Story Photos
 Photo by Roger Werth Fred Howard of Precision Auto Body in Longview works to replace the bumper and straighten a frame on a damaged Honda. Precision Auto Body owner Daryl Wilson said about 30 percent of cars that come through his shop are damaged by uninsured drivers or hit-and-run collisions. |
Uninsured drivers jack up costs for all
Sunday, September 17, 2006 11:39 PM PDT
By Janine Manny
Printable version
E-mail this articleIn March 2005, Phil Winters was returning home to Longview from his job at the Port of Ridgefield. As he exited Interstate 5, a pickup entered his lane, smashing the front and passenger side of his Buick.
Like hundreds of other residents of Cowlitz County, Winters had to deal with damage to his car caused by a driver without auto insurance.
Last year, 2,995 motorists were cited for driving without insurance in the county, according Cowlitz County District Court records. This year, 2,400 infractions have already been filed. The court handles citations for all law enforcement agencies in the county.
Fortunately for Winters, he carried uninsured motorist coverage on his insurance policy. But he still had to pay a $500 deductible.
"I lost all sorts of time at work," Winters said. "The collision threw my back and my shoulder out, and it took a long time to heal."
The Winters family, which is insured by Allstate, was fortunate not to see an increase in rates because of the claim.
"It was good that we had uninsured motorist coverage, or we would have been out a huge amount of money," Winters said. "But the other guy basically got off scot-free. All he got was another dent in an old beater truck."
"It's been a hassle," his wife, Brenda, said. "We're a one-income family and $500 is a lot of money. There are a lot of other things we would rather have spent that money on."
She said she is tired of responsible people suffering from the actions of the irresponsible.
"The kid who hit Phil didn't have insurance or any other assets," she said. "We have no way of recouping those costs."
The national average of uninsured motorists is 14 percent, according to the Insurance Research Council (IRC). In Washington, the estimate is 18 percent.
Based on the number of registered vehicles in the state of Washington --- more than 5.5 million, according to the IRC --- nearly a million uninsured cars travel Washington's roads.
Insured Washington drivers pay nearly $80 million a year in premiums to cover the costs of uninsured drivers, according to the Insurance Service Office, a national risk analysis company.
Protect yourself
In Washington, uninsured motorist coverage is optional on policies, and the cost is between $50 and $100 per vehicle every six months, according to Jim Little of Rush Insurance and Financial Services in Longview.
"The only way to protect yourself is to carry uninsured motorist coverage on your own policy," Little said. "That would cover you and your passengers if you got injured."
"Insurance is expensive. I hear that all the time," Little said. "Nobody likes to pay for insurance, including me. We all have things we'd rather buy. But if you have something of value, you need to protect it."
Victims also can sometimes file claims under their collision coverage for the damage done to their vehicles by uninsured motorists.
"Collision coverage is designed to pay for damage you do to your car yourself," said Brad Weekly of the NW Insurance Council in Lake Oswego, Ore. "If there is no other recourse when you are the victim of a hit-and-run or an uninsured driver, and the insurance company does pay, you are still responsible for the deductible, which is a bitter pill to swallow when you were not at fault."
The long-term cost of using your collision insurance could be more than the cost of the repair.
"Some insurers will also add a surcharge onto your policy for the collision claim, and that is even a more bitter pill to swallow," Weekly said.
Insurance companies try to recover everything they can from uninsured drivers in a variety of ways, including placing liens on their assets.
"You could sue the uninsured driver, but if they can't afford insurance, you have to wonder how many assets they do have," Weekly said.
Daryl Wilson, owner of Prestige Auto Body in Longview, said about 30 percent of cars brought to his shop are damaged by uninsured motorists or in hit-and-run collisions.
"Customers have to come up with the deductible, even if they have uninsured motorist coverage," Wilson said. "If they only have liability insurance on their own car, they're stuck. They have to pay for the repairs themselves or drive a damaged vehicle."
No proof required
Washington does not require proof of insurance to register a vehicle, renew registration or get a driver's license.
"There is no way to determine how many people are driving without insurance," Little said. "If an uninsured driver is very good, very careful and very lucky, he might not get caught."
Plenty of uninsured motorists get caught in Cowlitz County and are issued a $538 ticket.
But of the nearly 3,000 no-insurance tickets issued in 2005, only 26 were paid in full, with 410 dismissed because drivers later proved they had insurance. The rest went unpaid or the fines were reduced, sometimes because the person purchased insurance before appearing before a judge.
"It's a Catch-22 for some of these people," District Court Administrator Delaura Wirkkala said. "They can't afford insurance and they get a ticket. They can't afford to pay the ticket, and when they fail to pay, their license is suspended."
The judge typically reduces the fine by more than half, to about $250.
"The judges want to encourage these people to get insurance," Wirkkala said.
Cited drivers can pay the reduced fine or the judge can agree to a payment plan, often as little as $25 a month. Wirkkala said most do not follow through with the payments, and the balances are turned over to a collection agency.
Wirkkala said there are thousands of fines in collection. There is a $52 failure-to-appear fee added, and the collection agency adds a 30 percent fee and interest. There is also the possibility of garnisheeing wages to collect the amount owed.
Lumping all unpaid traffic infractions together, Wirkkala said there is currently more than $9 million owed to the county.
Spiraling out of control
When offenders fail to pay the fines, the state licensing agency is notified and the person's license is suspended.
"When people don't take care of the fines, it spirals out of control," she said.
The next time the person is pulled over, he or she is cited again for no insurance and driving with a suspended license, which carries a maximum fine of $2,050 and up to 90 days in jail.
"Some people have the perception that insurance is too high, so why bother, or they don't like the fact that it is mandated by the state," Wirkkala said. "But now, with the new jail open, they face jail time if they are caught driving with a suspended license."
Processing the citations is time consuming for the court staff.
"The no-insurance tickets account for more than one-half of the infractions we process," Wirkkala said. Most of the cited drivers are repeat offenders.
"The county is rural. You have no insurance, but you need to go the grocery store or take your kid to the doctor, what choice are you going to make?"
Law enforcement agencies in some states have the ability to impound a vehicle if the driver can't produce proof of insurance.
Not in Washington.
"Nothing in the law allows officers to impound the vehicle for having no insurance," Longview Police Department Sgt. Dan Jacobs said. "We can only do so much to stop people from driving without insurance. We have to operate within the guidelines of the law and, frankly, I think we do a pretty good job."
When Jacobs makes a stop and determines that the driver is not insured, he counsels them to purchase insurance immediately.
"I tell them the judge will probably reduce the fine if they have insurance," Jacobs said. "They need to make the effort; that's what it's all about."
If the person is driving with a suspended license, that's another story. The car is impounded.
"You get to know the people in the area you patrol, and you know who shouldn't be driving," Jacobs said. "Nobody is going to get breaks when it comes to driving without insurance or driving with a suspended license. That could be my family out there that they hit."
Jacobs said people who rack up infractions and drive without insurance are taking a big risk.
"They might be able to justify it to themselves, but there is no justification for driving without insurance," he said. "People say insurance is too expensive, and I understand that, but it is more expensive if you get in an accident."
Law enforcement methods
Wirkkala said she thinks the true number of uninsured motorists in Washington is 25 percent or 30 percent, instead of the estimated 18 percent.
"It's one of those things that would be nice to be able to enforce," she said. "But how could it be enforced? There would have to be ignition interlock devices on vehicles, and drivers would have to slide a valid insurance card through it to start the engine."
Drivers who have lost their licenses for other offenses, such as driving under the influence, are required to file an SR22 form when the license is reinstated. If that person allows insurance to lapse, the insurance company notifies the state and the license is re-suspended.
Little said all drivers in Washington should have to go through a similar process.
"There would be more paperwork and perhaps more cost, but it would work," he said. "If we are going to have a law that requires insurance, we need to have a method to enforce it."
Law enforcement officers are allowed to get tougher in Oregon. The number of uninsured motorists there is estimated at about 12 percent.
Proof of insurance is required in Oregon to register a vehicle, renew registration or get a driver's license.
"We have a city resolution that allows us to tow a vehicle for DUI, no license or no insurance," Rainier Police officer Greg Buddrius said. "But it's also a state resolution that any Oregon agency can tow a car for no insurance."
Oregon also has a computer network that allows an officer to check the vehicle's insurance status from his patrol car.
"I can look and see what company the car is insured with and what the effective dates are," Buddrius said. "It's also now a crime in Oregon to give false information regarding your insurance status."
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