07 AM 21
3494
ADOPTED
Senator
Jones of the 10th offered the following amendment:
Amend
SB 276 by inserting on line 6 of page 1, following
"policy;"
the
following:
to
provide that the issuer of a motor vehicle liability policy may not deny
coverage because of noncooperation by the insured;
By
inserting immediately following line 23 of page 2 the
following:
Said chapter is further amended by revising subsection (b) of Code Section 33-7-15, relating to cooperation by insured with insurer in connection with defense of action or threatened action under policy, as follows:
Said chapter is further amended by revising subsection (b) of Code Section 33-7-15, relating to cooperation by insured with insurer in connection with defense of action or threatened action under policy, as follows:
"(b)
Noncompliance by the insured with this required provision or endorsement shall
constitute a breach of the insurance contract which, if prejudicial to the
insurer, shall relieve the insurer of its obligation to defend its insureds
under the policy
and
of
but shall in
no event relieve the insurer of any
liability to pay any judgment or other sum on behalf of its
insureds."
SECTION
3.