Introduction
Are you unsure about vehicle insurance and what it entails? This simple guide will help you understand the different types of motor insurance, the importance of having coverage, and what to do if you face issues. If you need assistance navigating the complexities of vehicle insurance, Contend’s highly trained AI legal experts are here to help. With Contend, you can easily get the legal support you need to resolve any concerns and ensure you’re protected on the road.
If you’re planning to drive a vehicle, it’s important to know that having insurance is not just a good idea—it’s a legal requirement. In most cases, you need at least third-party motor insurance, whether you’re driving, parked on the street, or in your garage.
What Happens If You Don’t Have Insurance?
The police have the ability to check if your vehicle is insured using a system called the Motor Insurance Database. If they find that you’re not insured, they can take your vehicle on the spot, even if you try to arrange insurance right there. To get your car back, you’ll need to show proof of insurance and pay some fees. If you don’t reclaim your vehicle within 14 days, the police can sell it, and you might be able to get some money back from that sale.
Building Your No Claims Bonus
When you don’t make a claim during your insurance policy period, you start to earn a no claims bonus. Over time, this bonus can save you a significant amount—between 60% and 75%—on your insurance costs. If you want to keep this bonus safe, you can pay a little extra to protect it. This way, if you do need to make a claim, your bonus will remain intact, which is usually cheaper than losing it.
Types of Motor Insurance
There are three primary types of motor insurance policies:
- Third Party Insurance: This is the minimum required by law. It covers damage to someone else’s vehicle or property and any injuries to other people in an accident. However, it does not cover damage to your own vehicle.
- Third Party, Fire and Theft: This type includes everything from third-party insurance but also covers your vehicle in case it’s stolen or damaged by fire.
- Comprehensive Insurance: This is the most extensive option. It covers everything in the previous two types and also includes repairs to your own car, as well as additional benefits like coverage for personal belongings stolen from your vehicle, medical expenses, and even rental cars.
Insurance for Older Drivers and Travelers
If you’re an older driver and having trouble finding insurance, don’t worry. Many insurers will refer you to other companies that specialize in providing coverage for older individuals. One helpful resource is the British Insurance Brokers’ Association (BIBA), which can help you find brokers who understand your specific needs. You can reach BIBA at 0370 950 1790 or visit www.biba.org.uk.
Motorcycle Insurance
Motorcycle insurance typically comes in two forms:
- Specified Cycle Policy: This covers you for one specific motorcycle.
- Rider Policy: This allows you to ride any motorcycle (up to a certain size) with the owner’s permission.
Keep in mind that there may be an excess to pay and you might not earn a no claims bonus with these policies.
How to Choose the Right Policy
When selecting an insurance policy, it’s wise to get quotes from several providers. Here are some things to compare:
- Coverage details and exclusions
- Discounts available
- The value of your no claims bonus
- Any restrictions on who can drive the vehicle
Be honest when providing information about yourself and your vehicle, as this can affect your premium and any claims you make. It’s essential that the insurance policy is in the main driver’s name, as insuring a vehicle in your name while allowing someone else to drive it can lead to claim denials.
When Insurance Might Not Cover You
There are several situations where your insurance may not cover you:
- If someone not listed on your policy is driving
- If you charge passengers for rides (unless it’s cost-only)
- If your car isn’t roadworthy
- If you unknowingly buy a stolen vehicle
- If you don’t have a valid driving license
- If your insurer believes you were partly at fault for an accident
Driving Abroad
If you’re planning to drive in Europe, buying a policy from an EU-based insurer typically includes third-party coverage across EU countries. However, you may want to consider additional coverage, especially in non-EU countries. Remember to check the latest requirements for driving in Europe, especially since regulations may change after Brexit.
Need More Help?
If you’re feeling overwhelmed or have specific questions about vehicle insurance, don’t hesitate to seek help. Whether it’s finding the right coverage or understanding your rights, you can try Contend’s legal expert chat. Contend’s highly trained AI legal experts will work with you to provide guidance and help you understand and resolve your legal problems. Contend is the Easiest Legal Help in the UK.
By understanding the basics of vehicle insurance, you can make informed decisions that protect you and your vehicle on the road.
For more info, check out some of our related articles:
- UK Guide: Making a Claim on Your Vehicle Insurance After an Accident
- Sort Insurance in the UK: A Guide to Vehicle Claims & More
- Car Insurance Cover Note: A Quick Guide to UK Vehicle Types
- Insurance Solicitor: Your Guide in Claim Settlements
- Buying Used Cars with Cheap Road Tax and Insurance: UK Guide
