The Nevada Senate voted Tuesday, April 22 to narrowly approve a bad bill that would soon double the minimum liability insurance requirement for Nevada truckers.
State law requires $750,000 minimum liability insurance for affected truck drivers.
The Senate voted 11-10 to advance to the Assembly a bill that would increase the liability insurance minimum for Nevada-based truck drivers to $1 million the first of the year. Additional increases to $1.25 million and $1.5 million would occur in January 2028 and January 2030.
Trucking groups sharp in criticism
During a recent Senate committee hearing, Nevada Trucking Association President Paul Enos told lawmakers SB180 is a bad bill.
In prepared remarks, Enos said that while the intent may be to enhance financial responsibility, “the data and practical implications reveal this measure to be an arbitrary and burdensome overreach that will harm Nevada’s small businesses and trucking industry without clear justification.”
He said a better option would be to leave any changes in liability requirements for commercial vehicles up to Congress.
The Owner-Operator Independent Drivers Association also voiced staunch opposition to SB180.
In a recent Call to Action to Nevada members, OOIDA said any increase in minimum insurance requirements is wholly unnecessary, would do nothing to improve highway safety, would needlessly jeopardize countless blue-collar jobs and would destroy more small and family-owned businesses.
Trucking groups aren’t the only ones to communicate concern about the bill. The American Property Casualty Insurance Association also opposes it.
Statehouse opposition
Sen. Ira Hansen, R-Sparks, led opposition to the bill in the Senate.
He cited the excessive insurance amount that insurance companies do not cover and the competitive disadvantage it would create for Nevada-based trucking companies.
“In practice, SB180 would require truckers to get two separate policies to get to $1.5 million,” Hansen said during recent discussion on the bill.
He pointed out in committee and on the Senate floor that the federal government requires half that amount – $750,000.
“We’re forcing Nevada companies to pay insurance none of their competitors are required to pay,” Hansen said Tuesday, April 22. “To force this kind of coverage on Nevada-based companies is wrong. It’s unfair. Let’s protect Nevada businesses.”
In the end, the bill passed by one vote. SB180 next moves to the Assembly.
OOIDA President Todd Spencer said what the bill amounts to is very straightforward.
“This is nothing but bad news. It is certainly bad news for truckers in Nevada and elsewhere,” Spencer said. “We need to redouble our effort in the Assembly to make sure lawmakers know this is ill-advised.” LL
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