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Indiana BMV says it may have overcharged for licenses

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Indiana's Bureau of Motor Vehicles says it "may have inadvertently" overcharged drivers for licenses.

The department made the acknowledgement in a response to a class-action lawsuit that alleges Indiana collected up to $30 million more than it should have by charging drivers more for licenses than allowed by law.

"The BMV admits that on certain occasions it may have inadvertently overcharged a number of Indiana citizens for operators' licenses," lawyers for the state wrote in a May 15 court filing.

Indianapolis lawyer Irwin Levin filed a suit earlier this year alleging drivers were charged up to $7 more for each license than allowed by law. Levin is seeking to have that money returned to drivers.

But the BMV, in its response, said is still trying to determine whether drivers were "systematically" charged more for their licenses.

"The BMV is without sufficient information at this time to admit or deny the allegations regarding a systematic overcharge of Indiana drivers," Deputy Attorney General Don Hostetler wrote. Hostetler wrote later that the state should be immune against the lawsuit under state law and that the statute of limitations has run out for plaintiffs.

A spokeswoman for the attorney general's office, which is representing the BMV, declined to comment beyond what was in the court filing.

If the lawsuit is successful, the state could owe drivers at least $8 million and possibly more. More than 2 million of the state's 4 million drivers renewed their licenses in Indiana last year, according to the lawsuit.

Levin said Tuesday he found the claim that the increased prices were "inadvertent" surprising and wondered if BMV Commissioner Scott Waddell overpaid the state for his driver's license as well.

"Let's go find out how much he paid," he said.

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  • Still better off
    I will pay an extra $7 every 6 years to have the fantastic service our BMV puts out now days. Obviously there are many who worget the days when hours went by, today it's minutes.
  • Here we go again
    Maybe it's not too late for the FBI to extend their hotel reservations...
  • Unbelievable
    I can't believe they didn't know they were over-charging people!!! Where is the money and why hasn't it been returned? How can you not know or notice an additional 30 million dollars?
  • Keep it
    I'd rather the state keep my $7 instead of sending $3 to me and $4 to some attorney.
  • EXTRA GRAVY,,,
    What is an extra 30 million between friends?

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  1. The deductible is entirely paid by the POWER account. No one ever has to contribute more than $25/month into the POWER account and it is often less. The only cost not paid out of the POWER account is the ER copay ($8-25) for non-emergent use of the ER. And under HIP 2.0, if a member calls the toll-free, 24 hour nurse line, and the nurse tells them to go to the ER, the copay is waived. It's also waived if the member is admitted to the hospital. Honestly, although it is certainly not "free" - I think Indiana has created a decent plan for the currently uninsured. Also consider that if a member obtains preventive care, she can lower her monthly contribution for the next year. Non-profits may pay up to 75% of the contribution on behalf of the member, and the member's employer may pay up to 50% of the contribution.

  2. I wonder if the governor could multi-task and talk to CMS about helping Indiana get our state based exchange going so Hoosiers don't lose subsidy if the court decision holds. One option I've seen is for states to contract with healthcare.gov. Or maybe Indiana isn't really interested in healthcare insurance coverage for Hoosiers.

  3. So, how much did either of YOU contribute? HGH Thank you Mr. Ozdemir for your investments in this city and your contribution to the arts.

  4. So heres brilliant planning for you...build a $30 M sports complex with tax dollars, yet send all the hotel tax revenue to Carmel and Fishers. Westfield will unlikely never see a payback but the hotel "centers" of Carmel and Fishers will get rich. Lousy strategy Andy Cook!

  5. AlanB, this is how it works...A corporate welfare queen makes a tiny contribution to the arts and gets tons of positive media from outlets like the IBJ. In turn, they are more easily to get their 10s of millions of dollars of corporate welfare (ironically from the same people who are against welfare for humans).

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