Nevada § 482C.320 - Program may file bond or make deposit in lieu of insurance coverage; compensation from bond or deposit; refund of deposit

§ 482C.320. Program may file bond or make deposit in lieu of insurance coverage; compensation from bond or deposit; refund of deposit

1. In lieu of insurance coverage to satisfy any liability that accrues to a peer-to-peer

car sharing program for damage that arises from the failure of the peer-to-peer car

sharing program to comply with the provisions of this chapter, a peer-to-peer car

sharing program may: (a) File with the Department a bond of a surety company authorized to transact business

in this State in an amount not less than $5,000 conditioned that the peer-to-peer

car sharing program will comply with the provisions of this chapter in the operation

of the peer-to-peer car sharing program. (b) Deposit with the Department, under such terms as the Director may prescribe, a

like amount of lawful money of the United States or a savings certificate of a bank,

credit union, savings and loan association or savings bank situated in Nevada, which

must state that the amount is unavailable for withdrawal except upon order of the

Director. Interest earned on the amount accrues to the account of the licensee or applicant. 2. The bond must be continuous in form, and the total aggregate liability on the bond

must be limited to the payment of the total amount of the bond. 3. The bond must provide that a shared vehicle owner or shared vehicle driver injured

by the failure of the licensee to provide the disclosures required by NRS 432C.325 or to otherwise comply with the provisions of this chapter may apply to the Director

for compensation from the bond. The Director, for good cause shown and after notice and an opportunity for hearing,

may determine the amount of compensation and the person to whom it is to be paid. The surety shall then make the payment. 4. A deposit made pursuant to paragraph (b) of subsection 1 may be disbursed by the

Director, for good cause shown and after notice and an opportunity for hearing, in

an amount determined by the Director to compensate a shared vehicle owner or shared

vehicle driver for an injury incurred due to the failure of the licensee to provide

the disclosures required by NRS 432C.325 or to otherwise comply with the provisions of this chapter, or released upon receipt

of: (a) A court order requiring the Director to release all or a specified portion of

the deposit; or (b) A statement signed by the licensee requesting the Director to release the deposit,

or a specified portion thereof, and stating the purpose for which the release is requested. 5. When a deposit is made pursuant to paragraph (b) of subsection 1, liability under

the deposit must be in the amount prescribed by the Department. If the amount of the deposit is reduced or if there is an outstanding court judgment

for which the licensee is liable under the deposit, the license as a peer-to-peer

car sharing program is automatically suspended. The license must be reinstated if the licensee: (a) Files an additional bond pursuant to subsection 1; (b) Restores the deposit with the Department to the original amount required under

this section; or (c) Satisfies the outstanding judgment for which the licensee is liable under the

deposit. 6. A deposit made pursuant to paragraph (b) of subsection 1 may be refunded: (a) By order of the Director, 3 years after the date the licensee ceases to be licensed

by the Department, if the Director is satisfied that there are no outstanding claims

against the deposit; or (b) By order of court, at any time within 3 years after the date the licensee ceases

to be licensed by the Department, upon evidence satisfactory to the court that there

are no outstanding claims against the deposit.