72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 394
 
                         House Bill 2018
 
Sponsored by Representatives KROPF, SCHAUFLER; Representatives
  FLORES, GARRARD, MABREY, ROSENBAUM, P SMITH, Senators FERRIOLI,
  GEORGE, MORRISETTE, C STARR (at the request of Chiropractic
  Association of Oregon)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Prohibits insurers offering motor vehicle liability policies
from entering into or renewing any contract that provides, or has
the effect of providing, managed care services to beneficiaries.
 
                        A BILL FOR AN ACT
Relating to personal injury protection benefits; creating new
  provisions; and amending ORS 742.520 and 742.532.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + Section 2 of this 2003 Act is added to and made
a part of ORS 742.520 to 742.542. + }
  SECTION 2.  { + As used in ORS 742.520 to 742.542:
  (1) 'Managed care services' means any system of health payment
or delivery arrangements that attempts to control or coordinate
use of health care services in order to contain health care
expenditures or improve quality of health care services, or both.
  (2) 'Motor vehicle' means a self-propelled land motor vehicle
or trailer, other than:
  (a) A farm type tractor or other self-propelled equipment
designed for use principally off public roads, while not upon
public roads;
  (b) A vehicle operated on rails or crawler-treads; or
  (c) A vehicle located for use as a residence or premises.
  (3) 'Motorcycle' and 'moped' have the meanings given those
terms in ORS 801.345 and 801.365.
  (4) 'Occupying' means in, or upon, or entering into or
alighting from.
  (5) 'Pedestrian' means a person while not occupying a
self-propelled vehicle other than a wheelchair or a similar
low-powered motorized or mechanically propelled vehicle that is
designed specifically for use by a physically disabled person and
that is determined to be medically necessary for the occupant of
the wheelchair or other low-powered vehicle.
  (6) 'Personal injury protection benefits' means the benefits
described in ORS 742.520 to 742.542.
  (7) 'Private passenger motor vehicle' means a four-wheel
passenger or station wagon type motor vehicle not used as a
public or livery conveyance, and includes any other four-wheel
motor vehicle of the utility, pickup body, sedan delivery or
panel truck type not used for wholesale or retail delivery other
than farming, a self-propelled mobile home, and a farm truck. + }
  SECTION 3. ORS 742.520 is amended to read:
  742.520. (1) Every motor vehicle liability policy issued for
delivery in this state that covers any private passenger motor
vehicle shall provide personal injury protection benefits to the
person insured thereunder, members of that person's family
residing in the same household, children not related to the
insured by blood, marriage or adoption who are residing in the
same household as the insured and being reared as the insured's
own, passengers occupying the insured motor vehicle and
pedestrians struck by the insured motor vehicle.   { -  '
Personal injury protection benefits' means the benefits described
in this section and ORS 742.524 and 742.530. - }
  (2) Personal injury protection benefits apply to a person's
injury or death resulting:
  (a) In the case of the person insured under the policy and
members of that person's family residing in the same household,
from the use, occupancy or maintenance of any motor vehicle,
except the following vehicles:
  (A) A motor vehicle, including a motorcycle or moped, that is
owned or furnished or available for regular use by any of such
persons and that is not described in the policy;
  (B) A motorcycle or moped which is not owned by any of such
persons, but this exclusion applies only when the injury or death
results from such person's operating or riding upon the
motorcycle or moped; and
  (C) A motor vehicle not included in subparagraph (A) or (B) of
this paragraph and not a private passenger motor vehicle.
However, this exclusion applies only when the injury or death
results from such person's operating or occupying the motor
vehicle.
  (b) In the case of a passenger occupying or a pedestrian struck
by the insured motor vehicle, from the use, occupancy or
maintenance of the vehicle.
  (3) Personal injury protection benefits consist of payments for
expenses, loss of income and loss of essential services as
provided in ORS 742.524.
  (4) An insurer shall pay all personal injury protection
benefits promptly after proof of loss has been submitted to the
insurer.
  (5) The potential existence of a cause of action in tort does
not relieve an insurer from the duty to pay personal injury
protection benefits.
  (6) Disputes between insurers and beneficiaries about the
amount of personal injury protection benefits, or about the
denial of personal injury protection benefits, shall be decided
by arbitration if mutually agreed to at the time of the dispute.
   { +  (7) An insurer may not enter into or renew any contract
that provides, or has the effect of providing, managed care
services to beneficiaries. + }
    { - (7) As used in ORS 742.520 to 742.542: - }
    { - (a) 'Motor vehicle' means a self-propelled land motor
vehicle or trailer, other than: - }
    { - (A) A farm type tractor or other self-propelled equipment
designed for use principally off public roads, while not upon
public roads; - }
    { - (B) A vehicle operated on rails or crawler-treads; or - }
 
    { - (C) A vehicle located for use as a residence or
premises. - }
    { - (b) 'Motorcycle' and 'moped' have the meanings given
those terms in ORS 801.345 and 801.365. - }
    { - (c) 'Occupying' means in, or upon, or entering into or
alighting from. - }
 
    { - (d) 'Pedestrian' means a person while not occupying a
self-propelled vehicle other than a wheelchair or a similar
low-powered motorized or mechanically propelled vehicle that is
designed specifically for use by a physically disabled person and
that is determined to be medically necessary for the occupant of
the wheelchair or other low-powered vehicle. - }
    { - (e) 'Private passenger motor vehicle' means a four-wheel
passenger or station wagon type motor vehicle not used as a
public or livery conveyance, and includes any other four-wheel
motor vehicle of the utility, pickup body, sedan delivery or
panel truck type not used for wholesale or retail delivery other
than farming, a self-propelled mobile home, and a farm truck. - }
 
  SECTION 4. ORS 742.532 is amended to read:
  742.532. Nothing in ORS 742.520 to 742.542 is intended to
prevent an insurer from providing more favorable benefits than
the personal injury protection benefits   { - described in ORS
742.520, 742.524 and 742.530 - }  { +  defined in section 2 of
this 2003 Act + }.
  SECTION 5.  { + The amendments to ORS 742.520 and 742.532 by
sections 3 and 4 of this 2003 Act apply to motor vehicle
liability policies providing personal injury protection benefits
issued or renewed on or after the effective date of the 2003
Act. + }
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