Bill
LB 444
The bill requires certificated intrastate motor carriers to carry a minimum of $1,000,000 UM/UIM coverage per vehicle occupant and maintain proof of insurance or security.
LB 444 — Summary
Purpose and scope
- LB 444 would raise and codify the required minimum uninsured and underinsured motorist (UM/UIM) coverage for certain intrastate motor carriers. Specifically, the bill sets a minimum of $1,000,000 UM/UIM coverage per vehicle occupant for designated carriers and activities.
- The measure targets certificated intrastate motor carriers (including common and contract carriers), motor carriers transporting household goods under licenses issued under 75-304.03, and motor carriers transporting employees of a railroad carrier under licenses issued under 75-304.04.
- The bill does not apply to transportation network companies.
Key provisions
- Amends Section 75-307, Revised Statutes Cumulative Supplement, 2024, to require the above UM/UIM coverage minimum.
- Requires the Nebraska Public Service Commission (the commission) to establish and enforce filing, approval, and maintenance requirements for proof of insurance or other securities (such as surety bonds or self-insurance) at the carrier’s principal place of business.
- Carriers must maintain sufficient evidence of insurance or other security to cover final judgments tied to bodily injury or property damage arising from the carrier’s operations under its license.
- The commission may classify motor carriers based on the hazards of their operations and the value of goods transported, for purposes of applying these requirements.
- Subrogation: carriers that are required to compensate shippers or consignees may be subrogated to the shipper’s rights to the extent of payment under the bond or insurance.
- Note: The bill’s language clarifies that, for purposes of these provisions, the coverage applies to the listed categories, positioning UM/UIM as a driver/occupant-level protection.
Affected entities
- Certificated intrastate motor carriers (common and contract) with intrastate licenses.
- Carriers transporting household goods under licenses under 75-304.03.
- Carriers transporting employees of a railroad carrier under licenses under 75-304.04.
- Shippers, consignees, and potentially insured parties (passengers/household goods customers) as beneficiaries of the coverage; and the carriers themselves who must secure and maintain the protections.
Procedural/timeline details
- Introduced: January 21, 2025, by Senator George Dungan.
- Committee: Transportation and Telecommunications.
- Referred to the committee on January 23, 2025.
- Notice of hearing: March 3, 2025.
- The bill repeals the original Section 75-307 and replaces it with the amended framework.
Impact and considerations
- Anticipated effect: higher insurance costs for affected motor carriers due to the $1,000,000 per-occupant UM/UIM requirement, with stronger protection for injured vehicle occupants and affected shippers/consignees.
- Enhanced financial protection for victims in auto-related incidents involving carrier operations within Nebraska.
- Administrative burden on carriers to file and maintain proof of coverage and related security at principal places of business.
Sponsor
- Primary: Senator George Dungan; Chair: Senator Mike Moser (Committee: Transportation and Telecommunications).
Compiled from official sources — confirm details with the bill’s official record.
Sign in to ask a question.
