Alabama Drivers Face Steep Fines for Lapsed Vehicle Insurance
CALHOUN COUNTY, Ala. — Drivers in Alabama could be hit with hundreds of dollars in fines if their vehicle insurance lapses, even for a single day.
Every driver in Alabama is legally required to carry liability insurance for their vehicles. According to a law enacted in 2011, a lapse in insurance coverage can result in a $200 fine.
“The discussion that entailed at that point in time is when the fines are less than what the cost of the insurance is, people just forgot the insurance and just pay the fines,” said Michael Gamble, Deputy Commissioner of Revenue for the Alabama Department of Revenue.
Previously, a second offense within four years carried a $400 fine and a four-month suspension of the ability to renew the vehicle’s registration. However, legislation passed in the most recent session modified this.
“That was changed this past legislative session to where you still have the 200 dollar fine in tact,” Gamble explained, “but the look back period was shortened. Instead of four years it’s the current year plus two registration years.”
Drivers have expressed mixed views on the severity of the penalties. While some believe the fines are excessive and advocate for a grace period, others see them as a necessary measure to ensure that drivers maintain their insurance coverage.
“It’s to ensure that there if someone is liable of ran accident that they’ve got sufficient coverage to hopefully make the other person whole,” Gamble said.
Another change this year requires drivers who claim their vehicle is inoperable to surrender their license plate to their county’s DMV office.
