In recent years a large majority of state legislatures have enacted Motor Vehicle Safety and Financial Responsibility Laws. In general, this legislation requires both the owner and operator of a vehicle involved in an accident, where the property damage is over $100 or where there is a personal injury, to file some type of security with the commissioner of insurance. If the operator or owner has automobile liability insurance, the insurer is required to file a notice of the coverage with the commissioner. If the insurer does not file this form, known as an SR-21, within a specified time, both the operator’s license and the owner’s registration are revoked. The specific problem here is whether the insurer who files such a notice admitting coverage as to a certain accident, becomes liable on such policy even though it would not have been liable had it not filed the form. In nearly all automobile liability policies there is a clause limiting coverage to the named insured and anyone who has his permission to drive the vehicle.

I. Problems of Interpretation

II. A Possible Solution

III. Application to Nebraska