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New Law Limits Liability for Parents and their Insurers if Child Gets in Car Accident

Governor Scott Walker signed a bill into law on Tuesday that limits the liability of a parent for damages their child does in a car accident.

Senate Bill 408  limits the liability that may be put on a parent, or other adult who sponsors a person under the age of 18 in obtaining a motor vehicle operator’s license. 

Liability given to the parents or adult sponsors for damages caused by the minor’s negligent or willful misconduct is limited to the higher of: a total of $300,000 for all parents or adult sponsors to all parties arising from any one accident, or the limits of any insurance coverage provided to the minor under the parent’s or adult sponsor’s applicable insurance policies. 

 Authored by Senator Chris Kapenga (R – Delafield) and Representative Mike Kuglitsch (R – New Berlin), the bill passed the Senate on a voice vote and was concurred by the Assembly on a voice vote.  It is Act 202.

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