From June, British motorists will need to be aware of a new law called Continuous Insurance Enforcement which comes into force making it illegal to own a motor vehicle without valid insurance unless it has been declared off road. Research by moneysupermarket.com shows that over half (56 per cent) of motorists will be more vigilant and shop around to find a better deal on their car insurance, but a worrying one in ten will accept a penalty if necessary.
Continuous Insurance Enforcement (CIE) will mean anyone who is registered as an owner of a vehicle or motorbike, which isn’t registered as SORN (Statutory Off Road Notification), MUST have valid car, van or motorbike insurance for it or face a fixed penalty notice and possible further legal action.1 Britain’s number one comparison site asked users how this new legislation would affect the way they insured their cars. Over half (56 per cent) claimed it would make them more vigilant and encourage them to shop around to find a better deal on their car cover, and a quarter (27 per cent) already make certain they are continuously insured. Worryingly however, nearly a tenth (eight per cent) claimed CIE would simply make them automatically renew with their existing insurer and another ten per cent said it wouldn’t affect how they insured their car as they would just accept the fine if caught without cover.
Peter Harrison, car insurance expert at moneysupermarket.com, said: “Uninsured drivers cost the industry £500 million each year, which as a result adds an average of £30 to every motorist’s premium. Our own research has found a staggering one in six UK motorists has admitted to driving a car uninsured.4 With CIE legislation coming into force next month, this should help drive down the number of uninsured drivers on our roads, a move which can only be applauded. All motorists need to be vigilant though – especially leisure drivers or motorbike enthusiasts who only use their vehicles occasionally and let their insurance lapse in the meantime; they need to declare their vehicle as SORN or renew!
“Additionally, our research shows the legislation will go a long way towards encouraging Brits to shop around at renewal time to find a better deal on their insurance. That said, there are clearly still motorists out there who will just accept a renewal quote out of convenience – a bank-breaking move I would advise against. With insurance premiums rising on average by 44p per day, or by 31 per cent last year,5 shopping around for the best deal is crucial to ensure you aren’t paying over the odds for your car insurance. The average saving on an annual car insurance policy using moneysupermarket.com is £282, so I urge everyone to do their research and not automatically accept their renewal without checking there isn’t a better alternative.”
Source : moneysupermarket.com
