Alabama Auto Insurance Verification System Gets Final OK

BIRMINGHAM, Ala.,  June 21, 2011 /PRNewswire/ -- Gov. Robert Bentley signed into law last Tuesday legislation that will set up an Alabama car coverage verification database and will give police and other government officials online access to information regarding the coverage status of residents, according to Online Auto Insurance News. The new law will also make verification of coverage a necessary step in the automobile registration process.

OnlineAutoInsurance.com recommends that Alabamians who have been risking financial ruin by driving uninsured take this news as even more reason to locate a low down payment auto insurance policy and to get covered quickly. Drivers who are caught driving uninsured in the state are already subject to hundreds of dollars in fines and may have to pay out of pocket for all damages they cause in an accident.

Lawmakers hope that the new measures will help abate the high percentage of uninsured motorists in the state. According to the Insurance Research Council, an estimated 1 in 5 motorists were uninsured in Alabama in 2009. That was the sixth-highest rate in the nation, according to the report.

Similar legislation was recently vetoed by the governor of Mississippi, the state which is said to have the highest uninsured rate in the country. Gov. Haley Barbour disapproved of that proposal partially because of the fact that it would have gone into effect a mere four months after its passage.

The Alabama proposal, on the other hand, includes more checks and balances and a more realistic effective date. The electronic verification system is slated to be in working order by 2013, and its implementation will be facilitated by a voting council of 13 government and insurance industry representatives.

Source: http://arc-sos.state.al.us/PAC/SOSACPDF.001/A0008962.PDF

To learn more about finding a policy with minimal up-front costs, readers can go to http://www.onlineautoinsurance.com/pay-monthly/ where visitors will have access to informative resource pages and a quote-comparison generator that can help drivers in any state find the best rates quickly.

SOURCE Online Auto Insurance, LLC

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