Car Insurance FAQs
Answering your car insurance and motor insurance questions for your peace of mind.
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Is car insurance compulsory?
Yes. It is an offence to use a car on public roads without having insurance to cover your legal liabilities if you damage other people's property or injure others. The minimum level of cover is compulsory under the Road Traffic Act.
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How do I reduce the cost of my premiums?
There are several possible options:
- Limit the policy to named drivers.
- Go for a higher voluntary excess.
- Drive a lower annual mileage.
- Install security devices.
- Keep your vehicle in a garage or secured car park.
- Consider Third Party Fire and Theft for older cars
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If I have UK insurance, am I covered to drive abroad?
Yes. UK vehicle insurance policies automatically extend to the European Union countries and a few others, although you may have to pay an extra premium to extend to fully comprehensive cover. It's best to check with your insurer before you go.
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What should I do if my car is stolen?
Tell the police immediately and then tell your insurer. You may have to be prepared to wait a while in case your car is recovered. Many stolen cars are found abandoned and can be returned to the owner.
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What if I (or any other insured drivers) have a medical condition?
Motor insurers need to know about medical conditions likely to affect safe driving, and will ask appropriate questions when you take out or renew your motor insurance. You must answer any questions about medical conditions truthfully, if you fail to do this, you may find that your claim is rejected, especially if you have an accident that is attributable to your medical condition.
However, many insurers adopt the position that, provided any medical condition or other disability has been notified to the appropriate licensing authority (DVLA or DVLNI), and a driving licence has been issued, then they will treat the application no differently from someone without such a condition.
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What is 'excess'?
Excess is the first amount of any claim that you are required to pay. For example if your policy carries a £200 excess you will need to pay this amount and your car insurance company will pay anything above this amount. You may be able to claim your excess back if you are involved in an accident that was the responsibility of another party.
Voluntary excess is the amount you agree with the company and can influence any premium discounts that you may be offered. Compulsory excess is imposed, usually in the cases of young drivers, and may be the only way a company will agree to insure a driver.
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What is legal cover?
Legal cover is available as an optional extra with most car insurance policies and provides the expertise and assistance required to recover uninsured losses such as medical costs, loss of earnings and excess payments where the fault was not yours. For the small additional premium cost this cover provides essential legal advice and valuable peace of mind.
