Senate committee substitute to the 2nd edition makes the following changes. Amends the act’s long title.

Makes the changes to GS 20-137.1 effective December 1, 2026 (was, 2025).

Adds the following new content.

Amends GS 20-279.21 by adding the following to the provisions that apply to every motor vehicle liability policy. Require that when there is an uninsured or underinsured claim under a policy, and the insured and insurer do not agree whether the insured is legally entitled to compensatory damages from the owner of an uninsured or underinsured motor vehicle or the amount of compensatory damages, then the insured may demand to settle the disputes by arbitration. Sets out the conditions under which the insured has the right to demand arbitration when an insured sues the insurer or the owner or operator of an uninsured or underinsured vehicle seeking damages that are subject to a claim for uninsured or underinsured motorist coverage under the policy. Sets out notice requirements for the insured’s arbitration demands. Sets out five procedures that must be used for the arbitration, unless the insured and insurer agree on a different procedure, including: (1) each party will select a competent arbitrator and those two will select a third competent and disinterested arbitrator, (2) each party will pay its chosen arbitrator and half of the all other arbitration expenses, with lawyer and expert witness fees paid by the hiring property, and (3) arbitration will occur in the county and state where the insured resides, arbitration is subject to that jurisdiction’s rules of procedure, the arbitrators will resolve the issues, and a written decision on which two arbitrators agree is binding.