VEH CD-ONLINE INSURANCE

Amends the State Finance Act. Creates the Insurance Verification Fund. Amends the Illinois Vehicle Code. Creates an online insurance verification system with the assistance of an Insurance Verification Advisory Council composed of representatives from the Department of Insurance and the insurance industry. Provides that the online insurance verification system shall key vehicle registration information to current insurance information provided by insurers selling policies within the State. Provides that the Secretary may use the online insurance verification system to verify insurance information. Provides that authorized personnel shall serve as intermediaries for the courts, insurers, law enforcement agencies, and licensing officials to access the system for the purposes of verifying insurance information on a 24-hour basis through the Internet or other electronic system as developed by the Secretary. Provides that the Secretary may contract with a third party to develop the online insurance verification system. Provides that insurers shall provide information as required by the Secretary, and shall add a $1 fee on all policies issued to motorists to be paid into the Insurance Verification Fund for the purpose of operating the online insurance verification system. Provides that insurers that wilfully fail to provide information required by the Secretary shall be guilty of a business offense with a fine of up to $5,000. Provides that insurers shall be immune from liability for complying with the requirements of the Secretary. Provides that a violation of the prohibition on driving without insurance by the owner of a vehicle shall result in the suspension of the driver's license, regardless of whether the owner subsequently acquired insurance or terminated ownership of the vehicle. Provides that a person whose driver's license has been suspended for a violation of driving without insurance must pay a reinstatement fee of $100 and maintain proof of financial responsibility for 3 years. Provides that the Department of Transportation may access the online insurance verification system when compiling an accident report.