Section 105.10. Insurance and bond requirements.

 

(1)  A driver school shall do all of the following:

(a) Hold minimum insurance of not less than $500,000 because of bodily injury to or death of one person in any one accident and, subject to that limit for one person, to a limit of not less than $500,000 because of bodily injury to or death of 2 or more persons in any one accident and, if the accident has resulted in injury to or destruction of property, to a limit of not less than $50,000 because of injury to or destruction of property of others in any one accident.

(b) Adjust the insurance amounts under par. (a) every 5 years by multiplying the requirement amounts by the percentage increase of the consumer price index from January 1, 2007 to January 1 of the next fifth year [2012, 2017] and adding that amount to the amounts in par. (a) rounded to the nearest $10,000 increment.

(c) Maintain a standard liability insurance of not less than $500,000.

(d) File certification of insurance with the department.

(e) Require the insurance carrier to notify the department not less than 30 days before the policy expires or is materially changed or canceled.

(2)  The schools shall file a bond or acceptable alternative based on size and performance. The size of the school and points assessed during the last previous license period shall be used to calculate the bond amount.

CALCULATIONS - See PDF for table

(3)  Customer shall apply to bond company if obligations of the training contract cannot be met.

(4)  Points are assessed based on violation frequency and severity. Points are assessed based on the system specified in s. Trans 105.11 .

(5)  Certification of the bond must be filed with the department at renewal of the school license.

CR 06-089 : cr. Register December 2006 No. 612 , eff. 1-1-07.