Ask Us: Auto insurance questionnaire details

on August 24, 2011 at 8:20 AM, updated August 24, 2011 at 8:25 AM

Some people who commented online about questions published Monday in Ask Us said we didn't answer them. And we indeed did not answer one of them about Alabama's mandatory automobile liability insurance questionnaire issued by the state Department of Revenue. So in an attempt to provide some clarification and amplification, here are the questions followed by the answers:

This document asks me to visit a website whose address is My question is, why is this a .com address rather than a .gov address?

Carla Snellgrove, spokeswoman for the Revenue Department, said the department hired a private vendor to provide this service. The questionnaire does not have to be answered online. It may be filled out by hand and mailed to the department in the postage-paid envelope that came with the questionnaire. You may also send the questionnaire by fax.

If this questionnaire is legitimate, why is it asking me to enter personal information on a website registered to some unknown person from some small island country?

See the answer to the first question.

Secondly, if this is a legitimate questionnaire and I was selected on a random basis, will my vehicle registration be revoked if I fail to submit?

Vehicle identification numbers are selected randomly for insurance verification.

If you do not respond to the questionnaire within 30 days, said Snellgrove, the department will send you a notification that you have 30 more days to answer the questionnaire before your registration is suspended. When you apply to renew your tags, your failure to answer to the questionnaire will show up in the database at your county license department. You will not be able to buy a new tag until you show proof of insurance. In addition, to reinstate the vehicle's registration, the owner will be required to pay a $200 fee and provide proof of insurance.

Why do I have to provide this information if I have not violated any laws or statutes?

The Alabama Legislature passed the law requiring automobile liability insurance more than a decade ago. At the time, many voters complained that they had had wrecks with drivers who didn't have any auto insurance. The Legislature was attempting to improve this situation by passing the law requiring motorists to prove they have liability insurance.

Additionally, a new law sponsored by state Sen. Arthur Orr, R-Decatur, will eliminate the requirement to answer the questionnaire effective Jan. 1, 2013. Under this new law, auto insurance companies will download auto insurance information about their customers into the Revenue Department's computers. This way local license clerks and online tag purchasing systems will know whether a motorist has liability insurance.

But when the department cannot verify insurance electronically, for whatever reason (such as a policy is new or the insurer has not added the information in the system yet, etc.), a questionnaire will be mailed to the vehicle owner for completion.

Orr said 25 percent to 28 percent of Alabama motorists today don't have liability insurance. The switch to an automated system should cut that to 10 percent to 12 percent, he said, and ultimately save consumers money.