Follow these 10 guidelines to avoid invalidating your car insurance
Car insurance is a legal requirement in the UK, and all cars must have at least third party cover. It’s easy to buy an affordable car insurance policy by comparing with uSwitch, but there are some requirements you must meet to make sure you’re covered at all times, and especially in the case of an accident.
Tell the truth
There are many variables that affect the cost of your car insurance cover, including your age, driving experience, address and your claims and convictions history. You’re legally required to disclose all of these facts to your insurer, so don’t be tempted to lie in an attempt to reduce the cost of your cover.
Lying on your application (misrepresentation) is a form of insurance fraud, and will invalidate your policy so you won’t be covered if you attempt to make a claim.
Don’t make it easy for thieves
Most comprehensive insurance policies will cover you for theft of your vehicle or items inside it, but not if they believe your negligence has led to the theft. If you’ve left valuables in plain sight, such as on the passenger seat, the insurer may not pay out on your claim.
It also may sound obvious, but you should never leave your car unlocked with the keys in the ignition — something you might be tempted to do if you’re just popping into a garage or leaving your car to warm up on a cold morning. Your insurance is unlikely to pay out for any loss in this case, so you could find yourself having to replace your car from your own savings.
Be honest about the named driver
Drivers in high-risk groups (young and new drivers or those with previous claims or convictions) may find insurance more expensive than most. In order to cut the cost, some lower-risk drivers may offer to ‘help out’ by buying an insurance policy in their name and adding the risky driver as a named driver – for example, parents declaring themselves as the main driver on a policy to be used by their children.
This practice, known as fronting, is another form of insurance fraud and is illegal. If you’re found to be fronting an insurance policy your policy will be cancelled and any claims will be rejected. Many fronting cases go to court, where you could be fined up to £5,000 and receive six penalty points.
Your insurer expects you to take reasonable care of your car — accidents do happen (that’s the point of insurance), but if you are reckless or negligent it’s unlikely the insurer will pay out on your claim. For example, you’re unlikely to be covered if you ignore warnings and drive through a flooded road.
Make sure all drivers are covered
If you’re going to let someone else use your car, make sure they’re fully insured. To be covered by insurance, the other driver will usually need to be added to your policy as a named driver. Alternatively, they may take out temporary cover on your car or have their own comprehensive policy with ‘driving other cars’ (DOC) cover. DOC is less common than it used to be and has many exclusions, such as no cover for cars under hire purchase agreements. Bear in mind that the cover is only third party too, so if there’s an accident any damage to your car won’t be covered.
If you’re teaching a learner how to drive in your car it’s best to get them added as a named driver or to take out provisional drivers’ insurance separate to your policy.
Declare all modifications
Most features added to the car after manufacture are deemed as modifications, from engine upgrades to paintwork and stickers. If you fail to declare any modifications on your insurance application, your cover will not be valid.
If you add any modifications to your car after taking out your insurance policy, make sure you let your insurer know.
Only use your car for what it’s covered for
When you take out an insurance policy you will be asked about your use of the car
— i.e. whether you use it for social use, business use or commuting. You should only use the car for what you’ve stated or you’ll be breaking the terms of your insurance agreement and your cover will not be valid. You’re also not permitted to make a profit from driving your car unless you state that in your application — for example as a taxi driver — so don’t accept money for lifts unless the cash is solely to cover petrol costs.
Keep your insurer informed
It’s your duty to inform your insurer when your circumstances have changed, as your premium may need to be adjusted. This includes when you move house, if you change careers, if the use of your car changes (for example if you start to commute), if you start to keep your car in a different place during the day or overnight, and if you start to drive considerably more.
If your circumstances change and you have not informed your insurer, your insurance may be invalidated and any claims on your policy may be rejected.
Report all accidents
With no claims discounts offering such huge reductions on yearly premiums, most people are reluctant to claim in the event of a minor incident. However, you are required to inform your insurer of an accident even if you don’t wish to make a claim. If you don’t, you might not be able to claim for any damage to your vehicle in the case of a more serious incident.
Stay within the mileage that you disclosed to your insurer
they know it’s a rough estimation, but if you go significantly over you could have your insurance invalidated. Some insurers might only cover you on the condition you stay within a certain mileage limit. To get an idea of your mileage you can look back at your MOT certificates as they have a record of your mileage. But if you think your driving habits will change (e.g. you get a new job further away) you need to factor this in, or inform your insurer if you’re in the middle of your policy.
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