State House Advances Benninghoff Legislation to Address Alleged Lapses in Auto Insurance
HARRISBURG – The House has unanimously passed legislation authored by state Rep. Kerry Benninghoff (R-Centre/Mifflin) that would make government more efficient for consumers who attempt to change auto insurance carriers.
“No one enjoys receiving a letter threatening suspension of their vehicle registration due to insufficient auto insurance coverage,” Benninghoff said. “For far too many Pennsylvanians, switching insurance carriers when purchasing a new vehicle or simply shopping for better coverage has become a painful experience, and it’s a situation that is easily avoidable.”
When a driver cancels his or her car insurance policy within six months from the original issue date, they are required to report the cancellation to PennDOT. There is, however, no requirement for them to contact PennDOT when a new insurance policy is purchased.
“The alleged lapse triggers a notice that the driver’s vehicle registration may be suspended unless proof of insurance is provided,” added Benninghoff. “My
House Bill 710 offers an easy solution which would implement an online verification system (OLV) for automobile insurance coverage which doesn’t rely on conventional mail.”
The system Benninghoff is proposing is already being used by 17 other states and the District of Columbia. It relies on mandatory reporting of policy information by insurance providers, which creates a more automated system where canceled and new policies can be matched, thus mostly eliminating the need for PennDOT to mail notices.
“It involves a searchable database which is accessible to PennDOT and law enforcement that will allow real-time verification of insurance coverage,” said Benninghoff. “The added benefits address the problem of uninsured motorists and prevention of counterfeit insurance cards.”
House Bill 710 may now be considered by the state Senate.
Questions about this or any legislative issue should be directed to Benninghoff’s Bellefonte district office at 814-355-1300 or his Reedsville office at 717-667-1175.
Representative Kerry Benninghoff
171st Legislative District
Pennsylvania House of Representatives
Media Contact: Scott Little
717-260-6137
Slittle@pahousegop.com
KerryBenninghoff.com / Facebook.com/RepBenninghoff