If you’ve ever been in an accident with an uninsured driver, you know that your policy takes a serious hit. That could come to an end soon. Kansas Insurance Commissioner, Vicki Schmidt, announced that new legislation establishing a system for the instant verification of auto insurance has been signed into law. SB 42 contains provisions that give the Kansas Department of Insurance the authority to establish an insurance verification system that can be utilized by the Kansas Department of Revenue, law enforcement, the court system and county treasurers – all who are required to verify insurance.
During calendar years 2021 and 2022, insurance companies writing auto insurance in Kansas paid $51.9 million in claims involving uninsured motorists. These claims are directly related to prospective premium rates.
The new law creates the framework that allows the Kansas Department of Insurance to issue a bid for contract with a vendor to create and implement the verification system. The new system will be entirely funded by the Kansas Department of Insurance and is required to be in place by July 1, 2026.
