Nebraska2026Did Not Pass

LB1042

Changes to Uninsured and Underinsured Motorist Insurance Rules

Last scannedAug 25, 2026, 3:18 AM

In one sentence

This bill changes how insurance companies calculate payment limits when a person has coverage on more than one car or policy.

Stops adding together the maximum payout amounts for cars owned by people in the same household under one or separate policies.
Allows combining payout limits only if different, unrelated households hold separate insurance policies.
Sets a rule that an insured person can receive no more than the highest limit of any single policy they own within their household.
Creates a specific order for paying claims when multiple policies apply to one accident.
Makes coverage on the car being driven at the time of the crash pay first before other available insurance.

People who hold more than one auto insurance policy in Nebraska
Families or related persons living in the same household with multiple insured vehicles
Insurance companies that sell uninsured and underinsured motorist coverage

The bill was indefinitely postponed, meaning it did not become law.
The text does not explain how these rules apply to people with policies from other states.
The source material does not state when or if this specific version of the bill might be reintroduced.

Plain language

Stacking of coverage: Adding together the maximum payment limits from two or more insurance policies to get a higher total payout.
Uninsured motorist coverage: Insurance that pays for injuries if you are hit by a driver who has no car insurance.
Underinsured motorist coverage: Insurance that helps pay for injuries if the person who hits you does not have enough money in their policy to cover your costs.

Official record

Source attached

Change provisions of the Uninsured and Underinsured Motorist Insurance Coverage Act relating to stacking of coverage

Official activity