Harsher car insurance rules come into effect - Car insurance - News - Moneyfacts


Harsher car insurance rules come into effect

Harsher car insurance rules come into effect

Category: Car insurance

Updated: 26/11/2012
First Published: 20/06/2011

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Motorists have been warned that they will face harsh measures if they are found to be driving without insurance.

From today, drivers must declare that their car is off the road if they do not intend to buy an insurance policy.

It means that it will now be an offence to keep an uninsured vehicle, rather than just drive when uninsured.

People who are uninsured will first receive a warning letter, followed by a £100 penalty.

If the vehicle remains uninsured – regardless of whether the fine is paid – further action will be taken.

Drivers could see their vehicle clamped, seized and destroyed or face court action, where a fine of up to £1,000 could be imposed.

It is estimated that there are some 1.4 million vehicles in the UK that are not insured.

"Uninsured drivers are a danger on our roads, killing 160 and injuring a further 23,000 people each year, and they cost honest motorists £500 million in extra premiums," said Mike Penning, Road Safety Minister.

"That is why we are introducing this tough new law which will leave uninsured drivers with nowhere to hide.

"Our message is clear – get insured or face a fine, court action or seeing your car seized and destroyed."

Drivers caught under the new rules will also get a criminal record and face hikes in their future insurance policies.

A joint awareness campaign by the DVLA and the Motor Insurers' Bureau will be launched later this month.

Compare car insurance providers

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Car insurance premiums race ahead

Car insurance only ever seems to be on the rise, and unfortunately, this upward spiral shows no signs of ending any time soon. Instead, average premiums have ramped up again – and they’re expected to do so further in the months ahead.

Car insurance premiums rise by £39 in a year

Car owners are being urged to shop around for their insurance after the latest figures from insurance trade body the Association of British Insurers (ABI) revealed premiums had increased by 10% in the past year.

Car insurance costs hit new high

For many people, car insurance costs seem to be only ever on the rise - and unfortunately, this trend looks set to continue, with new figures revealing that car insurance is rising once again – and that the average premium has now hit a record high.