clock June 6, 2014 comments No Comments flowchart Automobile InsuranceOur Blog tag Liability


Rhode Island is cracking down on those individuals who are driving without insurance. Currently, the only way the state can identify if you have auto insurance or not, is when you’re in an accident or stopped and asked for your license and registration by a police officer. That’s all about to change.

A law that passed last year and takes effect on July 1, 2014 allowed the state to hire a private contractor to help seek out those who do not have the minimum insurance required by law.  No one has been able to identify how many uninsured motorists there currently are on the streets of Rhode Island. It’s been estimated that approximately 15 to 18 percent of about 950,000 (the math works out to be at least 142,500) registered vehicles may be uninsured. Insane!! I certainly wouldn’t want to get into an accident with one of those people.

The RI Department of Motor Vehicles has hired MV Solutions to develop the RI Insurance Verification System (RIIVS). With the assistance from the DMV and the insurance companies doing business in the state, the RIIVS will compare monthly lists of all vehicles insured in RI against monthly lists of all vehicles registered in the state. This comparison will identify which vehicles are not currently insured.

Here’s how the law breaks it down:

If it is suspected that your vehicle has been uninsured for at least three months, you will receive a notice which will give you 15 days to provide proof of auto insurance. If you do not comply within the 15 days, you will be receiving a second notice, with another 15 days to respond.  If you do not reply to the two notices and 30 days have passed, the DMV will be notified and your registration will be revoked.

Once you have a revoked registration for failure to provide proof of insurance, your registration will be only be reinstated after the vehicle owner secures the mandatory insurance and pays an ‘administrative reinstatement fee’ of $250 and possibly other hefty fines.

Massachusetts has had a similar law in place for some time now. Those who are uninsured motorists in MA are forced to pay a $500 penalty, their licenses are suspended, and they pay additional fines starting as low as $500 or as high as the amount equal to one year of auto insurance premium.

The solution is simple! Purchase insurance before it’s too late! Rhode Island state law requires that all drivers obtain mandatory insurance including bodily injury liability equal to or greater than $25,000 per person, $50,000 per accident and property damage liability equal to or greater than $25,000 per accident.  Loiselle Insurance Agency can provide you with an quote that includes mandatory liability insurance or more, depending on your needs.   Visit our website to request a quick quote or call us today (401) 723-8510. Loiselle Insurance would be happy to help you find an auto insurance policy that is budget friendly and provides the right amount of coverage for your vehicle.




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