A solution to the uninsured mortorist problem

Illinois Mandatory Insurance Verification

The Illinois Secretary of State is now monitoring all registered vehicles in IL, for car insurance. All car insurance companies must now comply with the electronic car insurance verification law (IL HB 2610), which went into effect 01-01-2019. Car insurance companies are forced to send in daily reports to the Illinois Secretary of State on policy information. Including which vehicles have insurance and which do not. The vendor will match the information to vehicle owners/drivers, VIN numbers, and license plates for the Illinois Secretary of State database instantly.

The Illinois Secretary of State will randomly check all vehicles at least twice per year using the electronic insurance verification system. The registered owner will receive a letter requesting proof of insurance or that the vehicle was inoperable during a lapse in car insurance coverage. This 30 day request will be triggered for having even just one day lapse in coverage. The registered owner will only get 30 days to provide the Illinois Secretary of State with the information. Failure to provide the proof will result in an electronic citation. 

Courts will have access to the Illinois Secretary of State Car insurance database. This is to verify if cars had insurance during accidents or at the time a citation was issued for driving uninsured. 

Minimum $500 fine for driving uninsured.
Minimum $1,000 fine for driving a vehicle while on a suspension.

Bill Status of HB-2610

Synopsis As Introduced
Amends the Illinois Vehicle Code. Provides that the Secretary of State may implement an electronic motor vehicle liability insurance policy verification program to verify insurance coverage of motor vehicles required to be operated with liability insurance under the Code. Provides for information that an insurance company authorized to sell motor vehicle liability insurance in this State shall make available upon request to the Secretary. Provides that if the Secretary implements the program, he or she shall verify insurance coverage at least twice per calendar year and, if unable to verify coverage, shall provide the vehicle owner written notice allowing the owner 30 calendar days to provide proof of insurance on the date of the attempted verification or proof that the vehicle is inoperable. If the vehicle owner provides proof of insurance, the Secretary may verify the proof with the vehicle owner’s insurance company. If the vehicle owner fails to respond to the notice or is unable to provide proof of coverage or proof that the vehicle is inoperable, the Secretary shall suspend the vehicle’s registration. Amends the Freedom of Information Act. Makes conforming changes. Amends the Illinois Motor Vehicle Theft Prevention Act. Changes the title of the Act to the Illinois Motor Vehicle Theft Prevention and Insurance Verification Act. Provides that the Secretary of State shall appoint members of the Council (rather than the Governor) and the Director of the Department of State Police shall be the Chairman of the Council. Provides that the Council shall provide funding to the Secretary for the creation, implementation, and maintenance of an electronic motor vehicle liability insurance policy verification program. Makes conforming changes. Amends the State Finance Act to make conforming changes.

 

Dan Zeiler

dan@zeiler.com

708.597.5900 x134 

 

Comments for A solution to the uninsured mortorist problem

blog comments powered by Disqus
Business
Personal
Business
Personal
Business
Personal