21/06/2011
New Car Insurance Law Launched
A new law which aims to help tackle the problem of uninsured drivers has come into force.
People who fail to abide by the new legislation may even have their vehicle clamped, seized or destroyed.
The Continuous Insurance Enforcement (CIE) law makes it illegal to own a vehicle without it being insured, unless it is registered as off-the-road with the Driver and Vehicle Licensing Agency (DVLA).
New rules will make it unlawful to keep an uninsured car whether it is being driven or not.
Owners found guilty of breaching the law may face a £100 fine. In extreme cases when people fail to take action even after receiving a warning, they may also face a court prosecution.
Road safety minister Mike Penning said: "Anyone who receives a warning letter should take action immediately by getting insurance or contacting the DVLA to declare their vehicle off the road."
Ashton West, chief executive of the Motor Insurers' Bureau, said: "We know who the registered keepers are with vehicles that have no insurance and letters will be dropping on to their doormats from this week.
“It's no longer a case of if you will get caught, but when you will get caught.
"An estimated 1.4 million drivers are flouting the law by driving without insurance.
“This is a serious offence and results in accidents that cause about 160 deaths each year and more than 23,000 people are injured by uninsured drivers. It also adds around £30 per year to honest drivers' motor insurance policies."
