HB1036
To Modify The Insurance Requirements Of A Scooter-share Operator Under The Electric Motorized Scooter Act.
Last Action (Dec. 15, 2022): WITHDRAWN BY AUTHOR
Sponsors
AI-Generated Summary
House Bill 1036 proposes to amend the existing insurance requirements for scooter-share operators under the Arkansas Electric Motorized Scooter Act. The bill significantly reduces the mandatory liability insurance coverage limits for these operators. Specifically, it lowers the required commercial general liability insurance from $1 million to $250,000 per occurrence and reduces the aggregate limit from $5 million to $250,000. Additionally, the bill lowers the requirements for umbrella or excess liability coverage to $250,000 per occurrence and $250,000 in the aggregate, down from $5 million for both. The bill maintains the existing requirement that operators carry workers' compensation coverage as mandated by law.
Potential Impact Analysis
Who Might Benefit?
The primary beneficiaries are scooter-share operators and companies, as the bill significantly lowers their operational costs by reducing mandatory insurance coverage requirements. This change could make it more financially feasible for these companies to enter or continue operating in Arkansas markets.
Who Might Suffer?
The primary groups negatively impacted are the general public, including pedestrians and scooter users, who might have less financial recourse in the event of an accident or injury caused by a shared scooter. By lowering the aggregate and per-occurrence liability limits, the bill reduces the total pool of insurance funds available to compensate victims in the event of large-scale or multiple incidents involving a scooter-share operator's fleet.
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