The government has released figures that show there are more than 2m vehicles on the road in Britain without insurance, that is 1 in 15 vehicles being illegally driven, uninsured on British roads.
The immediate impact this is having is cost, each year uninsured drivers are costing £500m, it is the insured motorists who are shelling out to cover this cost, and are paying £350m extra for insurance premiums.
The Association of British Insurers (ABI) has highlighted the risks of uninsured drivers who are less likely to stop after an accident, 10 times more likely to have convictions for drink driving and 6 times more likely to be driving an un-roadworthy vehicle.
As well as increasing the prices for car and van insurance for law abiding motorists, uninsured drivers also cause problems for insured drivers they are in accidents or collisions with. If you are involved in an accident with an uninsured driver there could be a drawn out battle to reclaim what you are owed.
Fully comprehensive insurance will cover you for any repairs needed for your car, however, unless you have insured your no claims discount you could lose this and any medical or legal costs will not necessarily be covered by your insurer.
The government is trying to tackle the problem of uninsured drivers on the road through technology such as automatic number plate recognition and heightened police powers, enabling them to seize vehicles from the uninsured.
The Motor Insurer’s Bureau (MIB) claims that the group most likely to flout insurance laws are young males. Despite the government’s efforts to raise awareness of the importance of up to date insurance many people are oblivious to the risks, and more importantly, the consequences of driving illegally without insurance.
Anyone who is caught driving a vehicle without the correct insurance is not only breaking the law, but it likely to receive penalty points on their license and a hefty fine. Penalty points can affect both your eligibility to drive for your employer and increase your insurance premium significantly.
Drivers who are left with unpaid costs after a collision with an uninsured driver can claim compensation from the MIB. This is a fund which is paid for by the insurance companies who are charged a levy each year, indirectly the money comes out of the pockets of the general public who are charged more in premiums to cover this. The driver is expected to have contacted the other driver to check if they are insured, and to have reported the incident to the police.
The MIB handles 36,000 cases every year and has issued guidelines which drivers should follow if an accident should occur. Briefly summarised the plan of action should be; to contact the police, take the name and details of the other driver, especially the car’s registration number, never to admit fault for the accident and try to remain calm, try to photograph the driver and/or vehicle and get details of any witnesses to the incident.
It is common for people to panic or be shaken after an accident, but this is a time when a level head is required. If you suspect that any of the details the other driver has given you are incorrect, contact the DVLA or MIB for verification.
MIB’s figures show that 15% of drivers admitted to driving without insurance between 17 and 21, and a staggering 48% were under 30. These people have resulted in motorists having to pay, on average, an extra £30 for insurance premiums. The fact is, the likelihood of an uninsured driver causing or being involved in a collision are eight times greater than an insured driver. Just make sure they don’t cost you any more than they already do.
Related Articles
Drivers Urged To Avoid Paying Over The Odds For Insurance
By: Mark Dawson | 08/05/2008 | Insurance
As the days become longer and warmer temperatures arrive it may be perhaps unsurprising that some motorists want to feel the wind blowing in their faces while out on the road.
Private Van Insurance -- How to Find the Cover for your Personal Needs
By: Peter Fitzpatrick | 03/07/2007 | Insurance
Private van insurance. People operating vans or commercial vehicles are as much at risk as ordinary drivers. Repairs to your van could be quite expensive, so it's important to consider your van coverage carefully. Van insurance can help you avoid hassle and expense in the event of an accident.
Talk Ain’t Cheap
By: Hadassah | 13/07/2008 | Insurance
Not only will drivers caught using their mobiles while on the road be faced with a fine and even a criminal conviction but it will also affect their car insurance premium, with a potential rise of up to 30% for Allianz Insurance customers.
Public Liability Insurance -- Do you Need it as a Business Owner
By: Peter Fitzpatrick | 03/07/2007 | Insurance
If a customer suffers an injury on the site of your business, are you insured? You need to maintain public liability insurance coverage to make sure that you won't have to shoulder the responsibility of payment in the event of damage to someone's property or injury to themselves. It also covers your legal costs if you have to go to court over this kind of claim.
Quality Choices on Business Liability Insurance
By: Peter Fitzpatrick | 03/07/2007 | Insurance
When you decide to purchase business liability insurance, it is very important that you research all of your options. Price is an important factor, and when you do your research, you can compare prices as well as coverage of several different companies. Each insurance company will have its own rates, and coverage will vary. It is equally important that the insurance company is familiar with the type of business, and that each one can answer your questions to your satisfaction.
Transit Van Insurance -- Find the Best Possible Policy for your Transit Van
By: Peter Fitzpatrick | 03/07/2007 | Insurance
Acquiring and keeping a no claims discount on your transit van insurance is always a good idea. Because van insurance is often a large business expense, any savings are welcome. A no claims discount can offer you a significant reduction in your insurance premiums and save you money.
Van Breakdown Cover -- Peace of Mind When you Need it Most
By: Peter Fitzpatrick | 03/07/2007 | Insurance
We all think of Liability and Collision coverage for our vehicles. When deciding on insurance covearages, Liability protects you against potential law suits and Collision will help cover the cost for fixing you van when in an accident. But what about the Van Breakdown Cover? The unexpected happens, and having this cover will help pay for any potential breakdowns.
The Costs of Running a Car Can Outstrip Its Value
By: Danielle Fletcher | 04/07/2008 | Insurance
With the costs of running a car rising steeply, millions of motorists could find that it is costing them more to have their car on the road than the car is actually worth. The main contributor to the increase in driving costs is the price of petrol; however car insurance and road tax costs are also rising steadily.
Got a Question? Ask.
Ask the community a question about this article:
Q&A Powered by:
Latest Insurance Articles
Term Life Insurance Quote From Life Quotes Online
By: Vikram Kumar | 07/09/2008
Life insurance is important because it saves your family from total loss when your time to live is up.
Texas Health Insurance: a Step Ahead of the Future
By: Vikram Kumar | 07/09/2008
The issue of the growing number of Americans without health insurance is a thorny one.
Buy Life Insurance With No Visit Quote Services
By: Vikram kuamr | 07/09/2008
If you plan to buy life insurance, your first instinct is to know how much you will be paying for it. That is the time when you get various life insurance quotes from different insurance companies.
Acquire Online Health Insurance in Texas
By: Vikram kuamr | 07/09/2008
When you want to acquire quotes on health insurance, Texas offers you plenty of insurance quote providers.
Choosing The Right Scooter Insurance
By: Anna Stenning | 06/09/2008
Looking at the varying insurance policies offered to new riders and bikers.
Life Insurance With Cash Value
By: vincent yeong | 06/09/2008
Life is the most precious asset we have, we can’t extend it nor control it, but to provide security and protection to the family and the loved ones, life insurance is the ideal gift.
Professional Indemnity Insurance: a ‘must-have’ Insurance Policy
By: Editor-123 | 06/09/2008
Professionals need to work hard to comply with the arising needs and expectations. Also, with the changing time, client expectations of service and quality of advice continue to grow further. Therefore, all professionals are striving hard to improve further to attain the desired results. Thankfully, presence of professional indemnity insurance provides a financial backup to professionals who work in difficult and complex market requirements.
The Vital Importance Of Shop Insurance In Business
By: Thomas Pretty | 06/09/2008
A look at the necessity for business insurance when running a shop, restaurant or bar for protection against both employee grievances and public claims.
More from Jemma
The Number of Mortgage Deals Dropping
By: Jemma | 26/06/2008 | Mortgage
Industry figures have shown that the number of new mortgage applications approved by the major banks fell again in December. British Banker’s Association (BBA) members approved 42,088 new mortgage loans last month, the lowest figure that has been seen since 1997 when the data started to be collected.
Teenage Parties not Always Covered by Home Insurance
By: Jemma | 26/06/2008 | Insurance
It is something you might see on the plot of Eastenders of Coronation Street, but some people actually have to live the nightmare of seeing their home wrecked during a teenage party. This is exactly what happened to the parents of Sarah Ruscoe in Devon recently.
Senior Travellers Like to Try New Things
By: Jemma | 26/06/2008 | Insurance
People approaching retirement age are now more likely to be searching for senior travel insurance than their slippers, pipe and newspaper according to new research launched by Prudential.
Secured Loans Work Out Cheaper
By: Jemma | 24/06/2008 | Loans
According to MoneyExpert.com borrowers can cut their monthly repayments on loans if they choose products which are secured against their home, as opposed to just borrowing on unsecured terms.
Northern Rock Need to Rescue Customers
By: Jemma | 24/06/2008 | Loans
There have been many calls for Northern Rock to offer some kind of rescue package to borrowers who took out the company’s Together loan, a 100% plus mortgage. John McFall, chairman of the Treasury Select Committee is the latest in a long line of supporters for the rescue plan.
Northern Rock Might be the Place to Borrow
By: Jemma | 24/06/2008 | Mortgage
State-owned Northern Rock is set to offer great deals for savers in the coming months, however it is the bank’s existing 800,000 mortgage customers who are the bone of contention.
Life Insurance for Armed Service Personnel
By: Jemma | 24/06/2008 | Insurance
Under a Ministry of Defence (MOD) scheme, 300,000 personnel in the armed forces are being offered life assurance. Before this scheme the forces found it difficult and expensive to get insurance because of the dangerous nature of their jobs.
Debt and Fraud Cause Repossessions to Soar
By: Jemma | 24/06/2008 | Mortgage
House repossessions have soared from the beginning of 2008, people who are hit hardest by these repossessions are borrowers who have borrowed more than they can afford against their property. Other causes that have emerged are fraudulent activity by property developers.
Finance 
