(a)(1) When the department is unable to verify that liability insurance coverage exists for a motor vehicle registered or required to be registered in this state, the department shall send the registrant notice via U.S. mail at the last known address as reflected on the department's motor vehicle registration records. The notice shall require that the registrant, within 30 calendar days of the date of the notice, provide evidence of continuous liability insurance coverage for the vehicle for the period specified by the department. The registration will be suspended unless either:
a. The registrant responds within the required time frame and the response establishes that the registrant has not had a lapse in liability insurance coverage. The department shall then indicate in its records that the insured is in compliance with this chapter.
b. The registrant responds within the required time frame that, after the registration date, he or she did not operate the vehicle during the lapse in coverage due to the motor vehicle being stored, inoperable, or otherwise unused as prescribed by the department. The registrant may claim the stored or inoperable exemption provided under this subdivision only if all of the following conditions are satisfied:
1. The registrant surrenders the registration and associated license plate to the registrant’s license plate issuing official within 30 days from the date of the notice sent pursuant to this subsection.
2. The registrant has not claimed a stored or inoperable exemption under this subdivision during the current registration period for the registered vehicle.
3. During the lapse in coverage, the registered vehicle was not involved in an accident while operated on a public road or highway.
4. During the lapse in coverage, the registrant or a driver of the registered vehicle was not subject to or issued a citation while operating the registered vehicle on a public road or highway.
(2) If each of the conditions in subdivision (1) is satisfied, the current registration shall be revoked and the department shall update its records to reflect that the registration is revoked for the remainder of the registration period. In the event the motor vehicle for which the registration has been revoked is no longer stored, inoperable, or otherwise unused as prescribed by the department, a new registration and license plate must be obtained prior to operating the vehicle. The department may establish by rule an extension to the 30 day surrender period if the registrant cannot return the license plate for good cause.
(b) Except as provided in subdivision (2) of subsection (a), if the registrant subsequently provides, in a manner as prescribed by the department, proof of subsequent liability insurance coverage for the vehicle during the current registration period, the registration shall be reinstated.
(c) Any operator of a motor vehicle for which the registration has been revoked shall be subject to citation by law enforcement in accordance with Section 32-7A-16.
(d) The notice required under subsection (a) shall include notice of the following:
(1) That the stored or inoperable exemption provided for in subdivision (2) of subsection (a) can be claimed only once during a registration period.
(2) That once this exemption is claimed during a registration period, reinstatement of the vehicle’s registration following any further lapse in coverage during the registration period will require the payment of the reinstatement fees provided under Section 32-7A-12.
Last modified: May 3, 2021