One-on-One
Issue: May/June 2010
"Uninsured motorists are penalizing those who
follow the law"
When Washington state’s compulsory auto insurance law went into effect in 1990, about 12 to 18 percent of the state’s motorists were uninsured. Twenty years later, the Insurance Research Council estimates that 16 percent of the state’s motorists are driving without insurance. Data we collected from the Washington State Department of Transportation on collisions involving passenger cars show that an uninsured driver was involved in nearly 28 percent of the accidents.
At AAA Washington, we are troubled by the fact that the state’s uninsured motorist rate remains high, because those who ignore the law are penalizing those who abide. In 2005, the Northwest Insurance Council estimated that uninsured drivers cost insured motorists more than $80 million annually in productivity losses, property damage, medical costs and other expenses. The cost of uninsured/underinsured motorist coverage, which can add 10 percent or more to your auto-insurance bill, is a more tangible measure of the impact that the uninsured have on your pocketbook.
We believe that the state needs to do a more forceful job of enforcing auto insurance requirements. In recent sessions, the Legislature did not act on bills proposing to do just this. These bills have included proposals to randomly sample registered vehicle owners, implement an online verification program and/or require proof of insurance for vehicle renewals. Concerns about the costs and the logistics of implementing such programs appear to have caused them to lose steam.
However, other states have found ways to overcome similar challenges. Illinois, for example, reduced its uninsured motorist rate from 17 percent to less than 5 percent after creating a random sampling program financed through fees assessed to uninsured motorists. While the Illinois program may not be the right answer for Washington, it’s time for our state to find an equitable, meaningful way to enforce this law.
Charles Liekweg, President
