The Government is forcing all van drivers to insure their van whether they drive it or not, under controversial rules that are aimed at combating uninsured driving.
The new law which is effective as of the 20th June 2011 known as the Continuous Insurance Enforcement rule requires all registered vans to have adequate van insurance cover which will accompany the Governments relentless campaign against uninsured driving.
Statistics show that 4% of drivers will now need to take out new van insurance cover or declare their van off the road. Under the new legal structure, the Motor Insurance Bureau and the DVLA will work in hand with each other to detect uninsured vans on the road by matching DVLA records against those held on the Motor Insurance Database (MID).
Failing to adhere to this new ruling may result in an initial fixed penalty fine of £100, or a maximum court prosecution for non-compliance leading up to a maximum fine of £1000. Other alternatives can include clamping, the seizure of the van which can ultimately lead to the van being destroyed.
The only exception to this law is by van drivers declaring the van off the road by producing a valid SORN document (Statutory off Road Notice).
Drivers are expected to be informed over the upcoming weeks with a national advertising campaign launched by the Motor Insurers' Bureau (MIB) with insurance advisory letters being issued.
Glynn Keeling, Chairman of Autonet Insurance commented: “Uninsured drivers are a massive problem for insurers, and have had a direct impact on van insurance premiums. We believe that insurers and insurance brokers alike will welcome this legislation change, with the full backing of all insured customers.”