"Some people are not aware that their vehicle registration will be suspended or revoked if they allow their auto insurance to lapse -- for whatever reason," Grucela said. "Having your registration restored can be a time-consuming process accompanied by fees ranging around $50. Giving drivers advance notice would help minimize confusion and additional driving violations."
Grucela said insurance companies are currently only required to send a consumer a notice of cancellation on insurance privileges. The notice required under the bill would be similar to the notice currently required where the insurance coverage lapsed or was terminated by the insurer. The cost to the insurance industry, if any, would be minimal.
Under state law, if a person's motor vehicle insurance coverage is canceled or expired for any reason, they must return their license plate and registration sticker to the Pennsylvania Department of Transportation. If the required documents are not surrendered, a driver may face a 90-day license suspension if they continue to operate their vehicle without proper insurance, and drivers also can be further penalized.
Grucela said he introduced the bill after hearing from a constituent who voluntarily dropped his insurance because he was out of state for several months. Unaware of the consequences, the constituent's registration was suspended.