Amends GS 58-2-164 regarding rate evasion fraud in auto insurance. Specifies that the insurer and its agent can satisfy the verification requirements for applicants under subdivision (c) by, within 30 days of coverage binding, obtaining from the applicant reliable proof of NC residency and the applicant's status as an eligible risk (currently permits the agent to satisfy the requirements by obtaining the proof with no timeline). Includes in the list of proof of residency and eligible risk status, of which two items are deemed reliable proof, an electronic utility bill accessed by the applicant in the presence of the insurer or its agent.

Recodifies specified subsections of GS 58-3-150, regarding certificates of insurance, as subsections (a), (b), (c), and (e) of GS 58-3-149. Amends and adds to the statute as follows. Amends the definition given for certificate of insurance to include electronically submitted documents. Adds new subdivision (d) making it unlawful, punishable by a fine of up to $5,000, to prepare, issue, request, or require a certificate of insurance that either contains false or misleading information concerning the policy of insurance to which a certificate of insurance makes reference, or purports to alter, amend, or extend the coverage provided by the policy of insurance to which a certificate of insurance makes reference. Specifies that the penalty is in addition to any other penalty for criminal law violations. Provides for remittance of the proceeds to the Civil Penalty and Forfeiture Fund.

Effective October 1, 2021.