The percentage of U.S. motorists driving without insurance has been steadily creeping upward, with the highest number in Mississippi, according to a recent study.
Reacting to the findings by the not-for-profit Insurance Research Council in Malverne, Pa., Mississippi's top insurance regulator said he thought socio-economic factors might be involved.
IRC said the estimated percentage of uninsured motorists increased nationally from 12.7 percent in 1999 to 14.6 percent in 2004, with the amount of uninsured motorists varying widely from state to state.
The five states with the highest uninsured driver estimates were: Mississippi (26 percent); Alabama (25 percent); California (25 percent); New Mexico (24 percent); and Arizona (22 percent).
The five states with the lowest uninsured driver estimates were: Maine (4 percent); Vermont (6 percent); Massachusetts (6 percent); New York (7 percent); and Nebraska (8 percent).
Mississippi Insurance Commissioner George Dale said he was aware of his state's uninsured problem. "That's not something we're proud of," he said, adding, "We don't have a good answer as to why."
He said efforts have been made to correct the problem, but they have not proved successful.
Mr. Dale said drivers who are stopped and cannot provide proof of insurance to police can be given a citation that carries a $1,000 fine, which is reduced to $100 if they purchase coverage before their court appearance.
The commissioner said in areas where law enforcement is aggressive in asking for proof of coverage, the number of uninsured drivers is low, but many police find they have other responsibilities with higher priorities.
Mr. Dale said he thinks a key factor in Mississippi's high uninsured rate "has to do with the social economic background of a number of our people." He noted the state also has one of the nation's highest infant death rates.
He said the National Association of Insurance Commissioners is currently examining the possibility of a uniform law nationwide.
In Maine, which has the nation's lowest rate, Insurance Superintendent Alessandro Iuppa, who is NAIC president, said in his state "the mindset here is to do the right thing." He also noted that "the cost of auto insurance in Maine tends to be among the lowest in the country."
Additionally, he mentioned that the Maine Secretary of State's Office has an aggressive program of tracking auto insurance. "If you drop or change coverage, you get a letter." Also, Maine motorists must provide proof of insurance when they renew their registration.
IRC said its study, "Uninsured Motorists, 2006 Edition," examines uninsured trends from 1999 to 2004.
IRC said it estimates the uninsured driver population using a ratio of insurance claims made by individuals who were injured by uninsured drivers to claims made by individuals who were injured by insured drivers.
The study contains recent statistics by state on uninsured motorists claim frequency, bodily injury claim frequency, and the ratio of uninsured motorists to bodily injury claim frequencies.
Elizabeth A. Sprinkel, senior vice president of the IRC, said the study did not do a comprehensive analysis as to what issues there were in particular states that affected rates.
The IRC study examined data collected from 11 insurers, representing approximately 58 percent of the private passenger auto insurance market in the U.S.
More information on the study is available through Ms. Sprinkel at (610) 644-2212, ext. 7568; by fax at (610) 640-5388; or by e-mail at irc@cpcuiia.org; or online at http://www.ircweb.org. Copies of the study are $100 each in the U.S. and $115 elsewhere.
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