Uninsured Vehicles Project Insurance Validation Program AAMVA Region 1 Conference Program Development and Evaluation Branch Road User Safety Division Ministry of Transportation Province of Ontario July 2011

Building Success Goal Key components Process & Criteria Customer Care Stakeholder Reactions Critical Success Factors Key Benefits

Goal Reduce uninsured vehicles on Ontario’s roads by providing electronic confirmation of insurance when drivers renew their licence plates.

Key Components Driver Record Licensing Agreement – Information sharing agreement between the Province and Insurance Bureau of Canada Provided funding for project Data Integrity/Vehicle Identification Numbers (VINs) accuracy – VIN cleansing Comprehensive Customer Care Model Pre-implementation and implementation Legislation/regulations – insurance reporting times Joint Province/Industry Committee for post-implementation monitoring

Process and Criteria – Pre and Post Implementation Pre Implementation Vehicle owner signed a declaration for provision of true and accurate information as part of the Vehicle Licence Renewal process Previously no method of electronic verification Post Implementation Implementation of Insurance Validation Program - now able to electronically query a vehicle’s current insurance coverage status VINs used to check insurance on vehicle model years 1983 or later Only VIN used to query IBC database to protect privacy Do not receive, retain or provide any data (not an information database) Passenger vehicles only – no ATVs, RVs, motorhomes, snow vehicles or trucks Plate owner is an individual or joint owner

Plate Renewal & Insurance Verification

Customer Care Pre-implementation Comparison of VIN records with IBC Improved from 60% to 99% VIN data match rate Owners with unconfirmed insurance or VIN issues notified 120 days before licence plate expiry date Implementation Instituted these measures to address potential insurance or VIN Issues: Allowing customers to self-declare (one time only) with a valid insurance liability card Purchase Temporary Plate Validations Post Implementation Monitoring Committee Joint Provincial/Industry Committee formed to monitor the Insurance Validation system and address any government or insurance industry operational concerns As part of the Ministry's insurance verification process, vehicle owners who have unconfirmed insurance or Vehicle Identification Number (VIN) issues will be notified in writing 120 days prior to their licence plate expiration date, allowing time to correct or update their information. These notices will direct customers with either a VIN or insurance information issue how to correct this information prior to their plate renewal in order to avoid problems when processing their plate renewal transaction.

Stakeholder Reactions Public & Insurance Industry - positive Effective March 31, 2011, provided Police an important enforcement tool that allows them to check insurance at roadside Access by police does not replace other roadside activities, such as judgement, due diligence and decision making before delaying, questioning or laying charges with a motorist Police Reaction: “The first day I checked about 20 vehicles and within 1 hour, I identified and charged two individuals with no insurance”

Critical Success Factors Data Integrity - VIN matching Strong partnership with the Insurance Industry Clear roles and accountabilities Solid customer care model Clear understanding of: Insurance industry reporting times Insurer-broker-customer relationship System limitations - reporting times average 5-7 days Regulation requiring insurance providers to report insurance info in 14 days

Key Benefits Fewer uninsured vehicles on Ontario’s roads Improved relations with insurance industry Better verification & faster reporting More safeguards for those involved in collisions

Statistics Since Launch

Insurance Self-Declaration Statistics November ‘10 1,100 December ’10 12,600 January ‘11 February ‘11 9,200 March ‘11 13,800 April ‘11 16,900 May ‘11 20,500

Enforcement System Display Vehicle insurance status

Enforcement System Display Vehicle insurance status

Insurance Validation Program Questions ?