Drivers in Illinois might soon have their auto insurance electronically verified in an effort to make sure every vehicle on the road is covered—but that requires a database the state doesn’t have yet.
An industry estimate shows about one out of every eight drivers has no insurance even though it’s required by law.
This year, the state will begin collecting the funds to create the database. Henry Haupt of the Secretary of State’s Office says the money isn’t coming from a new tax; it’s coming from a council created in the early 1990s aimed at reducing vehicle theft and insurance fraud.
“The insurance companies currently provide a dollar per policy each year to the motor vehicle theft prevention fund," Haupt said. "This new law, in 2018, will take 75-cents of that dollar and funnel that towards the creation of this electronic database and system.”
Once it’s finished, car insurance will be verified at random at least twice annually. Such a system is already in place in 12 other states.