House Bill 520

AN ACT TO PROVIDE THAT CERTAIN NONCOMPLIANT MOTORISTS FOR AUTOMOBILE LIABILITY INSURANCE WAIVE A CAUSE OF ACTION, AND OTHERWISE MAY NOT COLLECT, FOR ECONOMIC OR NONECONOMIC LOSS AGAINST A PERSON WHO IS IN COMPLIANCE WITH THE MISSISSIPPI MOTOR VEHICLE SAFETY-RESPONSIBILITY LAW DUE TO A MOTOR VEHICLE ACCIDENT IN WHICH THE DRIVER COMPLIANT FOR AUTOMOBILE LIABILITY INSURANCE IS ALLEGED TO BE AT FAULT; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) A noncompliant motorist for automobile liability insurance as provided in the Mississippi Motor Vehicle Safety-Responsibility Law waives and is thus without a cause of action, and otherwise may not collect, for economic or noneconomic loss resulting from a motor vehicle accident from or against a person or entity that is in compliance with the Mississippi Motor Vehicle Safety-Responsibility Law and is alleged to be at fault. For purposes of this section, the term "noncompliant motorist for automobile liability insurance as provided in the Mississippi Motor Vehicle Safety-Responsibility Law" shall include uninsured drivers, uninsured permissive drivers and uninsured nonpermissive drivers.

Such waiver shall not apply if it is proven that the accident was caused, in whole or in part, by a compliant insured tort-feasor motorist who was operating the involved motor vehicle under the influence of drugs or alcohol, or who has been convicted of manslaughter, or simple or aggravated assault arising out of the motor vehicle accident.

(2) The provisions of this section shall not apply to a noncompliant motorist whose immediately previous insurance policy meeting the requirements of the Mississippi Motor Vehicle Safety-Responsibility Law was terminated or nonrenewed for failure to pay the premium, unless notice of termination or nonrenewal for failure to pay such premium was provided by such insurer at least six (6) months prior to the time of the accident.

(3) In an action against a person who is in compliance with the Mississippi Motor Vehicle Safety-Responsibility Law by a person deemed to have waived recovery under subsection (1) of this section:

(a) Any award in favor of such person shall be reduced by an amount equal to the portion of the award representing compensation for economic and noneconomic losses; and

(b) The trier of fact shall not be informed, directly or indirectly, of such waiver or of its effect on the total amount of such person's recovery.

(4) Nothing in this section shall be construed to preclude recovery against an alleged tort-feasor for economic loss.

(5) Only passengers in the uninsured motor vehicle who knew or should have known that he or she was a passenger of a noncompliant motorist for automobile liability insurance as provided in the Mississippi Motor Vehicle Safety-Responsibility Law are subject to such recovery limitation.

SECTION 2. This act shall take effect and be in force from and after July 1, 2023.