BILL NUMBER: AB 861	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Fong

                        FEBRUARY 21, 2013

   An act to amend Section 16480 of the Vehicle Code, relating to
motor vehicles.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 861, as introduced, Fong. Motor vehicles: proof of financial
responsibility.
   Existing law requires all drivers and all owners of a motor
vehicle, at all times, to be able to establish financial
responsibility and carry in the vehicle evidence of the form of
financial responsibility in effect for the vehicle, including, but
not limited to, self-insurance, a liability policy or bond, and cash
deposit. The Department of Motor Vehicles is required to suspend the
driving privilege of the driver or the owner of a vehicle that is
involved in an accident, as specified, who fails to provide evidence
of financial responsibility. Existing law provides various means of
producing proof of financial responsibility and ability to respond to
damages involving motor vehicle accidents, including, the written
certificate of an insurance carrier that has issued a motor vehicle
liability policy, a bond payable on motion of the state, or a cash
deposit with the department, as specified. Existing law provides for
the release of the proof of financial responsibility from the
department upon the occurrence of specified events, including that
the person is no longer required to maintain the proof, or the death
of the person on whose behalf the proof was filed.
   This bill would make technical, nonsubstantive changes to these
provisions governing release of the proof of financial
responsibility.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 16480 of the Vehicle Code is amended to read:
   16480.  (a) The department shall upon request, or may at its own
discretion, cancel any bond or any certificate of insurance, or the
department shall direct the return to the person entitled thereto of
any money or securities deposited  pursuant to this code
 as proof of financial responsibility, or the department
shall waive the requirement of filing proof of financial
responsibility  in   upon any of the
following events:
   (1)  When the   The    person
is no longer required to maintain the proof under  the
provisions of  this code.
   (2) At any time after three years from the date the proof was
required.
   (3)  Upon the   The  death of the person
on whose behalf the proof was filed.
   (4) The permanent incapacity of the person to operate a motor
vehicle if the person surrenders for cancellation his or her driver's
license to the department.
   (b) The department shall not release proof filed by the bond of
individual sureties as set forth in Section 16434, or if given in the
manner prescribed by Section 16435, if any action for damages upon a
liability referred to in this code is then pending  ,  or
if any judgment upon any  the  liability is
outstanding and unsatisfied. An affidavit of the applicant of the
nonexistence of those facts shall be prima facie evidence thereof.