N.J. Admin. Code § 11:3-13.5

Current through Register Vol. 56, No. 23, December 2, 2024

Section 11:3-13.5 - Named excluded driver

(a) For purposes of this subchapter, a "named excluded driver" means a driver who is specifically identified in the endorsement as a person who is excluded from physical damage coverage for specified automobile(s) and whose operation of a specified automobile(s) covered under the policy at the time of an accident would result in the denial of a physical damage claim for that automobile(s) made by the named insured or any loss payee. For the purpose of this section, physical damage coverage means both collision and comprehensive coverages (also referred to as "other than collision" coverage), or comprehensive coverage if purchased on a stand-alone basis.

(b) The premium charged for the physical damage coverage on the specified automobile(s) to which the named excluded driver endorsement applies shall not reflect the claim experience or driving record or rating classification of the named excluded driver or drivers.

(c) The named excluded driver endorsement shall be made available by personal private passenger automobile insurers to their insureds. Election of a named excluded driver endorsement shall be in writing and signed by a named insured in accordance with the subchapter Appendix incorporated herein by reference. The named excluded driver endorsement shall continue in force for the specified automobile(s) on subsequent renewal or replacement policies unless:

1. The specified automobile(s) is removed from the policy;

2. A new automobile replaces the specified automobile(s) on the policy; or

3. The insurer or its authorized representative receives a written request signed by a named insured electing to discontinue the endorsement.

(d) The request to exclude or reinstate a named driver shall become effective in the following manner:

1. For new policies, the request shall become effective on the date of issuance;

2. For mid-term policy changes, the request shall be effective the day following the date of postmark or, when personal delivery is made or if the postmark is illegible, the day following the receipt by the insurer or insurance producer of the signed Request To Exclude Named Driver form or request to reinstate the excluded driver;

3. For changes upon renewal, the changes shall be effective on the date of the next policy renewal if postmarked or received by the insurer or by an insurance producer prior to the renewal date.

(e) The named excluded driver(s) and vehicle(s) shall be listed on the declaration page or on a supplemental declaration page.

(f) Notwithstanding any other provision of the law to the contrary, no person, including, but not limited to, an insurer or an insurance producer, shall be liable in an action for damages on account of the election of the named excluded driver endorsement.

N.J. Admin. Code § 11:3-13.5

New Rule, R.1998 d.594, effective 12/21/1998.
See: 30 New Jersey Register 2567(a), 30 New Jersey Register 4446(a).
Amended by R.2001 d.44, effective 2/5/2001.
See: 32 New Jersey Register 3891(a), 33 New Jersey Register 573(a).
Deleted former (e); and recodified former (f) and (g) as (e) and (f).