I happened to come across this
In the UK, this type of technology is already in heavy use. Number plate recognition cameras and the Motor Insurance Database or MID fulfil this purpose. The
In addition, the City of London gains significant revenue from charging for car access to the city. The toll is called
So in this time of economic uncertainty, where various U.S. states are looking for cost savings and revenue streams—should insurance align itself with the Big Brother approaches to monitoring drivers? The number of uninsured drivers on the road has always been a significant problem, and with household budgets under pressure the problem will increase. Dealing with this issue comes at a significant price though.
The cost to the insurance industry of setting up such a system is considerable, especially one that can be reliable enough to automatically fine customers. Insurers not able to update the central database in a timely manner risk having their customers fined, or if the UK method is adopted, stopped by the police while their cover status is checked over the phone. Once again timely data integration will have a significant impact on customer satisfaction.
Whilst the insurance industry will resist the costs involved, and customer advocacy and privacy groups will lobby against such moves, it seems inevitable that automatic checking of vehicles status using license plates will eventually become a reality in most developed countries, if it is not already in place.
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