House Bill 53

AN ACT TO PROVIDE THAT WHEN AN INSURANCE COMPANY MAKES PAYMENT OF A TOTAL LOSS CLAIM ON A MOTOR VEHICLE, THE INSURANCE COMPANY ALSO SHALL INCLUDE PAYMENT FOR AN AMOUNT EQUAL TO THE APPLICABLE SALES OR USE TAX RATE LEVIED ON THE SALE OF SUCH A MOTOR VEHICLE APPLIED TO THE VALUE OF THE MOTOR VEHICLE USED BY THE INSURANCE COMPANY FOR THE PURPOSES OF DETERMINING THE CLAIM; TO PROVIDE THAT SUCH A TOTAL LOSS PAYMENT ALSO SHALL INCLUDE PAYMENT FOR ANY LICENSE OR REGISTRATION FEES PAID BY AN INSURED WHEN HE ACQUIRED THE MOTOR VEHICLE; AND FOR RELATED PURPOSES.

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

SECTION 1. When an insurance company makes payment of a total loss claim resulting from collision, fire, flood or other cause on a motor vehicle, the insurance company also shall include payment for an amount equal to the amount produced by multiplying the applicable sales or use tax rate levied on the sale of such a motor vehicle times the value of the motor vehicle used by the insurance company for the purposes of determining the claim. A total loss claim payment also shall include payment for any license or registration fees paid by an insured when he acquired the motor vehicle.

SECTION 2. This act shall take effect and be in force from and after July 1, 2010.