§ 84.1-2-11. Insurance requirements; self-insurance requirements.

(a)

Except as otherwise provided by Subsection (d) or (e) of this Section, no taxicab certificates will be issued or continued in effect unless there is in full force and effect a public liability automobile insurance policy for each authorized taxicab in the amount of at least $100,000.00 for bodily injury or death to any person, and in the amount of at least $300,000.00 for injuries or death to more than one person sustained in the same accident, and in the amount of $50,000.00 for property damages resulting from any one accident.

(b)

Such insurance policy will inure to the benefit of any person who may be injured or the estate in the event of death, or to the benefit of any persons sustaining damage to property for which the certificate holder may be liable.

(c)

Evidence of such insurance will be filed with the Director prior to the issuance of any taxicab certificates and will include provisions for notice by the insurance carrier to the Director prior to termination of such coverage. In the case where the certificate holder is not the vehicle owner, the certificate holder is fully responsible for providing evidence of insurance for all authorized taxicabs under his or her company, and for ensuring that all owner-operators maintain adequate insurance according to this Chapter. The certificate holder must notify the Director prior to termination of any owner-operator's insurance coverage. In the event an owner-operator's insurance has lapsed, and the owner-operator incurs a liability from an accident or other circumstance, the certificate holder's insurance must be so written that it will cover such liability up to the coverage levels prescribed in this Chapter.

(d)

If the minimum State automobile insurance requirements exceed the above rates, then the State minimum requirements will automatically apply.

(e)

The requirements of this Section may be met in part by a self-insurance certificate which has been adopted and approved by the Commonwealth of Virginia in accordance with Virginia Code, Section 46.2-368, as amended, and that such self-insurance certificate will be in full force and effect at all times and that evidence of such a policy will be filed with the Director prior to the issuance of any taxicab certificates and will include provision for notice by the Commonwealth of Virginia to the Director prior to termination of such coverage. If the minimum State insurance requirements do not equal or exceed the requirements of this Section, the certificate holder may self-insure up to the amount of $100,000.00 and must carry an umbrella insurance policy against all risks specified above in an amount at least equal to the amounts specified in Subsection (a) above and further provided that the following requirements are met:

(1)

Application for approval to partially meet insurance requirements through self-insurance up to $100,000.00 will be made by the certificate holder or duly authorized agent upon forms provided by the Department. The applicant will provide full answers to all questions on the application, and that information will be submitted under oath. In addition, the applicant must provide:

(A)

Proof that all requirements for self-insurance established by the Virginia Department of Motor Vehicles and the Virginia State Corporation Commission have been met;

(B)

Claims history for the company for the preceding four-year period.

(2)

The certificate holder must file all documents and other materials required by the Virginia Department of Motor Vehicles and the Virginia State Corporation Commission with the Department simultaneously with the filing requirements established by the Virginia Department of Motor Vehicles and Virginia State Corporation Commission.

(3)

The certificate holder must report its claims history and claims procedures as part of the filing required under Section 84.1-5-2. The report will be ordered and undertaken at the company's expense.

(4)

If at any time it should appear that the certificate holder no longer meets the criteria required for approval as a self-insurer as set forth herein or fails to file any required documents, the certificate holder will be given written notice identifying the failure of criteria or filing default. The written notice will stipulate a reasonable date and time by which the certificate holder must furnish evidence, satisfactory to the Director, that the approval criteria are again met or the default cured. Failure to timely respond to the notice, failure to meet approval criteria or failure to cure a default will result in revocation of the right to self-insure. Nothing in this Subsection will preclude the suspension of a certificate holder's taxicab certificate(s) pursuant to Section 84.1-2-12(a)(4) for failure to maintain adequate insurance during the time a certificate holder fails to meet the criteria for approval as a self-insurer.

(4-00-84.1; 56-08-84.1; 39-16-84.1.)

(4-00-84.1; 56-08-84.1; 39-16-84.1.)