Bill Text: MI HB4668 | 2015-2016 | 98th Legislature | Engrossed
Bill Title: Insurance; other; waiver of proof of financial responsibility filing requirement for retail licensees; eliminate. Amends sec. 803 of 1998 PA 58 (MCL 436.1803). TIE BAR WITH: HB 4667'15
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2016-05-04 - Assigned Pa 105'16 With Immediate Effect [HB4668 Detail]
Download: Michigan-2015-HB4668-Engrossed.html
HB-4668, As Passed Senate, April 19, 2016
HOUSE BILL No. 4668
June 2, 2015, Introduced by Rep. LaFontaine and referred to the Committee on Insurance.
A bill to amend 1998 PA 58, entitled
"Michigan liquor control code of 1998,"
by amending section 803 (MCL 436.1803).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
803. (1) Except as otherwise provided in subsection (2),
before
Before the renewal or approval and granting of a retail
license, a retail licensee or applicant for a retail license shall
file with the commission proof of financial responsibility
providing security for liability under section 801(3) of not less
than $50,000.00. The proof of financial responsibility may be in
the form of cash, unencumbered securities, a policy or policies of
liquor liability insurance, a constant value bond executed by a
surety company authorized to do business in this state, or
membership in a group self-insurance pool authorized by law that
provides security for liability under section 801.
(2)
If the commissioner of insurance certifies, pursuant to
section
2409b of the insurance code of 1956, 1956 PA 218, MCL
500.2409b,
that liquor liability insurance is not reasonably
available
in this state or is not available at a reasonable
premium,
the commission may waive the requirements of subsection
(1)
with regard to any affected retail licensees and applicants for
a
retail license until the commissioner of insurance certifies that
liquor
liability insurance is reasonably available or is available
at
a reasonable premium, as applicable, to the affected licensees
and
applicants.
(2) (3)
A licensee may furnish proof of
financial
responsibility that exceeds the requirements of this section.
(3) (4)
An insurer under a policy or
policies of liquor
liability
insurance or a surety under such a bond shall not be
named as a defendant in an action brought against the insured or
bonded licensee for liability under section 801. Bankruptcy of the
insured
shall does not discharge an insurer or surety under this
section from liability. Insurance policies and bonds issued for
purposes under this section shall continue from year to year unless
sooner canceled by the insurer.
(4) (5)
An insured retail licensee shall
not cancel any such a
liquor liability insurance policy except upon 30 days' prior
written notice to the commission and unless new proof of financial
responsibility complying with this section is procured by the
retail
licensee and delivered to the commission prior to before the
expiration
of the 30-day period. , the license of that licensee
shall
be revoked.The commission
shall revoke the license of a
retail licensee that violates this subsection.
(5) (6)
This section does not apply to a
special licensee or
applicant for a special license.
(6) (7)
The commission shall promulgate
rules pursuant to
under the administrative procedures act of 1969, 1969 PA 306, MCL
24.201 to 24.328, to implement and enforce this section.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.
Enacting section 2. This amendatory act does not take effect
unless Senate Bill No. ____ or House Bill No. 4667 (request no.
01785'15) of the 98th Legislature is enacted into law.
