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Security deposit

If an uninsured motorist is involved in an accident, and is liable for damages caused by the accident, they can maintain their driving and/or vehicle registration privileges by depositing security with the Division of Motor Vehicles (DMV). DMV determines the amount of security by reviewing damage and injury evaluations received from other parties in the accident.

The uninsured motorist will receive a notice of driver license suspension showing the amount of security required. If the uninsured motorist deposits security as a means of maintaining their driving and vehicle registration privileges, DMV will hold the funds until one of these occurs:

• the parties who had damages or injuries reach an agreement with the uninsured motorist.
• a court orders DMV to disburse the funds according to the court ruling.
• one year has passed and no court action has been initiated.

Installment agreement

If all affected parties agree, they may enter into an installment agreement to pay for the damages or injuries using the Installment Agreement To Pay Accident Damages form MV3128.

The uninsured motorist must sign the agreement in the presence of a notary public. Those who had damages or injuries must sign the agreement in the presence of a witness. An insurance company representative must also sign if the payments are being made to the insurance company.

Release of liability

If the uninsured motorist settles the damages with the other party or parties, they must submit evidence that the parties involved have settled the damage or injury claims directly by filing a release of liability using the Release of Liability form MV3041. Those who had damages or injuries must sign the release in the presence of a witness or a notary public. This releases the uninsured motorist of all liability for this accident.

Reaching an agreement

The parties must file a Security Deposit Assignment and Liability Release form MV3216 with DMV.

This form is to be used if an uninsured motorist deposits security to avoid losing their privileges and then settles the claim(s). The uninsured motorist fills out the Security Deposit Assignment portion of the form. The form must be signed in the presence of a notary public. The claimant(s), (person(s) receiving the money), completes the Liability Release portion of the MV3216. They, too, must sign in the presence of a notary or witness. This releases the uninsured driver and/or vehicle owner from any and all future claims filed by the claimant(s) for the accident. The funds that DMV has been holding are mailed to the claimant(s) in approximately three to four weeks.

Request a hearing

If an uninsured motorist cannot come to an agreement with the other parties in the accident, and feels that a judgment in the amount claimed could not be rendered by a court, or if an uninsured motorist feels they were not at fault in the accident, a hearing may be requested to present testimony and strong evidence about the accident. To prevail, the hearing examiner must find that the evidence is of such weight that no reasonable possibility exists that a Wisconsin civil court would render a decision for damages against the uninsured motorist. The request for a hearing must be made in writing to the mailing address or e-mail address listed on the notice of suspension of privileges.

Questions? Contact us: Wisconsin DMV email service
Call: (608) 266-1249