15 Feb Louisiana goes after drivers with no car insurance
The State of Louisiana is cracking down on drivers who have let their car insurance lapse. Here at the AWS blog, we have been following Lousiana’s recent attempts to collect past due fines by sending out over 1.2 million letters to people the state claims were driving without vehicle insurance. Now they have another collection method at their disposal, The Office of Debt Recovery.
This newly formed office has the authority to extract money from bank accounts, intercept tax refunds and recommend that a person’s state-issued professional license be suspended. Previously the state was unable to use these methods; that is until the Legislature created this office in 2013.
According to Office of Motor Vehicles Deputy Commissioner Staci Hoyt, the office has collected $225 million of the $444 million owed the agency.
Louisiana’s Department of Revenue spokeswoman Kizzy Payton said the Office of Debt Recovery has collected $5 million since the office gained jurisdiction over OMV fines. Payton said the agency has sent letters notifying residents that their debt has been turned over to the ODR. They have not begun recommending that people’s licenses be suspended, but they will start offsetting tax refunds.
Make sure that you are adequately covered and not driving with lapsed car insurance. Contact an agent at AWS Insurance today and they can make sure you have the appropriate amount of coverage for your car, truck, or RV.