The study indicates Alabama for the second involved in most drivers uninsured
A national study suggests, Alabama’s mandatory auto insurance law has little effect on the number of uninsured drivers on public roads, given that the legislature adopted in 1999.
The Insurance Research Council, a non-profit group funded by insurers study, published in the study shows, 25 percent of Alabama drivers lacked insurance between 1999 and 2004.
It was a remnant of the 1998 study of uninsured drivers, and California tied for the second highest percentage of uninsured drivers in all 50 states. Mississippi ranks first, Mobile Register reported in the press.
Say experts insurance, the problem with the law, that people with relatively few assets to protect, have reason not to buy insurance.
“I think the insurance liability is a tax on the poor,’’said Carol Jordan, professor of risk management and insurance University of Troy.” You do not really need. They have no assets to protect.”
House Minority Leader Mike Hubbard, sponsored right to compulsory insurance, said the law can work, but it needs more bite.
“It’s only a matter of repression on this point,”Hubbard, R-Auburn, said.
In Alabama, State Department revenues are at the cutting edge of implementation.
Each year, the division electronic letters to a randomly selected sample of 5 per cent of drivers in the state requested to check whether they have insurance. If the driver did not answer or no answer’s investigation department, the vehicle after the notification.
The division by e-mail 142303 questionnaires between 1 and October 30 June registration issued 74,031 and suspensions, which did not answer or no answer.
Carla Snellgrove Revenue Department spokesman stressed that these briefings have been a suspension have insurance, but simply did not respond to the survey.
The department did not explode, negative responses income is not investigated, said the press Snellgrove register.
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