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Senate passes bill to require insurers to cover accidents caused by unforeseen medical events, caps liability at policy limits
Summary
After extended questioning about fairness and consumer protection, the Utah Senate passed Senate Bill 129 to require insurers to pay for damages when an insured vehicle causes harm during an unforeseen medical event, with the amendment that liability for the driver is limited to the vehicle's insurance policy limits.
The Utah Senate passed Senate Bill 129 on Feb. 9 after prolonged debate over whether the bill would fairly compensate victims of accidents caused by sudden medical events. The bill, sponsored by Senator Jones, adds a paragraph to existing law to require that insurers pay damages when an insured vehicle causes injury or property damage even if the driver suffered an unforeseen medical problem. An amendment adopted on the floor limits personal liability of the driver to the maximum amount of the vehicle's insurance policy.
"My bill is changing that to put a liability on the driver, but only up to the maximum amount of the insurance on the vehicle," Senator Jones said while explaining the measure. He framed the change as closing a loophole that had allowed some insurers to deny claims when the driver experienced an unforeseeable medical emergency.
Several senators raised concerns about the practical effect of the cap. Senator Wharton asked whether the change simply shifts injured parties into the same position as if the driver were uninsured when policy limits are low. Senator Hilliard and others noted the bill would still allow victims to pursue tort claims if they can prove the driver was negligent (for example, if there were warnings or prior complaints), but that in many cases courts have found unforeseen medical events are not negligence and recovery was limited.
Supporters said the amendment balances consumer protection and insurer exposure: it removes an insurer's ability to avoid payment entirely in these scenarios while capping exposure to policy amounts. Opponents warned victims of catastrophic injury could still be undercompensated if policy limits were low.
The Senate called the question and passed SB 129 as amended. The passage was recorded in the transcript as "22 aye votes, 4 nay votes, 3 being absent." The bill will be transmitted to the House for consideration.
Next steps: SB 129 advances to the House. The transcript indicated the Senate worked with the state insurance department to address policy‑language loopholes referenced during debate.
Direct quotes from the floor are included and attributed to the senators who spoke during the debate.
