Louisiana legislation approval gives the go ahead on digital proof of auto insurance coverage.
The new legislation says that police must accept both the electronic and print card versions of the proof of car insurance. The House Bill 1130, which was sponsored by Rep. Greg Cromer (R-Slidell) received unanimous support from the Committee on Transportation, Highways and Public Works. This vote will send the bill along to the next stage of approval, which consists of a debate on the House floor.
Chuck McMains, an insurance industry lobbyist, has stated that insurers are increasingly choosing to provide various elements of their business in electronic format, and are using print and paper copies of documents on a decreasing basis. McMains said that this is the next step, by providing drivers with electronic copies of the proof of their auto insurance coverage.
According to McMains, this is a necessary and needed bill, as it allows insurers to provide their policyholders with a copy of the card in an electronic format that will be easy for drivers to keep with them, and that will be equally acceptable by police officers who request proof of coverage for the vehicles they are driving.
Rep. Karen Gaudet St. Germain (D-Pierre Part), who is the chair of the panel, said that this new legislation “just adds another tool to the tool box” for assisting both police and drivers.
According to the bill, a driver can show a digital copy of an image of their auto insurance card on their mobile phone or another electronic device, but that the driver “shall not serve as consent for a law enforcement officer or any other person to access the contents” of that mobile device for any other purpose other than for the verification of “the image of the insurance card.”
Officials from the State Police have said that both the print and electronic copies of the proof of insurance will be considered to be acceptable. This insurance news means that the electronic image will be just as valid as the card itself or even a photocopy of the original card, when providing evidence that the vehicle has been insured. This sure to boost the use of mobile commerce apps that many companies are already competing in.
Article: House committee in Louisiana approves electronic proof of auto insurance coverage
Article Source: Live Insurance News
Author: Alicia Williams