Tennessee Motorists Without Liability Insurance Face Big Problems in 2017

The Tennessee Department of Revenue is launching a new insurance verification system in early 2017 to promote compliance with the state’s Financial Responsibility Law.

If you don’t get liability insurance—you may wish you had.

Tennessee drivers who don’t have liability insurance on their vehicle is costing other drivers money. Insurance companies will have to pay to fix your vehicle after a wreck, but you pay the deductible and high rates later.

TIM SOTELO, ATLAS INSURANCE  “Right now in Tennessee, you have…to register your car you’re supposed to show proof of insurance. So at the beginning when you register your car—people will often go get their insurance…but when the next month comes due, ha, they don’t always pay that bill.”

But because of a new state law going into effect next week, it’ll be easy to see if that motorist is insured. The investigator can just check your VIN number.

TIM SOTELO  “I do think it will reduce uninsured drivers. In Georgia, uh, they’ve had that law and they’ve had a system to report when people have not had continuous insurance….and it had drastically helped in Georgia.”

Under the program, all insurance carriers registered to write personal automobile liability policies in Tennessee must register with the Department and provide required policy information.

With that information, after the market absorbs the new registration system, it could save you money.

TIM SOTELO  “A person insured in Tennessee has ..pays for uninsured motorist on their policy is higher than Georgia.”

If the Tennessee system is unable to confirm insurance coverage for a vehicle, a notice will be sent to the owner to provide proof of minimum liability insurance. Failure to comply with the notices could result in fines and eventual suspension of the vehicle registration.

 

Categories: Consumer News, Government & Politics, Local News

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