providing for a required notice; providing for

12         severability; providing an effective date.

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14  Be It Enacted by the Legislature of the State of Florida:

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16         Section 1.  Section 768.092, Florida Statutes, is

17  created to read:

18         768.092  Limits on liability for motor vehicles.--

19         (1)  As used in this section, the term:

20         (a)  "Motor vehicle" means all vehicles defined in s.

21  320.01.

22         (b)  "Motor vehicle owner" means any person,

23  corporation, or other entity which owns or leases a motor

24  vehicle and lends, leases, or rents such motor vehicle to

25  another.

26         (c)  "Collateral sources" shall have the same meaning

27  as that term is defined in s. 768.76(2)(a)2., 3., and 4.

28         (d)  "Secondary" means coming after and not in addition

29  to any valid and collectible liability insurance, personal

30  injury protection insurance, or other insurance coverages

31  otherwise available.

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  1         (2)  Notwithstanding any other provision of law, a

  2  motor vehicle owner:

  3         (a)  Shall not be liable for noneconomic damages

  4  arising from an accident involving said motor vehicle to any

  5  person for the actions of a person renting or operating the

  6  motor vehicle without a showing of negligence or intentional

  7  misconduct on the part of the motor vehicle owner or, if such

  8  owner is a business, its employees.

  9         (b)  Shall be liable for economic damages arising from

10  an accident involving said motor vehicle to any person for the

11  actions of a person renting or operating the motor vehicle

12  only up to $100,000 per person and up to $300,000 per accident

13  for bodily injury and up to $50,000 for property damage

14  without a showing of negligence or intentional misconduct on

15  the part of the motor vehicle owner or, if such owner is a

16  business, its employees.

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18  All damages payable under this section by a motor vehicle

19  owner shall be secondary, and shall be reduced by the total of

20  all amounts which have been paid for the benefit of the

21  claimant, or which are otherwise available to the claimant,

22  from all collateral sources.  Nothing in this subsection shall

23  affect the rights and responsibilities of a motor vehicle

24  lessee under s. 627.7263.

25         (3)  Nothing in this section shall affect the liability

26  of long term lessors under s. 324.021(9)(b).

27         (4)  Notwithstanding any provision to the contrary in

28  s. 626.321, a motor vehicle rental business shall require that

29  renters with drivers' licenses issued by foreign countries

30  shall purchase motor vehicle liability insurance coverage from

31  the motor vehicle rental business in the amount of $200,000

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    Florida House of Representatives - 1998             CS/HB 1691

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  1  per person, up to $500,000 per accident for bodily injury, and

  2  $50,000 for property damage.  Any such coverage shall be

  3  deducted from the limits of liability established for motor

  4  vehicle owners for any claims under this section.

  5         Section 2.  Subsection (2) of section 627.7263, Florida

  6  Statutes, is amended to read:

  7         627.7263  Rental and leasing driver's insurance to be

  8  primary; exception.--

  9         (Substantial rewording of subsection (2).  See

10         s. 627.7263(2), F.S., for present text.)

11         (2)  If the lessee's coverage is to be primary, the

12  rental or lease agreement must contain the following language,

13  in at least 10-point type:

14              "The valid and collectible liability

15         insurance and personal injury protection

16         insurance of any authorized rental driver or

17         leasing driver is primary for the limits of

18         liability and personal injury protection

19         coverage required by ss. 324.021(7) and

20         627.736, Florida Statutes.

21              In no event will the (name) motor vehicle

22         rental business be obligated to defend or

23         indemnify you if you cause an accident.

24              Further, if you or any driver of the

25         rental vehicle cause an accident which damages

26         property or injures others resulting in damages

27         in an amount in excess of your own insurance

28         coverage limits, you may be held liable to the

29         (name) motor vehicle rental business for any

30         sums it is caused to expend for damages, costs,

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    Florida House of Representatives - 1998             CS/HB 1691

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  1         and attorney's fees as a result of your having

  2         caused an accident."

  3         Section 3.  If any provision of this act or the

  4  application thereof to any person or circumstance is held

  5  invalid, the invalidity shall not affect other provisions or

  6  applications of the act which can be given effect without the

  7  invalid provision of this act are declared severable.

  8         Section 4.  This act shall take effect upon becoming a

  9  law.

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