Provides motor vehicle insurance premium rate reductions to those who complete a certified driver training course. (SD1)

A BILL FOR AN ACT

SECTION 1. The legislature finds that most people do not continue to receive training after their initial training for a driver's license. However, continuing education in driver training is extremely valuable in refreshing a driver's knowledge of driving safety. Most states already have continuing driver education legislation in place. In these states, insurance premiums have been reduced by ten to twenty per cent.

The purpose of this Act is to authorize the motor vehicle insurers to reduce premium rates for insureds who complete a certified motor vehicle driver training course.

SECTION 2. Chapter 431, article 10C, part II, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§431:10C-   Premium reductions. (a) Any rates, rating schedules, or rating manuals for the liability, personal injury protection, and collision coverages of a motor vehicle insurance policy submitted to or filed with the commissioner may provide for an appropriate reduction in premium rates for those coverages when the principal operator of the covered vehicle is an insured who successfully completes a driver education and behind-the-wheel driver training course certified by the department of transportation under section 286-108.4. Any reduction granted by an insurer shall be presumed appropriate unless credible data demonstrates otherwise.

(b) The premium reduction allowed by this section shall be effective for an insured for a three-year period after successful completion of the certified course under subsection (a), provided that the insurer may require additional conditions to provide and maintain the reduction.

(c) Upon successfully completing the certified course under subsection (a), each person shall be issued a certificate by the program offering the course, which the person may use to qualify for the premium reduction allowed by this section.

(d) This section shall not apply in the event the person is required to attend a driving retraining course pursuant to section 286-128(d).

(e) Each principal operator under this section shall take a certified course every three years to continue to be eligible for the reduction under this section."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.