ARIZONA HOUSE OF REPRESENTATIVES

57th Legislature, 2nd Regular Session

Majority Research Staff

 

☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal Note


HB4088: commercial motor vehicle; liability insurance

Sponsor: Representative Lopez, LD 16

Committee on Commerce

Overview

Mandates motor carriers transporting agricultural commodities to maintain a liability policy sufficient to cover emergency towing and recovery services.

History

Statute prescribes financial responsibility requirements which mandate individuals operating motor vehicles in furtherance of a commercial enterprise maintain combined single limit liability insurance based on the vehicles declared gross weight. For vehicles transporting nonhazardous property, the insurance minimum for vehicles weighting between 20,001 and 26,000 pounds is $300,000 and for vehicles weighing more than 26,000 pounds is $750,000 (A.R.S. § 28-4033).

Motor carrier is a person who operates or causes to be operated a commercial motor vehicle on a public highway. Commercial motor vehicle as a motor vehicle designed, used or maintained to transport passengers or property in the furtherance of a commercial enterprise on Arizona highways, including a vehicle that has either a gross weight of 26,001 or more pounds and that is used for intrastate commerce (A.R.S. § 28-5201).

Provisions

1.   Requires motor carriers transporting agricultural commodities on Arizona highways for intrastate commerce to maintain a liability policy that is sufficient to cover emergency towing and recovery services. (Sec. 1)

2.   Specifies the liability policy must be satisfied by cargo insurance coverage applicable to the agricultural commodity being transported or a surety bond or other approved financial security. (Sec.1)

3.   Stipulates any unpaid amount owed to an operator for providing emergency towing and recovery services to a commercial motor vehicle towing agricultural commodities is a lien on the commercial motor vehicle and agricultural commodity of the motor carrier. (Sec. 1)

4.   Allows the towing or recovery operator to perfect the lien against the commercial motor vehicle owner by recording a notice of the lien in the Office of the Secretary of State. (Sec. 1)

5.   Instructs the towing or recovery operator to issue a lien release, upon satisfaction, to the owner of the commercial motor vehicle and record the release in the Office of the Secretary of State. (Sec. 1)

6.   Exempts the following from the liability policy requirements:

a.   farm-to-field operations;

b.   private hauling or self-hauling by a farmer or rancher; and

c. a noncommercial or passenger vehicle. (Sec. 1)

7.   Defines agricultural commodity and emergency towing and recovery services. (Sec. 1)

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11.  Initials PB                       HB 4088

12.  2/11/2026  Page 0 Commerce

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