Taking a note of this, the government has decided to extend the validity of the vehicle documents that expire during the lockdown. Car insurance could be invalid if you drive during lockdown Drivers making non essential journeys could face on-the-spot fines and may not be covered if they crash. Non-essential car journeys during November could result in a £200 fine. Pay-as-you-go insurer Cuvva estimates that the UK insurance industry will make an extra £1bn profit if car insurance claims drop by 50% over a three-month lockdown. Is car insurance invalid during lockdown in England? Regardless of how long the lockdown lasts, motorists who keep their car on public land will still have to pay their insurance – even if the vehicle doesn’t move an inch for months on end. We explain the latest rules. LV is now doing the same, though its refunds won’t be automatic. MoneySaving Newbie. According to data from the government’s daily coronavirus briefings, the number of vehicles on the road has decreased by more than 60% since 16 March 2020. – Encouraging customers to contact it to temporarily change cover to reduce premiums, -Will pay £20-£50 to customers that get in touch and have suffered financially because of coronavirus. Insurers in the US have acknowledged that they stand to make large savings, and many … The first thing you should do is get in touch with your lender and explain the situation. But what if your vehicle insurance expires during this period? If you are absolutely, unquestionably not using your car at all at the moment, you can get a statutory off road notification (SORN), which will allow you to cancel your car insurance. You should not leave the house for non-essential journeys because the police may fine you. When you click on a retailer link on our site, we may earn affiliate commission to help fund our not-for-profit mission. This will mean you’ll be covered if someone steals your car, but you won’t be covered to drive. Even if you’re not an Admiral or LV customer, your insurer will calculate a new premium for you if you update it with your current driving behaviour. The table below has a summary of what each insurer told us. Yes, your car insurance is still valid during lockdown. Motor insurers continue to cover those using their vehicle for commuting to work and NHS volunteering without you having to first tell them. See below for more details. looks at whether you could be entitled to a car insurance refund and how to get one if you are. Some experts have suggested your car insurance might be invalid when driving during the lockdown. You can understand more and change your cookies preferences here. My car is on finance and I’m worried about making the repayments. insurers told to offer coronavirus payment holidays, Revealed: the most popular places to buy a home in 2020, Coronavirus eviction ban extended: what it means for renters and landlords, Coronavirus: how to protect your pensions and investments, – Automatically refunding £25 for each vehicle, – Reduced pricing to reflect the current situation, – Customers can adjust mileage for free online or via the app. If one of your policy’s named drivers is no longer driving at all, let your insurer know, to get them removed. That would mean that any accident could see you having to pay thousands to cover the repairs. I drove less. Tarling from ABI concluded: "Even if your mileage is reduced because of lockdown you still might want to protect yourself against theft or malicious damage. We look at the evidence. Here's the lowdown to keep you safe on the roads, Sign up to our newsletter for daily updates and breaking news, If you are involved in an accident during lockdown, it has been reported some companies might not pay out. 24 Apr 2020. Mozo Director Kristy Lamont says car insurers are undoubtedly seeing a decline in claims and should pass on the savings to customers. My car is still insuranced and taxed and is the car … If you have an accident while you’re out, you may find your car insurance policy won’t cover the damage and you could end up paying thousands of pounds for repairs. Here, Which? The letter, addressed to Rishi Sunak, reads: "Car insurers have reported an almost 50% drop in claims during lockdown. Do you agree with the lockdown? DO pay your car insurance. You can voice your opinion here: However, Malcolm Tarling from the Association of British Insurers (ABI) told Berkshire Live: "You should follow the Government restrictions, but if you do use your car for non-essential travel, this will not invalidate your car insurance. Our. After we spoke to these insurers, the FCA told insurers they must offer general insurance customers refunds, reduced cover and payment holidays to reflect the ways coronavirus has changed the market. While most of the insurers we spoke to aren’t proactively refunding customers, each one was willing to work with customers to reduce their premiums if they got in touch, and in many cases this won’t cost you a penny. If I have to drive to work instead of using public transport, will my car insurance still be valid? There were 324,000 new claims in the second quarter of the year, down 48% on … Depending on how often you drive, this could already be a lot lower than usual. 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