New car insurance law comes into force today. Hopefully will save all of us a few quid eventually. - HotUKDeals
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New car insurance law comes into force today. Hopefully will save all of us a few quid eventually.

kingy58 Avatar
5y, 6m agoPosted 5 years, 6 months ago
New rules come into force today (23 May) that require registered keepers of all cars to have continuous car insurance – or face penalties ranging from a fine to court prosecution.

Those who own a car that is not insured must either take out insurance or declare it SORN with the DVLA, even if they never drive it.

If they do not, the DVLA will discover them, through a link with the Motor Insurance Database. This detects uninsured cars: if there is no SORN declaration, action will automatically commence.

Called ‘Continuous Insurance Enforcement’ (CIE), the laws come into force now, but will not be rigorously enforced until 20 June. The month-long ‘amnesty’ will give the DVLA and car insurers time to publicise the law, allowing owners to react.

The new rules have been devised to tackle the big problem of uninsured cars on UK roads. The Department for Transport estimates there are 1.4 million uninsured vehicles on Britain’s roads – 4% of all UK drivers have no insurance.

It is estimated these uninsured vehicles add £30 to the insurance bill of every car insurance policy.

The DfT says that Police are already seizing 1,500 uninsured vehicles each week. This number is expected to rise with the new continuous car insurance law coming into force.

CIE extends laws that tackle with people who drive uninsured cars on the road. The Police have the power to issue Fixed Penalties here – a £200 fine and 6 penalty points – but prosecution through the courts is also available. Here, the maximum fine is £5,000.

300,000 people are convicted for uninsured driving each year. Today’s new Continuous Insurance Law extends this to registered keepers who do not use their cars, too.

CONTINUOUS INSURANCE ENFORCEMENT: WHAT IT MEANS FOR YOU

If your name is on the V5 registration document, YOU must arrange insurance for the vehicle in question, unless you have declared it SORN.

This is the case even if you do not use the vehicle. If you have a classic car tucked away in your garage, that is only insured and used for a few months in the summer, you still have to insure it all year round.

If you do not take out insurance for cars you have not declared SORN, you face prosecution and risk losing your car.

In the first instance, an Insurance Advisory Letter (IAL) will be issued, informing you there’s a risk of prosecution if you do not take out insurance.

Ignore this, and a £100 Fixed Penalty will be issued. If you still take no action, there is the risk of your car being clamped, so you cannot use it. Or, worse still, it could be sized and crushed.

The most serious penalty is court prosecution. Here, people who still refuse to take out insurance risk a court appearance and a fine of up to £1,000.

Registered keepers thus have two courses of action: either take out insurance, or declare a vehicle SORN.
kingy58 Avatar
5y, 6m agoPosted 5 years, 6 months ago
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#1
Only penalises the registered keeper, doesn't do much for those who don't register their cars or for all those foreign cars that over stay the minimum period to which they must register, tax and insure their car here.
2 Likes #2
So from now on, just moving the car off the road onto your driveway isn't going to be enough in the eyes of the law. It must be insured all year or declared SORN. Maybe I'm being too optimistic in thinking that if the majority of uninsured cars are removed from the roads and therefore payouts are reduced, the insurers will be able to reduce premiums for the rest of us.
#3
So, what happens if your car insurance ends on the friday, you dont intend to/use the car for the weekend but get insurance again for the monday (money saving at its best!) will you get fined for that?

I do that sometimes to get a cheaper quote with the same company Ive left.
#5
It sounds like a good idea in principle but I think that it will be the wrong people that are hit by it - those who forget they need a sorn (insurance and road tax do not fall at the same time for many vehicles) rather than those who go on the roads knowing they have no insurance.

Those who deliverately avoid getting insurance will not care about this - it is a risk they do not mind taking.
#6
To be honest anyway, if you were a young person who had just passed your test and were a scrote (are we allowed to use scrote on here?), then you would have the choice of £2k at least for insurance or £100 fine every now and then if you forgot to declare it off the road.
#7
Still waiting for my insurance to get cheaper as a result of this new law.....
1 Like #8
It will not make the slightest bit of difference. All anybody has to do is register the car as being off-road and the penalty is not applicable. That therefore means the only way these scumbags get caught is exactly as it is now, if and when the police do a vehicle check on the road. Yet another worthless piece of legislation from the monkeys that don't want to upset the apple cart, rather than deal with criminals.
1 Like #9
Government giving insurance companies a licence to print ( even more ) money.
banned#10
whatsThePoint
People will just keep carrying on as they do now,
Given the huge amount of cars with no tax/insurance who is going to go around clamping 1000000+ cars a year
Also a lot of these cars are bought with the proceeds of crime, so more crime to replace more crushed cars
And you think you'll be £30 better off :|

+1

people will just declare SORN and drive the car around. My mate hasnt had insurance for 10 years (yep - a bit of a scumbag I know) and has only been caught once and got a £100 fine! Must have saved £5000 in insurance. Never pays car tax either.

The fines for no tax / insurance are a disgrace with insurance premiums being many multiples of any fine.
#11
cis_groupie
Still waiting for my insurance to get cheaper as a result of this new law.....


I'm still waiting on my insurance getting cheaper full stop. Despite having full no claims and no accidents or points, plus married, wife, kid and same car last few years my premiums are increasing at an unbelievable rate each year. Wouldn't mind if I drove my car a lot but I don't.

Not that I agree but £100 seems a more economic solution especially when some areas the Police don't seem to do much with getting untaxed etc motors off the road.
#12
Hopefully will save all of us a few quid eventually.


lol.
banned#13
But am I right in thinking that if you declare sorn whilst there is tax left then you loose that remaining tax?
#14
kcnw9
But am I right in thinking that if you declare sorn whilst there is tax left then you loose that remaining tax?


You can cash in tax discs.

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