Liability and Insurance for Covered Loss from Operation of Shared Vehicle

Utah Code tit. 13, ch. 13-48a, pt. 13-48a-P3

in effect

Utah Code § 13-48a-301 Car-sharing company assumption of liability for a covered loss -- Exception.

13-48a-301. Car-sharing company assumption of liability for a covered loss -- Exception. (1) Except as provided in Subsection (2), a car-sharing program shall assume liability of a shared vehicle owner for bodily injury or property damage to third parties or personal injury protection losses during the car-sharing period in an amount stated in the car-sharing agreement, which amount may not be less than those set forth in Section 31A-22-304. (2) Notwithstanding the definition of car-sharing termination time, the assumption of liability under Subsection (1) does not apply to a shared vehicle owner when: (a) a shared vehicle owner makes an intentional or fraudulent material misrepresentation or omission to the car-sharing program before the car-sharing period in which the loss occurred; or (b) acting in concert with a shared vehicle driver who fails to return the shared vehicle pursuant to the terms of the car-sharing agreement. (3) Notwithstanding the definition of car-sharing termination time, the assumption of liability under Subsection (1) would apply to bodily injury, property damage, or personal injury protection losses by damaged third parties required by Section 31A-22-304. Enacted by Chapter 361, 2023 General Session

Utah Code § 13-48a-302 Motor vehicle liability insurance.

13-48a-302. Motor vehicle liability insurance. (1) A car-sharing program shall ensure that, during each car-sharing period, the shared vehicle owner and the shared vehicle driver are insured under a motor vehicle liability insurance policy that provides coverage in amounts no less than the minimum amounts set forth in Section 31A-22-304, and: (a) recognizes that the shared vehicle insured under the policy is made available and used through a car-sharing program; or (b) does not exclude use of a shared vehicle by a shared vehicle driver. (2) The insurance described in Subsection (1) may be satisfied by motor vehicle liability insurance maintained by: (a) a shared vehicle owner; (b) a shared vehicle driver; (c) a car-sharing program; or (d) a shared vehicle owner, a shared vehicle driver, and a car-sharing program. (3) The insurance described in Subsection (1) that is satisfying the insurance requirement of Subsection (1) shall be primary during each car-sharing period and in the event that a claim occurs in another state with minimum financial responsibility limits higher than those in Section 31A-22-304, during the car-sharing period, the coverage maintained under Subsection (2) shall satisfy the difference in minimum coverage amounts, up to the applicable policy limits. (4) The insurer, insurers, or car-sharing program providing coverage under Subsection (1) or (2) shall assume primary liability for a claim when: (a) a dispute exists as to who was in control of the shared motor vehicle at the time of the loss and the car-sharing program does not have available, did not retain, or fails to provide the information required by Section 13-48a-203; or (b) a dispute exists as to whether the shared vehicle was returned to the alternatively agreed upon location as required under Section 13-48a-101. (5) If insurance maintained by a shared vehicle owner or shared vehicle driver in accordance with Subsection (2) has lapsed or does not provide the required coverage, insurance maintained by the car-sharing program shall provide the coverage required by Subsection (1) beginning with the first dollar of a claim and have the duty to defend the claim except under circumstances set forth in Subsection 13-48a-301(2). (6) Coverage under an automobile insurance policy maintained by the car-sharing program is not dependent on another automobile insurer first denying a claim, nor shall another automobile insurance policy be required to first deny a claim. Enacted by Chapter 361, 2023 General Session

Utah Code § 13-48a-303 Certain abilities of insurance companies preserved.

13-48a-303. Certain abilities of insurance companies preserved. (1) (a) A motor vehicle liability insurance policy may exclude coverage and a duty to defend or indemnify with respect to a claim arising during a motor vehicle's use as a shared vehicle, based on the motor vehicle's use as a shared vehicle. (b) Coverage that may be excluded as provided in Subsection (1) includes coverage for: (i) bodily injury or property damage suffered by a third party; (ii) a claim covered by uninsured motorist coverage described in Section 31A-22-305; (iii) a claim covered by underinsured motorist coverage described in Section 31A-22-305.5; (iv) a claim covered by personal injury protection coverage and benefits described in Section 31A-22-307; (v) a claim for medical payments; (vi) a claim for comprehensive physical damage; and (vii) a claim for collision physical damage. (2) Nothing in this chapter invalidates, limits, or restricts the ability of an insurance company under other applicable law to: (a) underwrite an insurance policy; or (b) cancel or fail to renew an insurance policy. (3) Nothing in this chapter invalidates or limits a provision in a motor vehicle liability insurance policy, including any insurance policy in use or approved for use, that excludes coverage for a motor vehicle made available for rent, sharing, hire, or any business use. Enacted by Chapter 361, 2023 General Session

Utah Code § 13-48a-304 Insurable interest -- Insurance to cover various liabilities -- No liability to maintain certain insurance.

13-48a-304. Insurable interest -- Insurance to cover various liabilities -- No liability to maintain certain insurance. (1) Notwithstanding any other provision of law, a car-sharing program has an insurable interest in a shared vehicle during the car-sharing period. (2) A car-sharing program may own and maintain as the named insured one or more policies of motor vehicle insurance that provide coverage for: (a) a liability assumed by the car-sharing program under a car-sharing agreement; (b) a liability of the shared vehicle owner; (c) a liability of the shared vehicle driver; or (d) damage or loss to a shared vehicle. (3) Nothing in this section requires a car-sharing program to maintain insurance coverage for the car-sharing program's liability under this chapter. Enacted by Chapter 361, 2023 General Session

Utah Code § 13-48a-305 Recovery for claim excluded from insurance policy.

13-48a-305. Recovery for claim excluded from insurance policy. An insurance company that defends or indemnifies a claim against a shared vehicle that is excluded under the terms of the insurance company's policy shall have the right to seek recovery against the motor vehicle insurer of the car-sharing program if the claim is: (1) made against the shared vehicle owner or shared vehicle driver for a loss or injury that occurs during the car-sharing period; and (2) excluded under the terms of the policy of the insurance company that defends or indemnifies the claim. Enacted by Chapter 361, 2023 General Session

Utah Code § 13-48a-306 Exemption from liability based on operation of a car-sharing program or on vehicle ownership.

13-48a-306. Exemption from liability based on operation of a car-sharing program or on vehicle ownership. Consistent with 49 U.S.C. Sec. 30106, a car-sharing program and a shared vehicle owner are exempt from vicarious liability under any state or local law that imposes liability solely based on vehicle ownership. Enacted by Chapter 361, 2023 General Session

Utah Code § 13-48a-307 Driver license requirement and records.

13-48a-307. Driver license requirement and records. (1) A car-sharing program may not enter into a car-sharing agreement with a driver unless the driver who will operate the shared vehicle: (a) holds a driver license issued under the applicable law of this state that authorizes the driver to operate vehicles of the class of the shared vehicle; (b) is a nonresident who: (i) has a driver license issued by the state or country of the driver's residence that authorizes the driver in that state or country to drive vehicles of the class of the shared vehicle; and (ii) is at least the same age as that required of a resident to drive; or (c) otherwise is specifically authorized to drive vehicles of the class of the shared vehicle. (2) A car-sharing program shall keep a record of: (a) the name and address of the shared vehicle driver; (b) the number of the driver license of the shared vehicle driver and each other person, if any, who will operate the shared vehicle; and (c) the place of issuance of the driver license. Enacted by Chapter 361, 2023 General Session

Source: Utah Office of Legislative Research and General Counsel (le.utah.gov)URL: https://le.utah.gov/xcode/Title13/Chapter48A/13-48a-P3.html?v=C13-48a-P3_2023050320230701Fetched: 10/26/2026