American Property Casualty Insurance Association: Illinois Successfully Launches Electronic Auto Insurance Verification System
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In the past,
In the old system, the Secretary of State (SOS) would send postcards to a group of randomly selected registered vehicle owners asking for information about their insurance policy. It was a manual and paper-intensive process. The Secretary of State’s office would then manually confirm coverage with the insurer. The SOS had the power to suspend the vehicle’s registration and impose a fine on drivers who did not return the card or provide policy information. Once the driver provided the necessary information, the suspension would be lifted.
The new electronic system will eliminate postcards and perform insurance checks without the driver having to act. It will also allow the SOS office to verify more records in a more efficient and cost-effective manner. When there is no match between the registered vehicle and the insurance, the SOS office will notify the driver and tell them the necessary steps to verify that there is insurance on the vehicle. To ensure that drivers have proper insurance, the system will check coverage twice a year.
In 2019, it was estimated that nearly 12% of