39 :5H-12 Insurance company, option to exclude coverage under certain circumstances.

39 :5H-12  Insurance company, option to exclude coverage under certain circumstances.

   12. a. Notwithstanding the "Motor Vehicle Security-Responsibility Law," P.L.1952, c.173 (C.39:6-23 et seq.) and P.L.1972, c.197 (C.39:6B-1 et seq.), an insurance company duly licensed to transact business under the insurance laws of this State may exclude any and all coverage afforded under a private passenger automobile insurance policy issued to an owner or operator of a personal vehicle for any loss or injury that occurs while the personal vehicle is being used by a transportation network company driver and the driver is logged on to a transportation network company's digital network or is providing a prearranged ride.  This right to exclude all coverage may apply to any coverage included in a private passenger automobile insurance policy including, but not limited to:

   (1)   liability coverage for bodily injury and property damage;

   (2)   personal injury protection coverage;

   (3)   uninsured and underinsured motorist coverage;

   (4)   medical payments coverage;

   (5)   comprehensive physical damage coverage; and

   (6)   collision physical damage coverage.

   Nothing in this section shall imply or require that a private passenger automobile insurance policy provide coverage while the driver is logged on to a transportation network company's digital network, is providing a prearranged ride, or is otherwise using a vehicle to transport riders for compensation.

   Nothing in this section shall be construed to require an insurer to use any particular policy language or reference to this section in order to exclude any and all coverage for any loss or injury that occurs while a driver is logged on to a transportation network company's digital network or while a driver is providing a prearranged ride.

   Nothing in this section shall be deemed to preclude an insurer from providing primary or excess coverage by contract or endorsement for the transportation network company driver's personal vehicle while the transportation network company driver is logged on to a digital network or while the driver is providing a prearranged ride.

   b.   An insurance company duly licensed to transact business under the insurance laws of this State that excludes coverage pursuant to subsection a. of this section shall have no duty to defend or indemnify any claim expressly excluded thereunder.  Nothing in this section shall be deemed to invalidate or limit an exclusion contained in a policy, including any policy in use or approved for use in the State prior to enactment of P.L.2017, c.26 (C.39:5H-1 et seq.), that excludes coverage for vehicles used to carry persons or property for a charge or available for hire by the public.  An automobile insurance company that defends or indemnifies a claim against a driver that is excluded under the terms of its policy shall have a right of contribution against other insurers that provide automobile liability insurance to the same driver in satisfaction of the coverage required pursuant to subsections b. and c. of section 10 of P.L.2017, c.26 (C.39:5H-10) at the time of loss.

   c.   In a claims coverage investigation, transportation network companies shall immediately provide upon request by directly involved parties or any insurer of the transportation network company driver, if applicable, the precise times that a transportation network company driver logged on and off of the transportation network company's digital network in the 12-hour periods immediately preceding and immediately following the accident.  Any insurer providing coverage under subsections b. and c. of section 10 of P.L.2017, c.26 (C.39:5H-10) shall disclose, upon request by any other insurer involved in the particular claim, the applicable coverage, exclusions, and limits provided under any automobile insurance maintained under section 10 of P.L.2017, c.26 (C.39:5H-10).

   L.2017, c.26, s.12.