1. A policy of insurance providing coverage arising out of the ownership, maintenance or use of a motor vehicle which is delivered or issued for delivery in this State and includes coverage for the payment of reasonable and necessary medical expenses or uninsured and underinsured motorists coverage, or both, must contain a provision for the reduction in the premium for such coverage if the motor vehicle:

(a) Is equipped with an air bag on the driver’s side of the front seat or air bags on the driver’s side and passenger’s side of the front seat; and

(b) Contains any other safety device, other than safety belts, which substantially enhances the safety of the occupants of the motor vehicle.

2. The reduction in premiums required by subsection 1 must be based upon the actuarial and loss experience data available to each insurer and must be approved by the Commissioner. The insurer may offer additional reductions in premiums pursuant to the requirements set forth in subsection 1 if they are approved by the Commissioner. Each reduction must be calculated based on the amount of the premium before any reduction in that premium is made pursuant to this section, and not on the amount of the premium once it has been reduced.

3. The Commissioner shall review and approve or disapprove each policy of insurance that offers a reduction in the premiums provided for in this section. An insurer must receive the written approval of the Commissioner before delivering or issuing for delivery a policy that provides for such a reduction.

(Added to NRS by 1993, 2495)