HOW DO I CHECK IF MY CAR IS INSURED?

UK law requires all drivers to have valid car insurance to ensure safe driving on public roads. Not having car insurance can lead to severe penalties, especially if you have been involved in an accident and caused damages to a third-party vehicle or property.

Research shows drivers without insurance have a maximum penalty of 6-8 penalty points on their licenses. You will also have to pay a hefty fine of up to £5,000 depending on your earnings. In some cases, the court may cancel your driving license.

If you drive a car without insurance, the law enforcement agencies have the authority to seize or destroy your vehicle. The Police Department will refer extreme cases to the courts, meaning you can face driving disqualification, a huge fine, or even a jail sentence.

Some people have car insurance that undergoes an auto-renewal process. Because it is a completed process, some people have confusion knowing about their insurance companies or even if they have insurance at all. That’s why it is crucial to check whether you have car insurance. That way, you can streamline the renewal process or save yourself from complications associated with it.

Check on the National Motor Insurance Database

Experts recommend noting down your car’s registration number to see your insurance. You can check the registration number on the National Motor Insurance Database (MID). All Insurance Companies, Driver and Vehicle Licensing Agency (DVLA), and the Police Department have access to MID.

The UK Government allows all motorists to conduct a free search on the MID database. However, the MID will charge you a small fee if you want to get more details, such as the insurance company, policy information, and others.

Because MID does not resell their car insurance data, it is wise to avoid checking it online on third-party websites. Otherwise, you will just waste your time and get nothing. Therefore, the only place to find whether you have car insurance is to check on the official MID website.

What to do if you don’t have car insurance?

Most uninsured drivers receive 6-8 penalty points and £300 fine when caught by the Police on the road. If the Police Department sends your case to court, you will have an unlimited fine and a driving ban. It is a serious offense (IN10), meaning it reduces your chances of having inexpensive insurance in the future.

According to the Continuous Insurance Enforcement Law, if you don’t drive a car anymore, you still have to pay your premiums. For example, if your vehicle is in the garage for a long time, the insurance company will ask you to continue paying your premiums.

If you want to declare your vehicle “off the road,” you must contact DVLA and sign the “Statutory Off-Road Notification” (SORN). If you don’t have car insurance and SORN, you will still pay the penalties. This also applies to those who don’t drive their cars any longer. One way to solve this problem is to consult a legal expert or a qualified insurance agent.

Final Words

Some people check their vehicle documents or records to check whether they are insured. It requires you to act like a detective and go through all the documents you have at home. The best way to check car insurance is through the MID website if you want to save time.

HOW IS CAR INSURANCE CALCULATED?

The primary purpose of car insurance is to protect liability in the event of an accident, causing injuries to someone or damaging other people’s property. UK law requires drivers to carry a minimum amount of liability insurance. Car Insurance companies require a lot of information from their clients to calculate their premiums. The data is based on many factors, and in today’s article, we will tell how companies in the UK calculate car insurance. Read on!

Age and Driving Experience

Age is the most crucial factor companies consider when calculating car insurance. Most companies assume that young drivers have less experience and have higher risks of getting involved in accidents.

People with many years of driving experience have fewer risks of accidents on the roads. That’s why their insurance premiums are much lower than young drivers. For example, drivers aged over 40 years enjoy the cheapest rates on the market.

UK insurance companies consider people aged between 17 and 24 as young drivers. Likewise, insurers consider people aged over 70 as older drivers who have higher risks on the roads even with many years of experience. The reason is the health issues of older people that can increase the risk of accidents. It means higher premiums are directly proportional to age and accident factors.

Location

Insurance companies consider the location to calculate people’s insurance premiums. The company will look at your location and analyze crime level, road conditions, and the number of claims made for that area.

For instance, if you reside in the countryside, you will drive on quiet or less busy roads than those who live in an urban area. It means your car is at a low risk of being stolen in a small village or town.

Car Insurance Group Rating

UK law requires insurance companies to assign group ratings to all new cars to calculate insurance premiums. It tells the company about the expensive and cheapest cars. The group rating is based on various factors, such as the sale price, security level and performance, price of common parts and repair work, and emergency brake system.

There are 50 groups for car insurance, and the lower the rating, the cheaper the car is to insure. Bear in mind that your car’s group rating can change over time. For instance, if the company finds out that a particular car model has a higher number of accidents, it will increase the group rating.

Level of Cover

UK car insurance companies use three cover levels: third-party, third-party theft and fire, and comprehensive covers. The first one is the minimum level of cover requires to be on the roads in the UK. The company will cover you for damages caused to third-party cars or properties if you are found at-fault. However, the company won’t cover damages to your own vehicle.

The second one is the same as the first level of cover, except for covering your car from theft, damage, and fire. On the other hand, comprehensive coverage refers to the highest protection level to cover your own vehicle if vandalized or damaged.

Claims History

Claims also affect the premium price, and more claims mean increased premiums. That’s why the insurance company will figure out the number of claims you have made in the past. Most often, companies consider claims made within the last 3-5 years to see the probability of making another claim. Other factors companies analyze while calculating insurance premiums are:

•   Car make and model

•   Use and mileage

•   Car security methods

  Your Occupation

Final Words

Having car insurance in the UK is required by Law. If you are an at-fault driver, the car liability coverage on your policy will help you pay for covered losses, such as medical bills, vehicle, and property damage that results from the accident.