ABI: Online insurance certificates will make arranging cover quicker and easier
Millions of motorists will be able to arrange their motor insurance quicker and more conveniently thanks to a proposed change in the law announced today says the ABI (Association of British Insurers).
The Department for Transport today announced plans to enable motor insurance certificates to be issued electronically. Currently the law requires these certificates to be sent by insurers to policyholders by post. Motor insurance certificates are legal evidence of insurance, and are needed when arranging road tax, MOT and by the police.
Justin Jacobs, the ABI’s Head of Motor Insurance, said:
“This is good news for customers and insurers. Over half of UK households are now online, and this will enable them to arrange motor insurance more speedily. This will be especially helpful when buying and taxing a vehicle quickly. It will also help insurers provide a faster, more cost-effective service to their customers.”
Notes for Editors
1. Part VI of The Road Traffic Act 1988 sets out statutory requirements for motor insurance. Section 147 of the Act states that a policy of insurance shall be of no effect unless the insurer delivers to the policyholder a certificate in the prescribed form and with the prescribed details.
2. The ABI is the trade association for Britain’s insurance industry. Its nearly 400 member companies provide over 94% of the insurance business in the UK. It represents insurance companies to the Government, and to the regulatory and other agencies, and is an influential voice on public policy and financial services issues. ABI member companies hold up to a sixth of all investments traded on the London Stock Exchange, on behalf of millions of pensioners and savers.
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