Rhode Island House Bill H7336

Rhode Island 2026 Regular Session

• Introduced: 1/28/26
• Refer: 1/28/26

Caption

Adds property damage to statutory underinsured motor coverage, rather than just uninsured motorist coverage, as it is presently.

Impact

The proposed change will require that all auto insurance policies in the state provide this expanded coverage, specifically stating that property damage caused by uninsured or underinsured motorists will now be addressed similarly to bodily injury claims. This will fundamentally alter the landscape of auto insurance in Rhode Island, as policyholders will gain additional options to protect their property. Insurance companies will have to adapt their policies and possibly adjust premiums to account for this broader coverage, potentially resulting in varied rates for consumers across the state. Furthermore, this could influence driving behavior, as the knowledge of greater insurance protection may increase compliance with minimum insurance requirements.

Summary

House Bill 7336 proposes to amend the current statutory framework governing uninsured motorist coverage in Rhode Island. Traditionally, the law has only addressed liability for bodily injury and death, but this bill expands the coverage to include property damage caused by uninsured and underinsured motorists. The change is significant as it seeks to protect insured drivers against damages incurred by accidents involving drivers who either lack adequate insurance or have no insurance at all, thus broadening the scope and protection offered under existing liability insurance policies. This amendment is designed to enhance the rights of motor vehicle owners and residents, making the roads safer by ensuring that there's a recovery mechanism for property damage as well as personal injury claims.

Contention

While proponents argue that expanding these protections is necessary to safeguard consumers against the financial fallout from accidents with uninsured vehicles, there could be opposition concerning the added costs to insurance premiums and the implications for insurance companies. Critics might argue that the increased coverage will lead to higher prices across the board for all drivers, potentially making insurance less affordable especially for those who are already facing economic constraints. Additionally, the ability for insured individuals to claim damages directly from their insurers without first pursuing claims against the uninsured party could create tensions regarding the accountability of uninsured motorists in accident scenarios.