Section 32.2. Insurance forms and procedures

(a) Forms for certificates of insurance and others. Endorsements for policies of insurance and surety bonds, certificates of insurance, applications to qualify as a self-insurer, or for approval of other securities or agreements, and notices of cancellation shall be in the form prescribed and approved by the Commission.

(b) Surety bonds and certificates in effect continuously. Surety bonds and certificates of insurance shall specify that coverage will remain in effect continuously until terminated, except under one of the following:

(1) When filed expressly to fill prior gaps or lapses in coverage or to cover grants of emergency temporary authority of unusually short duration and the filing clearly so indicates.

(2) Urgent circumstances, when special permission is obtained from the Commission.

(c) Filing and copies. An original of each certificate of insurance, surety bond and notice of cancellation shall be filed with the Commission. An approved copy will be returned to sender if a self-addressed, stamped envelope is enclosed with the filing.

(d) Name of insured. Certificates of insurance and surety bonds shall be issued in the full and correct name of the individual, partnership, corporation or other party to whom the certificate, permit or license is, or is to be issued. In the case of a partnership, all partners shall be named.

(e) Cancellation notice. Except as provided in subsection (f), surety bonds, certificates of insurance and other securities or agreements may not be cancelled or withdrawn until after 30 days’ notice in writing has been issued by the insurance company, surety, motor carrier, broker or other party, to the Commission at its office in Harrisburg, Pennsylvania. The period of 30 days begins from the date the notice is actually received at the office of the Commission.

(f) Termination by replacement. Certificates of insurance of surety bonds which have been accepted by the Commission under this chapter may be replaced by other certificates of insurance, surety bonds or other security, and the liability of the retiring insurer or surety under the certificates of insurance or surety bonds shall be considered as having terminated as of the effective date of the replacement certificate of insurance, surety bond or other security, if the replacement certificate, bond or other security is acceptable to the Commission under this chapter.

(g) Refusal to accept, or revocation by the Commission of surety bonds. The Commission may refuse to accept or may revoke its acceptance of a surety bond, certificate of insurance or other securities or agreements if, in its judgment, the security does not comply with this chapter or fails to provide satisfactory or adequate protection for the public. Revocation of acceptance of a certificate of insurance, surety bond or other security does not relieve the motor carrier from compliance with this chapter.

(h) Compliance. Failure to maintain evidence of insurance on file with the Commission in accordance with this chapter shall cause the immediate suspension of the rights and privileges conferred by a certificate of public convenience or permit held by the motor carrier. The Commission may establish rules under which suspended rights and privileges may be temporarily reinstated pending compliance with this chapter.

The provisions of this § 32.2 adopted July 31, 1987, effective August 1, 1987, 17 Pa.B. 3217; corrected November 20, 1987, effective August 1, 1987, 17 Pa.B. 4726; amended January 10, 2014, effective January 11, 2014, 44 Pa.B. 249. Immediately preceding text appears at serial pages (220187) to (220188) and (337327).

Notation

Authority

The provisions of this § 32.2 issued under the Public Utility Code, 66 Pa.C.S. § § 501, 512 and 1103(d); amended under the Public Utility Code, 66 Pa.C.S § § 501, 504, 523, 1301, 1501 and 1504.