OLR Bill Analysis

sHB 5436 (File 878, as amended by House "A" and Senate "A" and "B")*

AN ACT CONCERNING GUIDE OR ASSISTANCE DOGS AND AUTOMOBILE INSURANCE COVERAGE.

SUMMARY:

This bill sets the replacement value of a guide or assistance dog whose death an insured motor vehicle operator causes and specifies that the dog has to have been or be in the training process by a guide or assistance dog training organization that is a member in good standing of a professional association of guide or assistance dog organizations.

The bill requires that, for an uninsured driver and claim settlement purposes under an auto insurance policy's property damage liability provisions, the replacement value is twice the cost to replace the dog with a comparably trained guide or assistance dog. (All dogs are already considered property for purposes of settling property damage claims. )

Under the bill, when the owner attended or was in close proximity to the guide or assistance dog in the case of such an accident, a defendant may not use as a special defense that the dog was roaming at large on public land in violation of the law. By law, dogs must be attended by or under control of their owners at all times. An unattended or uncontrolled (roaming) dog's unauthorized presence on property other than the owner's, including public highways, is prima facie evidence of a violation of the law and an infraction.

The bill also prohibits insurance companies from canceling or refusing to deliver, issue for delivery, renew, amend, or continue a homeowners insurance policy solely because the homeowner owns a dog that (1) has bitten a person or animal or (2) is a specific breed. The bill allows the homeowner to choose the option of excluding liability for the dog from the insurance policy or a rider for it. The bill specifies that (1) the rate of the rider cannot be excessive, inadequate, or unfairly discriminatory (it does not define these terms) and (2) the insurer cannot be held strictly liable if a homeowner elects to exclude liability for the dog from his or her owner's policy.

The bill also makes conforming and technical changes.

*House Amendment “A” eliminates a requirement that a replacement assistance or guide dog be from the same or similar facility from which the dog that died was obtained. It specifies that (1) the dog has to be trained by a training organization in good standing with professional association of guide or assistance dog organizations and (2) the owner's attending or being in close proximity of the dog eliminates the roaming dog violation as a special defense.

*Senate Amendment “A” doubles the replacement value for a guide or assistance dog.

*Senate Amendment “B” (1) prohibits insurance companies from refusing coverage for homeowners of certain dogs, (2) gives homeowners the option to waive liability coverage on such a dog, and (3) holds harmless insurance companies when homeowners waive coverage.

EFFECTIVE DATE: January 1, 2010, except for the provision concerning homeowners' insurance and certain dogs, which is effective October 1, 2009.

COMMITTEE ACTION

Insurance and Real Estate Committee

Joint Favorable Substitute