The Virginia Department of Motor Vehicles (DMV) keeps track of whether vehicles are registered in that state are insured using various methods. All insurance companies who are licensed to do business in the state are required to notify the DMV every time they issue or cancel a car insurance policy. Insurers are also required to contact the DMV electronically every time a change is made to an existing policy.
The monitoring process also includes the Suspected Uninsured Accident program. A driver or vehicle owner can file a report with the DMV indicating that he or she has reason to believe that the other vehicle was not insured. The DMV follows up by sending a request for information to the vehicle owner. If that person does not respond or does not have insurance, his or her registration is revoked.
A third method for verifying Virginia car insurance involves law enforcement officials. During a traffic stop or after an accident, a driver will be asked to provide proof of insurance. A person who is unable to provide proof of coverage is reported to the DMV, which issues an order of suspension.
Finally, accident reports are reviewed by the DMV to detect drivers who may be driving without Virginia car insurance coverage. Potential uninsured drivers are sent a request for information so that their coverage can be verified. Again, failure to respond or lack of insurance means a suspension is issued.