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Bill > SB1639


IL SB1639

IL SB1639
VEH CD-INSURANCE VERIFICATION


summary

Introduced
02/04/2025
In Committee
02/04/2025
Crossed Over
Passed
Dead

Introduced Session

104th General Assembly

Bill Summary

Amends the Illinois Insurance Code. Provides that an insurance company that provides automobile liability insurance to any registered vehicle required to have liability coverage under the Illinois Vehicle Code must notify the Secretary within 30 days after a policy cancellation. Amends the Illinois Vehicle Code. Provides that, within 30 days after an insurance company notifies the Secretary of a liability insurance policy cancellation, the Secretary of State shall notify the owner of the motor vehicle that is the subject of the canceled liability insurance policy that the owner has 30 days after the issuance of the notice to provide verification of a liability insurance policy for the vehicle and that, if the owner fails to provide the verification with the 30-day period, the Secretary shall cancel the owner's license or permit until the owner provides the required verification.

AI Summary

This bill amends the Illinois Insurance Code and Illinois Vehicle Code to strengthen automobile insurance verification requirements. Under the new provisions, insurance companies must notify the Secretary of State within 30 days after canceling an automobile liability insurance policy for a registered vehicle. Once notified, the Secretary of State will then send a notice to the vehicle owner, giving them 30 days to provide proof of a new liability insurance policy. If the owner fails to provide insurance verification within this 30-day period, the Secretary of State will cancel the owner's driver's license or permit until proper insurance documentation is submitted. This legislation aims to ensure that all registered vehicles maintain required liability insurance coverage and provides a clear process for addressing lapses in insurance, which helps protect public safety by ensuring drivers have the necessary financial responsibility in case of accidents.

Sponsors (2)

Last Action

Added as Co-Sponsor Sen. Ram Villivalam (on 04/04/2025)

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