Bill
HB 5487
WV HB 5487 allows insured drivers to elect optional UM/UIM limits, with disclosures and an affirmative election process.
HB 5487 (West Virginia, Session 2026)
Relating to optional limits of uninsured and underinsured motor vehicle coverage
Overview
HB 5487 proposes to allow insured drivers in West Virginia to elect optional limits for uninsured and underinsured motorist (UM/UIM) coverage, rather than being required to accept the default or standard limits set by current law. The bill appears to establish a framework for choosing higher or lower UM/UIM coverage limits, subject to specified procedures and disclosures.
Purpose and intent
- Provide insured individuals with greater flexibility to tailor UM/UIM coverage to their needs and financial risk tolerance.
- Encourage more explicit selection of UM/UIM limits, potentially improving consumer understanding and reducing disputes over coverage amounts.
Key provisions (as described in bill summary and legislative history)
- Optional UM/UIM limits: The bill would permit an insured to elect UM and/or UIM coverage limits that differ from the standard or default limits currently required or offered by insurers.
- Election process: The bill would specify how an insured may elect these optional limits. This typically involves written disclosure, a clear notice of the available limits, and an affirmative election by the policyholder.
- Disclosures and notices: Insurers would likely be required to provide clear, conspicuous disclosures about the nature of UM/UIM coverage, the purpose of the limits, differences between UM and UIM coverage, and the financial implications of higher or lower elected limits.
- Effective dates: The bill would establish when the optional limits election takes effect (e.g., for new policies, or both new and renewing policies, with a specified transition period).
- Relationship to existing coverage: The bill would clarify how optional UM/UIM limits interact with other coverages on the policy (e.g., primary vs. supplemental coverage, stacking rules if applicable).
- Non-discrimination and compliance: Provisions to ensure insurers comply with the election process and that there is no improper steering or misrepresentation of coverage options.
Who would be affected
- Policyholders: Individuals who purchase auto insurance and choose to elect optional UM/UIM limits.
- Insurance insurers and producers: Companies issuing auto policies and agents/brokers who would implement the election process, disclosures, and administrative changes.
- Courts and regulatory bodies: Agencies responsible for overseeing compliance with insurance contract terms and consumer disclosures.
Procedural and timeline aspects
- Introduction and consideration: The bill was introduced in February 2026 and referred to the House committees (Banking and Insurance, and Finance) for review.
- Potential enactment timeline: If advanced, the bill would progress through committee hearings, potential amendments, and floor votes before moving to the Senate (if applicable) and signing by the governor. Typical timelines depend on legislative schedules and committee calendars.
- Transition: The bill would likely include a timeline for implementation (e.g., effective date for optional limits, and any phased-in requirements for existing policies).
Notes and cautions
- The available text provided is partially garbled and does not include the full statutory language or numerical limits. The summary above reflects common features of bills authorizing optional UM/UIM limits. For precise details (e.g., specific limits, fee implications, penalties for noncompliance, and transition rules), the final bill text and fiscal notes should be consulted.
- If you need, I can draft a section-by-section outline once the formal bill language is available, including hypothetical sample election forms and consumer disclosure language tailored to West Virginia law.
Compiled from official sources — confirm details with the bill’s official record.
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