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Alaska State Senator John Cowdery Information

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Phone: (907)
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PFD Ineligibility/Motor Vehicle Insurance
Sponsor Statement for SB 58
Alaska State Legislature
Alaska State Legislature
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Updated:
February 5, 2003
Crystal Moore
465-3879 (Jan-May)
269-0222 (June-Dec)






"A first offense brings a one-year suspension of the PFD."
- Sen. Cowdery

 

"An act relating to permanent fund dividend program notice requirements and to the ineligibility … of certain persons sentenced for crimes involving mandatory motor vehicle liability insurance."

Each year hundreds of Alaskans fall victim to uninsured drivers.

State law is clear: drivers must maintain a minimum amount of liability insurance in order to operate a motor vehicle. The purpose of SB 58 is to add a conviction for driving without proper insurance to the list of conditions that make a person ineligible for a permanent fund dividend.

A first offense brings a one-year suspension of the PFD.

A second offense brings a five-year suspension of the PFD.

This means the dividend cannot be used to offset fines or debts. Instead, the offender is simply ineligible for the dividend, which leaves the dividend amount in the overall pot to be equally distributed among eligible Alaskans.

Because a permanent fund dividend is not a right, but a privilege, these penalties fall above and beyond all other penalties currently provided for by law.

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