The financial responsibility requirement can be met in one of several ways;

 

1. The vehicle owner can insure the motor vehicle with minimum liability coverage thru a policy issued by an insurance company licensed to do business in Virginia.
   
   The minimum liability coverage is as follows.

• Bodily injury/death of one person $25,000
• Bodily injury/death of two or more persons $50,000
• Property damage $20,000

2. The vehicle owner can show proof that a Surety Bond has been duly executed, by depositing cash or securities with DMV, or apply for and receive a self-insurance certificate from DMV.
    

3. The vehicle owner must pay the Uninsured Motor Vehicle (UMV) fee.

Every person registering an uninsured motor vehicle shall pay a fee of $500 at the time of registration. Payment of this fee allows a motor vehicle owner to operate an uninsured motor vehicle. Payment of this fee does not provide the motorist with any insurance coverage. If involved in an accident, the uninsured motorist remains personally liable. The fee is valid for twelve months but may be prorated for the unexpired portion of the registration period.

Note: If liability insurance coverage on a vehicle terminates or cancels during the registration period, the vehicle owner must either reinsure the vehicle, pay the uninsured motor vehicle fee or surrender the license plates to DMV.

Every person applying for registration of a motor vehicle and declaring it to be an insured vehicle faces stiff penalties if the motor vehicle is subsequently found to be uninsured. DMV suspends all driver's license and registration certificates and license plates issued to the owner of the motor vehicle. These items are suspended until the person pays a $500 statutory fee (collected by DMV and deposited into the Uninsured Motorist Fund, furnishes and maintains proof of financial responsibility (form SR-22) for three years and pays a $45 reinstatement fee, if applicable.

DMV monitors insurance coverage through our Insurance Verification Program. You can view insurance companies licensed to conduct business in Virginia. The Virginia Auto Insurance Consumer Guide contains additional insurance information.

For Insurance information please contact James E. Junius, Deputy Director of Vehicle Services by e-mail, by phone at (804) 367-0510, by fax (804) 367-0363 or write to P. O. Box 27412, Richmond, Virginia 23269.

Uninsured Motor Vehicle Fee

Every person registering an uninsured motor vehicle shall pay a fee of $500 at the time of registration. Payment of this fee allows a motor vehicle owner to operate an uninsured motor vehicle. Payment of this fee does not provide the motorist with any insurance coverage. If involved in an accident, the uninsured motorist remains personally liable. The fee is valid for twelve months but may be prorated for the unexpired portion of the registration period.

Uninsured Motorists Fund

As provided for by Motor Vehicle Code 46.2-710, all revenue collected by DMV as a result of registering an uninsured vehicle is paid into the state treasury and held in a special fund known as the Uninsured Motorists Fund. The purpose of the Fund is to reduce the cost of uninsured motorist insurance coverage. Moneys are distributed annually from the Fund among the insurers writing motor vehicle bodily injury and property damage liability insurance on vehicles registered in Virginia. Moneys are distributed in proportion that each insurer's premium income for the basic uninsured motorists limits coverage bears to the total premium income for basic uninsured motorists coverage written in Virginia during the preceding year

Monitoring Methods

The Department of Motor Vehicles (DMV) uses the following methods to monitor insurance of Virginia registered vehicles.

Electronic Motor Vehicle Liability Insurance Reporting is the cornerstone of all monitoring methods. The motor vehicle code 46.2-706.1 requires insurance companies authorized or licensed to do business in Virginia to furnish liability insurance information to DMV electronically. This information is required when insurance policies are canceled, new policies are written and when there are additions to existing polices for motor vehicles registered in Virginia.

Insurance monitoring also occurs through the Suspected Uninsured Accident. This process allows a driver, vehicle owner or a representative to voluntarily file an accident report (FR200) with DMV and as a part of the report, to indicate there is reason to believe the other vehicle involved in the accident was uninsured. A request for insurance information is sent by DMV to the other vehicle owner specified in the report. If the other vehicle owner fails to respond or is found to have no insurance, an order of suspension is issued to the owner. The vehicle owner or representative filing the accident report may request DMV to provide them with the insurance information obtained.

A third monitoring method, the Law Enforcement Notification is initiated when police officers require owners to provide insurance information to DMV. Drivers are issued a form (FR422A) requesting insurance information at roadside checks. DMV issues an order of suspension to vehicle owners who are found uninsured. In addition to the State Police, a total of 108 local law enforcement agencies participate with DMV in the Law Enforcement Notification process.

The Police Accident Reports (form FR300P) process is another method of monitoring insurance. It utilizes police accident reports to identify potentially uninsured individuals. The accident reports are reviewed to determine if a need exists to request insurance information. If it is determined a need exists, insurance information is requested from the owner. If the owner fails to respond to the request or if the owner does not have insurance, an order of suspension is issued to the owner

Penalty

Every person applying for registration of a motor vehicle and declaring it to be an insured vehicle, faces stiff penalties if the motor vehicle is subsequently found to be uninsured. DMV suspends all driver's license and registration certificates and license plates issued to the owner of the motor vehicle. These items are suspended until the person pays a $500 statutory fee (collected by DMV and deposited into the Uninsured Motorist Fund, furnishes and maintains proof of financial responsibility (form SR-22) for three years and pays a $45 reinstatement fee, if applicable. During the three-year period, insurance companies notify DMV if the insurance coverage is canceled (form SR-26). When three years have elapsed from the effective date of the suspension, DMV relieves the vehicle owner of the requirement of furnishing proof of financial responsibility.

Insurance companies can file financial responsibility insurance certifications electronically (Financial Responsibility Insurance Filing Via Internet). We strongly encourage the electronic submissions of the certifications as this will update your customer's financial responsibility information directly on their DMV record.

If you have questions e-mail Mike Andresen, Policy Analyst Sr. at dmvmra@dmv.state.va.us or phone him at (804) 367-0510 or if you would like to sign up for this service see Application for Extranet Transaction Access .