Several jurisdictions have introduced, while others are actively considering, programs that require automobile insurance companies licensed with a jurisdiction to report insurance coverage information for privately owned vehicles. The exchange will occur between trading partners; in this case, between jurisdictional agencies that require the reporting of mandatory motor vehicle insurance coverage information and the insurance industry.
How Does It Work?
Accomplished via Electronic Data Interchange (EDI), in either batch or interactive format, the exchange will be initiated on a regularly scheduled basis by an insurer whenever individual policy information for a privately owned vehicle is activated, adjusted, or terminated.
The exchange will utilize the American National Standards Institute (ANSI) Accredited Standards Committee (ASC) X.12 Transaction Set 811 (Automobile Liability Insurance Reporting). The X.12 Transaction Set 811 automates the process by which an insurer reports insurance information to the jurisdictions. The effort has seen widely increased jurisdictional and industry level interest. AAMVA and the IICMVA promote the use of the standardized record format if and when insurance companies are required by the jurisdictions to electronically report insurance information. The final aim of the effort is the establishment of an electronic means of exchange for insurance information between trading partners.
The ALIR Implementation Guide was created by the ASC X.12 Property & Casualty community and restricts data requirements to only those necessary for automobile liability insurance reporting. The Washington Publishing Company provides a free download page by which to obtain the Implementation Guide, or any other X.12 transaction set.