Expiration of car insurance, vehicle registration may now coincide
Gov. Arnold I. Palacios has signed into law a bill that will provide the option for the motor vehicle liability insurance expiration to be consistent with the vehicle registration expiration.
House Bill 22-3, SD1, which was introduced by Rep. Joseph A. Flores (Ind-Saipan) in February 2021, now becomes Public Law 22-34.
The House of Representatives passed the bill without amendments on first and final reading last Oct. 1, 2021. The Senate passed it with amendments on first and final reading on Dec. 28,2022. The House accepted the Senate amendments and passed the bill on Jan. 5, 2023.
Many motorists in the CNMI possess two or more vehicles. In many cases, the expiration of the vehicle registration is dissimilar from the expiration of the motor vehicle liability insurance.
The bill amends a provision in the Commonwealth Code to provide the option for motorists and allow for them to choose whether they are in favor of paying a one-time fee and changing the renewal registration dates on their other vehicles.
Flores stated in the bill that by amending the provision and giving motorists such an option, it will allow for better harmony between the renewal registration dates of the vehicles and the finances of the registered motorists who are legally registered on more than one vehicle.
Flores said that, by mirroring the two expirations of such necessary requirements in operating a vehicle, all motorists will be protected and covered from any unforeseeable circumstance that may cause serious financial and/or physical strains.
He said it is imperative that the financial and physical being of the motorists is protected at all times, especially while operating a vehicle.