Watch Out - Important Changes to Car Insurance Rules
Are you aware of the new car insurance rule due to come into force soon?
The new law, known as the Continuous Insurance Enforcement rule requires all registered vehicles to have valid insurance.
Previously, it has only been illegal to drive a vehicle without insurance but this new law now requires all vehicles to be insured....even if they are not being used!
From 20 June 2011 the law will start being enforced. Initially people can expect to be fined £100 rising to £1,000 for non compliance, but other sanctions include clamping, car seizure and ultimately the vehicle being destroyed if warning letters are ignored.
The only exception to the law is if you can produce a valid SORN (Statutory Off-Road Notice) confirming that the vehicle is kept off road such as in your garage or on a private driveway.
Owners of vehicles which are not insured should receive an Insurance Advisory Letter from the Motor Insurance Database (MID) warning that unless insurance is put in place they will be prosecuted.