- Associated Press - Friday, June 6, 2014

BATON ROUGE, La. (AP) - A bill passed by lawmakers and supported by Gov. Bobby Jindal will raise fees and penalties for drivers who don’t have the minimum car insurance required under state law.


-Reinstatement fees for driving privileges will grow to a range of $100 to $500, depending on how long a person didn’t have insurance, up from $25 to $200.

-A driver who provides false information about insurance status will face fines ranging from $250 to $1,000, up from $25 to $200.

-Lack of proof of insurance in the vehicle will carry penalties ranging from $100 to $500, up from $50 to $500.

-Existing caps on fees for multiple violations and for the elderly will be removed.

-A minimum $75 fine will be levied for someone caught in violation of the law requiring insurance on top of the other fines and penalties.

-Criminal sanctions also will rise for someone convicted of knowingly operating a vehicle without insurance.



-In the 2014-15 fiscal year, the first slice of money pays for a real-time system to verify insurance (estimated to be $2 million). The next $42 million goes to the state police, and needs legislative authorization for spending the full amount.

-In the 2015-16 fiscal year and thereafter, the first slice of money pays for a real-time system to verify insurance. The next $42 million goes to the state police. Then, $7 million goes to parish sheriffs to pay for housing parolees detained pending a revocation hearing. The next $1 million will pay for new assistant district attorneys around the state. Any additional money will be used for public safety and law enforcement, subject to legislative appropriations.



-The average auto insurance premium in Louisiana is $1,971 a year, while the national average is $1,503, according to data from consumer website Insure.com.

-The Louisiana Office of Motor Vehicles says between 12 and 14 percent of registered motorists are uninsured.



House Bill 872 can be found at www.legis.la.gov



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