hb-2610 new law

HB-2610 Ilinois Electronic Insurance Verification

Synopsis As Introduced

HB-2610 IL

HB-2610 – This law amends the Illinois Vehicle Code. IL HB2610 provides that the Secretary of State may implement an electronic motor vehicle liability insurance policy verification program. The purpose is 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. Also it 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. The IL 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.

House Committee Amendment No. 2

HB-2610 IL

Further amends the Illinois Motor Vehicle Theft Prevention Act. Provides that the Director of the Secretary of State Department of Police (rather than the Director of State Police) shall be the Chairman of the Illinois Motor Vehicle Theft Prevention and Insurance Verification Council. Provides that the Secretary of State (rather than the Director of State Police) shall employ administrative, professional, clerical, and other personnel to effectuate the purposes of the Act. Provides that on or before January 1, 2019 (rather than April 1, 1992), the Council shall report annually to the Governor, General Assembly, and, upon request, to members of the general public on the Council’s activities in the preceding year. Provides that the Motor Vehicle Theft Prevention and Insurance Verification Trust Fund shall be administered by the Secretary (rather than the Director of State Police) at the direction of the Council. Provides that money in the Trust Fund shall be used, amongst other purposes, to pay the Secretary’s costs to administer the Council and the Trust Fund and to provide funding to the Secretary’s Vehicle Services Department for the creation, implementation, and maintenance of an electronic motor vehicle liability insurance policy verification program by allocating no more than 75% of each dollar collected for the first calendar year after the effective date of the bill and no more than 50% of each dollar collected for every other year after the first calendar year. Provides that the Secretary shall distribute the funds to the Vehicle Services Department at the beginning of each calendar year. Further amends the Illinois Vehicle Code. Provides that the development and implementation of an electronic motor vehicle liability insurance policy verification program shall be consistent with the standards and procedures of a nationwide organization whose primary membership consists of individual insurance companies and insurance trade associations. Provides that the program shall include a requirement that the Secretary may consult with members of the insurance industry during the implementation of the program, including, but not limited to, during the drafting process for adopting any rules that may be necessary to implement or manage the program and a requirement that commercial lines of automobile insurance are excluded from the program, but may voluntarily report insurance coverage to the State. Provides that an insurer identified by an electronic motor vehicle liability insurance policy program as insuring less than 1,000 vehicles per year shall be exempt from the reporting requirements of the program.

House Floor Amendment No. 3

IL HB-2610

Provides that the Illinois Motor Vehicle Theft Prevention and Insurance Verification Council shall make grants to deter and investigate recyclable metal theft and to law enforcement agencies to assist in the prosecution of recyclable metal theft.

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