CHANGES TO THE LAW THAT IMPACT VEHICLE INSURANCE

Effective April 1st 2011 new legislation regarding Continuous Insurance Enforcement (CIE) comes into effect. This new legislation gives the Driver and Vehicle Licensing Agency (DVLA) more power to deal with uninsured drivers.

The DVLA will compare it's records with details held on the Motor Insurance Database (MID)  which is the UK's central record of vehicle insurance. Any vehicles found not to be on the MID will be classed as being uninsured.

If a vehicle is classed as not having insurance then the registered keeper could face:

• A fixed penalty of £100
• The vehicle being clamped and or seized
• A court prosecution with a maximum fine of £1000

The only exceptions to this are where:

• A Statutory Off Road Notification (SORN) has been made
• The vehicle has been declared to the police as stolen
• The vehicle has been disposed through trade

Please be aware that if LeasePlan receive a fixed penalty or fine in respect of a vehicle on hire to a customer, this fine will then be recharged to the customer with an administration fee.

For more information please download our FAQs.