News

11-01-2011 Continuous Vehicle Insurance

MAG is pleased to see that the new regulations on Continuous Vehicle Insurance will exempt vehicles on which SORN has been declared.
 
The regulations announced today will require owners to ensure all their vehicles regardless of whether or not they are being used on the road, unless they have declared SORN.  
 
(A SORN declaration confirms that a specified vehicle will not be used on the road).
 
MAG totally supports the Government in its aim to reduce the use of uninsured vehicles on our roads. Uninsured driving is a major problem that inflates the insurance premiums of law-abiding road users and poses huge problems in the event of accidents.
 
MAG lobbied strenuously for the SORN option when Continuous Insurance on all vehicles was suggested some years ago.  More recently MAG has lobbied the DfT to ensure that an exemption for SORNed vehicles remains.
 
Some concern remains that a loophole might lead to problems for the owners of older vehicles that were off the road before the original SORN arrangements came into force. The SORN requirement was not applied retrospectively to embrace every vehicle so it is possible that owners of old machines which have never been SORNed or used on the road in the meantime might fall foul of the new regulation if no consideration is given to them.
 
MAG is asking for assurances on the issue of rider policies and multi-bike insurance policies that may lead to cases where insured vehicles are not listed on the Motor Insurance Database.

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