licensing and vehicle ownership chapter 19. 19-1 the licensing process the driver’s license ...
TRANSCRIPT
Licensing and Vehicle Ownership
Chapter 19
19-1 The Licensing Process The Driver’s License
First taste of freedom, but it comes with responsibility
It is a privilege, and can be taken away if you fail to meet your obligations as a driver
Functions of a driver’s license Proof of legal ability to drive a vehicle Proof of identity If you move to a different state, you must have a valid
driver’s license in the state that you live in
The Department of Motor Vehicles Known as the DMV
Other names: Motor Vehicle Association (MVA), Bureau of Motor Vehicles (BMV)
This is where you will be issued your license Instances in which you could be denied a license:
Not being legal age Having history of irresponsible driving Not being a resident of the jurisdiction Having a physical or mental condition making it unsafe
to drive Failing written test or road test Lying on your license application Failing to have paid an outstanding traffic fine Chronically abusing alcohol or drugs as determined by a
court Failing to understand road signs Refusing to surrender a license from another jurisdiction
in return for your new one Having your license suspended or revoked
Licensing Age Restrictions
must be 16 years of age or older 15 for a learner’s permit
Types of Licenses Learner’s Permit Restricted License A license with parents’ approval needed until you
are 18 Upon proof of independence Regular license
Driver’s License Testing Written Test
Evaluates your knowledge of driving fundamentals If you fail, you can take it again
Vision Test Color test, visual acuity, depth perception
Road Test After receiving your license…
Don’t just take off and drive by yourself Put off challenges, such as long trips, dense traffic,
etc.
19-2 Insuring Your Vehicle Financial Responsibility Laws
Regulations making drivers responsible for any damage to property or any personal injury that they may cause while driving
Must have vehicle insurance Insurance Policy
Written contract between the driver and the insurance company that outlines our coverage and how much the insurance company is liable for
Must be able to show verification if you are pulled over – can be ticketed – but if you prove you have insurance, ticket will be dropped
Types of Vehicle Insurance Insurance is acquired from an insurance
company by paying a premium A specified amount of money for a length of
time, usually 6 months or a year If your vehicle is damaged or stolen or if you
are injured in a collision in your vehicle, you can make a claim to your insurance company A report filed by an insured person against an
insurance company to recover losses covered by his or her policy Includes people filing against another person
Deductible Amount of money that you must pay before the
insurance company begins paying for you on a claim or demand
Higher deductibles = lower premiums Once your deductible is met, insurance pays up
to limit specified in your policy
Liability Insurance Mandatory in Illinois
Bodily Injury Liability Pays for medical costs and the pain and suffering
associated with injuries and death to other persons when you are at fault
Property Damage Liability Covers the repair or replacement of other people’s
property damaged by your vehicle Both of these will also pay your legal fees and
court costs in the event you are sued by another driver or pedestrian
Illinois Insurance type and minimum amount required: You are in compliance with the mandatory
insurance law if you have vehicle liability insurance in the following minimum amounts: $20,000 - injury or death of one person in an
accident $40,000 - injury or death of more than one person
in an accident $15,000 - damage to property of another person
Enforcement Enforcement of the mandatory insurance law is accomplished
through a random questionnaire sampling process and the issuance of traffic tickets.
If the computer randomly selects your vehicle, you will receive a questionnaire asking for the name of your insurance company and policy number. Your answers will be verified with the company you name. If you do not have insurance or fail to return the questionnaire with the requested information, your license plates will be suspended.
If you are stopped for a traffic violation or involved in an accident, a law enforcement officer may issue a traffic citation if you are unable to provide evidence of insurance. If convicted, your license plates will be suspended and you will face the following fines:
minimum $500 fine for driving uninsured minimum $1,000 fine for driving a vehicle while the license plates are
suspended for a previous insurance violation
Vehicles Affected Liability insurance is required for all motor
vehicles that must display license plates and are being driven, including: Cars Vans Motorcycles Recreational Vehicles Trucks Buses Trailers are not required to have liability insurance.
Collision Insurance Covers the cost of repairing or replacing your
vehicle at its current market value when it is damaged in a collision
Also subject to deductible and coverage limits Usually pays for damage even if you are
responsible or if your car is damaged while parked in a lot or on the street
Comprehensive Insurance Protects you from the loss of your vehicle or
accidental damages to your vehicle caused by anything except a collision Pays for repair or for replacement costs up to the
current market value of the vehicle, less the amount of deductible stated in the policy
In some places, the insurance company of the driver at fault pays for costs arising from injuries and/or property damage to others
No-Fault Insurance Requires that the insurer pays the
owner and passengers for certain damages or personal injury claims regardless of who is at fault in a collision
Some places, driver’s are required to carry uninsured/underinsured motorist coverage Protects the insured driver and any
passengers from damages resulting from a collision caused by a hit-and-run driver or by a driver who either does not have liability insurance or does not have enough to cover all losses for which he or she is held responsible
Insurance Rates Rates are determined by statistics that indicate the likelihood
that certain groups of people will be involved in a crash Factors include:
Driving record Age Miles driven Gender Marital status Residence Type of vehicle
Ways to Reduce Insurance Rates Discounts are given for drivers who:
Have no claims or moving violations for several years Have more than one vehicle insured Have factory-installed airbags or automatic safety belts Have a car with an anti-theft device Carpool Are students that maintain a “B” average in school
Exclusions Describes the conditions under which certain
types of injury or damage are not covered For example,
Liability policy may exclude coverage if an injury or damage is caused by another person who uses an insured vehicle without the insured owner’s permission
Filing a Claim Must notify the insurance company promptly Notify police of the situation
If police have not been notified: your claim can be denied May not get full amount of the claim
A claim’s adjuster will come and document damages done and make and estimate of the cost
19-3 Your Driving Record A record maintained by the jurisdiction in
which you live of all your motor vehicle violations that have occurred in all jurisdiction
Your license can be revoked for a violation in another jurisdiction Communication between jurisdictions, such as law
enforcement officials, the courts, and DMVs
The Demerit System DMV keeps a record of all moving violations
that a person accrues over their lifetime DMV puts points onto your record Points will stay on your record for a specified
period of time based on the severity of the offense More serious the offense, more points charged to
your record Example: the number of demerit points for
speeding often depends on how many miles per hour over the posted speed limit you were found to be driving
License Suspension and Revocation Suspension
Temporary loss for a specified period Revocation
Cancels the legal permit to drive for a specified period of time
After the revocation period expires, you must apply for a new license
Habitual Offender Revocation can be made permanent for offenders
that commit offenses repeatedly
License Suspension and Revocation http://www.cyberdriveillinois.com/publications/
pdf_publications/dsd_a112.pdf
19-4 Buying and Selling a Vehicle New vs. Used
Warranty Written guarantee that the car manufacturer or dealer will
repair or replace any defective parts or systems within a set amount of miles or years
New cars Longer warranties Hold up better under heavy use or long distance traveling Parts are easier to find
Used cars Lower prices
Depreciation The decline of a vehicle’s resale value over time Depends on the vehicle condition, mileage, and options
Cheaper to insure
Buying a New Car Shop around
Go to several different dealerships and find out what is available
Find out exactly what you are going to have to pay to drive one off the lot
Keep in mind – most car salesman are paid by commission and can be aggressive in going after business
Be polite but firm If you have questions or don’t understand
something, ask
Buying a New Car List Price
“retail price” manufacturer’s suggested retail price (MSRP)
for factory-installed options “sticker price”
List price plus destination charges and additional options and services provided by the dealer Destination charge – cost of shipping the
vehicle from the manufacturer to the dealership Preparation charge – prepare the vehicle for
sale by tuning up the engine, checking emissions, and performing other services
Will often not include sales tax or registration fees
Buying a New Car Rebate
Special payment to the customer to boost sales on certain models
Make sure to consider the warranty Usually 3 years or 36,000 miles to 5 years 60,000
miles
Buying a Used Car More time consuming and complicated that
buying a new car Make sure you are not getting someone else’s
problem Inspect the car with a friend
Go in the daytime when you can see well Test drive several times Have a mechanic do a diagnostic check Get the CARFAX report
Gives you a listing of previous owners Call and get their opinion of the vehicle
Lists any and/or all issues that have involved the car Collisions, mileage, service visits
Financing Your Vehicle Purchase price
Amount of money that the dealer or owner is willing to accept
Cash = No Interest Auto Loans
Total cost of the car depends on: Interest rate Amount borrowed Length of time required for repayment
Usually run 2-5 years in duration Larger the down payment, lower the monthly
payment and less you will have to pay in the long run
Title and Registration Title
Document showing proof of ownership You do not receive the title until you purchase the
car (your last payment) Registration
Paid each year
Selling Your Vehicle It is important to take care of
your vehicle in the event you want to sell it
Clean the inside and out Check Kelly Blue Book for
estimates on worth of your vehicle
Make sure you have all your money before giving up the title to vehicle
Trade-Ins When trading your car in, you will
get a new car, but now owe on the old car and the new one