§ 26.1-40-17 — Establishment of primary and excess automobile liability coverages in certain instances

certain instances.
When an automobile insurance policy which includes only automobile liability coverage,
uninsured motorist coverage, underinsured motorist coverage, automobile medical payments
coverage, and basic or optional excess no-fault benefits is in force for anyone engaged in the
business of selling, repairing, servicing, storing, leasing, renting, or parking motor vehicles and
the owner of the vehicles loans, rents, or leases a vehicle to any other person or organization
and the vehicle is involved in an accident out of which bodily injury or property damage arises,
the following is applicable:
1. If no other automobile insurance policy is in force at the time of the accident for the
person or organization to whom the vehicle was loaned, rented, or leased, the
coverage provided by the motor vehicle owner's automobile policy extends to the
borrower, rentee, or lessee in the event the owner's automobile insurance policy
extends coverage to the borrower, rentee, or lessee.
2. If another automobile insurance policy is in force for the person or organization to
whom the vehicle was loaned, rented, or leased, any coverage provided by the motor
vehicle owner's automobile insurance policy is excess coverage only but limited,
however, by the terms of the owner's applicable automobile insurance policy. The
policy afforded the person or organization to whom the vehicle was loaned, rented, or
leased is primary.
Any policy provisions at variance with this section must be interpreted so as to comply with this
section.