LRB-0135/1
EVM:jld
2017 - 2018 LEGISLATURE
February 13, 2017 - Introduced by Representatives Sanfelippo, Spiros,
Brandtjen, Jacque, Kremer, Kuglitsch, Mursau, Ott, Skowronski,
Thiesfeldt, Tusler and Weatherston, cosponsored by Senators Kapenga,
Craig, Marklein, Moulton and Testin. Referred to Committee on Insurance.
AB67,1,9 1An Act to repeal 344.62 (2), 344.64, 344.65 (1) (b) and 344.65 (2); to renumber
2and amend
344.25 and 344.65 (1) (a); to amend 165.755 (1) (b), 302.46 (1) (a),
3344.25 (title), 344.26 (1) (a), 344.26 (1) (b) (intro.), 344.26 (1) (b) 1., 344.62 (1),
4344.65 (1) (c), 757.05 (1) (a), 814.63 (1) (c), 814.63 (2), 814.65 (1), 814.85 (1) (a)
5and 814.86 (1); to repeal and recreate 344.26 (title); and to create 343.21 (1)
6(jg), 344.25 (2m), 344.26 (1) (am), 344.65 (1) (a) 2., 344.65 (1) (a) 3. and 344.65
7(1) (a) 4. of the statutes; relating to: penalties for violations related to the
8motor vehicle liability insurance requirement, proof of financial responsibility,
9making an appropriation, and providing a penalty.
Analysis by the Legislative Reference Bureau
This bill changes certain penalties and requirements related to operating a
motor vehicle without sufficient liability insurance.
Current law prohibits, with certain exceptions, a person from operating a motor
vehicle on a highway unless the vehicle owner or operator has in effect a sufficient
motor vehicle liability insurance policy with respect to the motor vehicle. Any person
who violates this requirement may be required to forfeit not more than $500.
Current law also prohibits a person from operating a motor vehicle on a highway

unless the person has in his or her immediate possession proof that he or she is in
compliance with the insurance requirement.
Under this bill, persons who are operating a motor vehicle on certain
nonhighway areas, including certain parking areas, are also required to have in
effect insurance with respect to the motor vehicle.
This bill repeals the requirement that a person have in his or her immediate
possession proof of compliance with insurance requirements. However, under this
bill, a traffic officer must cite a person for operating without insurance if the traffic
officer does not know that the person is in compliance with the insurance
requirements and the person does not have in his or her immediate possession proof
of compliance. A person, though, may not be convicted of operating without
insurance if the person produces proof that he or she was in compliance with the
insurance requirements at the time he or she was issued a citation for a violation.
This bill also alters the penalties for operating without insurance. Under this
bill, a person who violates the requirement that the owner or operator of a motor
vehicle be insured is subject to the following penalties:
1. A forfeiture of $100 for a first offense.
2. A forfeiture of not less than $250 nor more than $750 for a second or
subsequent offense occurring within three years.
3. If the person, in the course of a second or subsequent violation, causes great
bodily harm to another, a forfeiture of not less than $250 nor more than $2,500.
4. If the person, in the course of violation, causes the death of another, a
forfeiture of not less than $500 nor more than $7,500.
This bill also provides that, for a first offense, if a person obtains sufficient
motor vehicle liability insurance before the person's appearance in court, the court
may not impose a penalty.
This bill also eliminates the exemption of operating without insurance offenses
from certain surcharges and fees that generally must be paid by persons who violate
traffic laws.
Currently, if the Department of Transportation receives a certified copy of a
judgment for damages of $500 or more arising out of a motor vehicle accident, DOT
must, with certain exceptions, immediately suspend the operating privilege and all
registrations of the person against whom the judgment was rendered unless the
person can provide proof of financial responsibility. Proof of financial responsibility
may be given by filing certification of coverage under a motor vehicle liability
insurance policy with minimum limits for any single accident of $25,000 for bodily
injury to or death of one person, $50,000 for bodily injury to or death of more than
one person, and $10,000 for property damage. Alternatively, proof of financial
responsibility may be furnished by depositing with DOT $60,000 in cash or certain
securities with a market value of $60,000. DOT must then hold the deposit of cash
or securities to satisfy any judgment against the person making the deposit for
damages resulting from the ownership, maintenance, use, or operation of a motor
vehicle, including damages for bodily injury, death, or property damage.
Under this bill, if DOT receives a record of conviction for operating a motor
vehicle on a highway without having in effect a motor vehicle liability insurance

policy with respect to the vehicle, DOT must suspend the person's operating privilege
and all registrations of the person unless the person can provide proof of financial
responsibility. The proof of financial responsibility requirement remains in effect for
one year for a first offense and for two years for a second or subsequent offense from
the date of conviction.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB67,1 1Section 1. 165.755 (1) (b) of the statutes is amended to read:
AB67,3,62 165.755 (1) (b) A court may not impose the crime laboratories and drug law
3enforcement surcharge under par. (a) for a violation of s. 101.123 (2) or (2m), for a
4financial responsibility violation under s. 344.62 (2),
or for a violation of a state law
5or municipal or county ordinance involving a nonmoving traffic violation, a violation
6under s. 343.51 (1m) (b), or a safety belt use violation under s. 347.48 (2m).
AB67,2 7Section 2. 302.46 (1) (a) of the statutes is amended to read:
AB67,3,178 302.46 (1) (a) If a court imposes a fine or forfeiture for a violation of state law
9or for a violation of a municipal or county ordinance except for a violation of s. 101.123
10(2) or (2m), for a financial responsibility violation under s. 344.62 (2), or for a violation
11of state laws or municipal or county ordinances involving nonmoving traffic
12violations, violations under s. 343.51 (1m) (b), or safety belt use violations under s.
13347.48 (2m), the court, in addition, shall impose a jail surcharge under ch. 814 in an
14amount of 1 percent of the fine or forfeiture imposed or $10, whichever is greater.
15If multiple offenses are involved, the court shall determine the jail surcharge on the
16basis of each fine or forfeiture. If a fine or forfeiture is suspended in whole or in part,
17the court shall reduce the jail surcharge in proportion to the suspension.
AB67,3 18Section 3. 343.21 (1) (jg) of the statutes is created to read:
AB67,4,3
1343.21 (1) (jg) In addition to any other fee under this subsection, for
2reinstatement of an operating privilege previously revoked or suspended resulting
3from the conviction of an offense under s. 344.62 (1), $18.
AB67,4 4Section 4. 344.25 (title) of the statutes is amended to read:
AB67,4,6 5344.25 (title) Suspension for nonpayment of judgment or certain
6financial responsibility violations
; exceptions.
AB67,5 7Section 5. 344.25 of the statutes is renumbered 344.25 (1), and 344.25 (1) (f),
8as renumbered, is amended to read:
AB67,4,119 344.25 (1) (f) Notwithstanding sub. (5), subs. (2) and (3) par. (e), pars. (b) and
10(c)
apply to a damage judgment in accordance with s. 344.05 against a resident of this
11state which has been entered by an Indian tribal court in this state.
AB67,6 12Section 6. 344.25 (2m) of the statutes is created to read:
AB67,4,1513 344.25 (2m) The secretary shall suspend a person's operating privilege and all
14registrations of the person upon receiving a record of conviction showing that the
15person has been convicted of an offense under s. 344.62 (1).
AB67,7 16Section 7. 344.26 (title) of the statutes is repealed and recreated to read:
AB67,4,17 17344.26 (title) Term of suspension.
AB67,8 18Section 8. 344.26 (1) (a) of the statutes is amended to read:
AB67,5,219 344.26 (1) (a) Subject to the exceptions stated in ss. 344.25 (2) (1) (b) and 344.27
20(2), any operating privilege or registration suspended or revoked under s. 344.25 (1)
21shall remain suspended or revoked for 5 years from the date of entry of judgment or
22until the judgment is stayed, satisfied, or discharged, whichever is earlier, and,
23unless 3 years have elapsed since the date on which the judgment was stayed,
24satisfied, or discharged or 8 years have elapsed since the date of entry of judgment,
25whichever is earlier, or unless the person is a nonresident, until the person whose

1operating privilege and registration was suspended or revoked furnishes and
2maintains in effect proof of financial responsibility for the future.
AB67,9 3Section 9. 344.26 (1) (am) of the statutes is created to read:
AB67,5,84 344.26 (1) (am) 1. Any operating privilege or registration suspended under s.
5344.25 (2m) for a first offense under s. 344.62 (1) shall remain suspended for one year
6from the date of conviction or until the person whose operating privilege and
7registration was suspended furnishes and maintains in effect proof of financial
8responsibility for the future.
AB67,5,139 2. Any operating privilege or registration suspended under s. 344.25 (2m) for
10a 2nd or subsequent offense under s. 344.62 (1) shall remain suspended for 2 years
11from the date of conviction or until the person whose operating privilege and
12registration was suspended furnishes and maintains in effect proof of financial
13responsibility for the future.
AB67,10 14Section 10. 344.26 (1) (b) (intro.) of the statutes is amended to read:
AB67,5,2015 344.26 (1) (b) (intro.) If suspension of any operating privilege or registration
16under s. 344.25 (1) was terminated before 5 years from the date of entry of judgment
17because an exception under s. 344.25 (2) (1) (b) or 344.27 (2) applied and the
18judgment debtor's operating privilege or registration is subsequently suspended
19under s. 344.25 (2) (1) (b) or 344.27 (3), the operating privilege or registration shall
20remain suspended for all of the following periods:
AB67,11 21Section 11. 344.26 (1) (b) 1. of the statutes is amended to read:
AB67,6,322 344.26 (1) (b) 1. Five years from the date of suspension under s. 344.25 (2) (1)
23(b)
or 344.27 (3) or until the judgment is stayed, satisfied, or discharged, whichever
24is earlier. A suspension period that commences on the date of suspension under s.
25344.25 (2) (1) (b) or 344.27 (3) under this subdivision shall be reduced by the amount

1of time that the judgment debtor's operating privilege or registration was suspended
2under s. 344.25 (1) before one of the exceptions under s. 344.25 (2) (1) (b) or 344.27
3(2) was satisfied.
AB67,12 4Section 12. 344.62 (1) of the statutes is amended to read:
AB67,6,195 344.62 (1) Except as provided in s. 344.63, no person may operate a motor
6vehicle upon a highway or upon premises held out to the public for the use of their
7motor vehicles, premises provided by employers to employees for the use of their
8motor vehicles, or premises provided to tenants of rental housing in buildings of 4 or
9more units for the use of their motor vehicles
in this state unless the owner or
10operator of the vehicle has in effect a motor vehicle liability policy with respect to the
11vehicle being operated. A traffic officer shall cite a person under this subsection if
12the traffic officer does not know that the person is operating his or her motor vehicle
13in compliance with this subsection and the person does not have in his or her
14immediate possession proof of compliance with this subsection. At the time that a
15citation is issued for a violation of this subsection, the law enforcement officer issuing
16the citation shall inform the person to whom the citation is issued that the penalty
17amount may be reduced if the person obtains a motor vehicle liability policy with
18respect to the motor vehicle operated in the violation no later than the time of the
19person's appearance in court.
AB67,13 20Section 13. 344.62 (2) of the statutes is repealed.
AB67,14 21Section 14. 344.64 of the statutes is repealed.
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