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Changes in the law regarding Van Insurance

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A warning has been issued to van drivers around the country to ensure that they have adequate van insurance for their vehicle.

The notice comes before the changes to insurance law come into effect on 20th June.

The new law; known as the Continuous Insurance Enforcement rule, requires all registered vehicles to have valid insurance.

Adequate cover

At present, a driver can be prosecuted for driving without insurance if they are actually caught behind the wheel, or if their vehicle was left on the road without adequate insurance cover. Under current laws, drivers are allowed to leave their van on their driveway uninsured and as long as it is not being driven. The new changes mean that it will now be illegal to own an uninsured vehicle unless it is declared 'off the road', using a statutory SORN notice.

Statistics show that 4% of drivers will now need to take out new van insurance or declare their van off the road.

Under the new system, the Motor Insurance Bureau and the DVLA will work in partnership to identify uninsured vehicles by comparing DVLA vehicle records against those held on the Motor Insurance Database (MID).

Autonet Insurance is warning van drivers and all our customers, to ensure that any vans they own are adequately insured before the law is enforced in a few week’s time, or they could face strict consequences.

Severe penalties

Initially people can expect to be fined £100 rising to £1,000 for non-compliance, but other sanctions include clamping, car seizure and ultimately the vehicle being destroyed if warning letters are ignored, with a stark warning issued from the government that authorities will take a zero tolerance approach.

Owners of vehicles which are not insured should soon be receiving an Insurance Advisory Letter from the Motor Insurance Database (MID) advising van drivers around the country to get adequate van insurance or risk facing prosecution.

Ian Donaldson, director of Autonet Insurance, says the move is a positive step for the UK motoring industry.

"The enforcement of the new law will deter uninsured driving and I believe our customers will welcome this move."


By Ben Malkin

© Autonet Insurance 2011