Insert smartchip my lg shine keeps telling me to insert smartchip even though it's already in correctly. i tried another card and that doesn't work either. i removed the battery and the card and cleaned both and reinserted, and nothing changed. same error message.

If your phone displays the 'Insert correct simcard' then your phone is currently locked to particular network. You need to unlock to use it with other network.
There can be many ways to Unlock your phone. As far as i know unlocking by codes is the simple and safe way. I will suggest the website Unlock-zone.com which is doing good service and they were recommended highly in the cell phone forums.
I used them to unlock my cell phone. contacted them and within 30 mins i had my unlock code and my phone was unlocked.
Hope this helps.

it may be due to network lock,
you can unlock it and switch over to another network,try unlock codes here http://www.superunlockcodes.com/lg-cu915-vu/rs12wp9/
you need to specify the country and network provider

Try getting your sim card changed or the sim card reader in your phone fixed

Sounds to me like your sim card is bad. Try wiping it off and putting it back, but you will most likely need to go get a new sim card.

There could be a fault with the contacts on the USIM reader of your handset

Turn off the phone. Take the battery and Sim Card out. Make sure there is no dust or dirt of where the Sim Card goes. Blow air (from your mouth) of where the Sim Card goes. Sometimes rubbing a soft pencil eraser on the Sim Card contact points can help. Then place the Sim Card back in the phone. Make sure it is in the right position; copper contacts facing downward. Put the battery back in your phone. Turn it on, and see if the smartchip rejected goes away.

If not you may need to contact your Phone Provider’s Tech Support to troubleshoot and confirm that you may need a PUK reset code to register or you may need a new Sim Card, as they do fail from time to time.

Yes there are 2 different places for the SIM card and memory card in the VU, but they are very close together. Try using a small pair of tweezers to gently grab both sides of the card and slowly pull it out.

the smartchip is either not in correclty or maybe the phone doesnt read the smartchip

It did that for me too. But when I pushed it down gently and inserted it in, it worked for me.

You need to have your SIM replaced go to your carrier's store they will replace it for free usually