County license plate issuing officials will have access to a new online insurance verification system developed by the Alabama Department of Revenue (ADOR) that will allow them, as well as Alabama law enforcement, to immediately verify the insurance status of a vehicle at any point in time.
“By working with the insurance community, other Alabama agencies, and county governments, we have delivered a web service system that will accomplish real time insurance verification. The system, the Online Insurance Verification System (OIVS), is needed to meet the new requirements of Alabama’s mandatory liability insurance law that will become effective January 1, 2013,” said State Revenue Commissioner Julie P. Magee.
The new requirements of the law, Act 2011-688, mandate that the ADOR have an online system in place by January 1, 2013, that can verify evidence of a vehicle owner’s liability insurance overage. Under the new requirements, a vehicle owner will not be allowed to register his or her vehicle or renew a registration unless the insurance status of the vehicle can be verified using OIVS or unless the vehicle owner can provide proof of insurance to the license plate issuing official at the time of registration or registration renewal.
Proof of insurance documents include the vehicle owner’s insurance card, current declaration page of the owner’s liability insurance policy, or other such documents susbstantiating liability insurance coverage. Electronic versions of proof documents may also be accepted by county license plate issuing officials in completing vehicle registration transactions. Emails sent by the owner’s insurer, computer printouts from an owner’s insurer, electronic images provided by an owner’s insurer on the vehicles owner’s cellular phone, lap top, or other portable electronic device mee the evidence of insurance requirements, according to the ADOR.
“Alabama averages over 5.1 million vehicle registrations each year which are subject to the mandatory liability insurance requirements, and this system will give both state and local motor vehicle administrators and law enforcement the ability to fulfill the requirements of Alabama’s mandatory liability insurance law,” stated Magee.
According to the Insurance Research Council, Alabama’s uninsured motorist rate is estimated to be 22 percent, ranking Alabama sixth among states having the highest percentage of uninsured drivers nationwide.
Real Time Insurance Verification Coming to County Tag Offices
