It is a legal requirement in the UK for motorists to have insurance that covers their personal situation. There are many different companies offering different policies, so most people will find something that works for them.
That being said, in 2022 76,500 motorists were convicted of driving without insurance, and 40,150 were convicted of keeping a vehicle without valid cover. Whilst these are large numbers, these are only figures of people who have been convicted. Certain bodies estimate the true figure of uninsured drivers could be closer to a million.
They can’t afford it
As the cost of living crisis continues to have a vice-like grip on the UK, the cost of insurance has risen by 29% on average in the last year. Currently, the average price is £561 per year. This is a significant figure for many families who are feeling the pinch.
This average is not a figure that most will see though, as insurance costs do vary due to age, postcode and occupation among other things.
Made a simple error
With busy lives, things can sometimes get forgotten. Insurance, unfortunately, does need renewing. For the majority of policies, autorenewal is an automatic feature, but it is worth checking just in case.
Many companies will send you a reminder letter 3-4 weeks before your renewal date, but this can get lost in the chaos of modern life. An easy way to remember to check is to set a yearly reminder in your phone calendar. If you do this in advance it gives you time to check the market and see if you can get a better deal by switching to a different provider.
Misleading your insurer
If you are dishonest about anything to do with your policy, then insurers do have the right to cancel your policy, leaving you without insurance.
It could be seemingly small lies such as saying your car is stored at a different location or failing to disclose points on your licence. These hide your true liability and leads insurers to mistrust you.
How can motorists protect themselves?
Being organised is one of the best ways you can keep yourself safe on the roads. Your insurance is designed to keep you financially protected in the event of an accident or loss.
Sometimes you may be at a financial loss if your car gets written off and you still have a finance agreement to pay off. Your insurers may not pay the remaining value of that agreement due to the current value of the car. This is where gap insurance could be a good investment. But, what is gap insurance?
Gap insurance is an additional policy you can take out to protect you against this financial loss. It bridges the gap between the two amounts, ensuring that you do not end up out of pocket.
