Amends existing law to provide certain limitations on coverage.

Thisproposedlegislationwouldeliminatetheproblemofphantominsuranceandreducedpaymentsforbenefits paid by others. The proposed legislation provides that when a citizen purchases motor vehicle under-insurance coverage, the purchaser receives the stated benefit provided on the declaration page. This prevents an insurance company who receives a premium for underinsured coverage from taking credit for the benefits paid by other's insurance companies. It further limits the benefits recoverable to the purchaser's actual losses or the amount of coverage purchased, whichever is less.