Little Rock, Arkansas – The roads in Arkansas have become somewhat safer as a group in the state noticed a decrease in the percentage of uninsured drivers on the roads.
A new online system, initiated in January, is assisting the state and local police in identifying drivers without insurance.
Scott Hardin, spokesperson for the Arkansas Department of Finance and Administration, said, “Every time you drive in Arkansas, you are now more secure compared to a few years ago because of this system.”
When someone loses or cancels their car insurance, this system works behind the scenes to inform the state, law enforcement, and insurance companies.
“As soon as we find out about it, we issue a letter to the owner of that vehicle, stating, ‘Hey, you have a $100 fine with this. You have 30 days to obtain insurance, or you will lose your registration entirely,'” he added.
This system, launched in January 2020, has reduced the rate of uninsured vehicles by 16%. Now, just three years later, that number has been cut in half.
“If you’re involved in an accident, there’s a real chance that 16% of those people won’t have insurance. And for those Arkansans who have been in an accident, whose insurance hasn’t kicked in, it’s a mess. You know the ultimate impact falls on them. And then it’s just, it’s frustrating for everyone,” Hardin said. “Now knowing that it’s been cut in half, it gives you at least a 50% chance that if you’re in an accident, the other person is not insured. That’s really encouraging.”
He explained that the online insurance verification system was designed to create a three-way communication channel between the state, law enforcement, and insurance companies.
“It’s been a game-changer not only for our department but for everyone,” Hardin said.
“At that time, if you lost your insurance, if it lapsed, you wouldn’t know until your insurance provider contacted you. I mean, they could send you a letter, but it could take weeks to arrive. So now you’re hoping that I’ll find out about it quickly because the state is coming to you,” he added.
He also mentioned that while their department issues fines, if towing is involved due to lack of insurance, it doesn’t exempt individuals from legal consequences with law enforcement.