19A NCAC 03J .0402       REGISTRATION: INSURANCE: INSPECTION

(a)  Each vehicle used by the school on the highway shall be titled and registered as required by G.S. 20-52 and bear a current inspection certificate. Each yard vehicle used by the school shall be titled as required by G.S. 20-52.

(b)  Each vehicle used by the school shall be insured by a company licensed to do business in North Carolina against liability in the amount of at least twenty five thousand dollars ($25,000) because of injury to or destruction of property of others in any one accident, fifty thousand dollars ($50,000) because of bodily injury to or death or one person in any one accident, and one hundred thousand dollars ($100,000) because of bodily injury to or death of two or more persons in any one accident. This insurance coverage shall be secured on an annual basis. In the event coverage for any vehicle used for driver instruction or training shall not be renewed, the school shall give written notice to the Division at least 10 days prior to the expiration date of the coverage. A certificate of insurance coverage shall be filed by the insurance underwriter with the Division. Cancellation shall be accomplished upon 15 days prior written notice to the Division by the insurance underwriter.

(c)  Each vehicle used by a school shall be listed and inspected in the manner prescribed in 49 CFR 396. In addition, each vehicle shall be inspected to meet the requirements of Rule .0401 of this Section and approved by a representative of the Division before it is used. Each vehicle shall be inspected and approved by a representative of the Division annually and at any other time.

History Note:        Authority G.S. 20-37.22; 20-51(15)(a); 20-321;

Eff. May 1, 1987;

Amended Eff. August 1, 2002;

Readopted Eff. June 1, 2021.