At the current time, the cost to UK motorists as a result of uninsured drivers is over £500 million per year - with this figure getting passed onto the insurance premiums of drivers across the country. The Motor Insurance Database (MID) was set up by the Motor Insurer’s Bureau as a way of reducing the number of uninsured drivers on the roads of the UK. It aims to do this by making it compulsory for all insured vehicles to be registered on their database. However, the rules for registering are different depending on whether you have taken out a private insurance policy or a motor trade insurance policy. Highlighted below are the steps you must take to make sure you don’t fall foul of the rules.
What is the difference between the two policies?
If you take out a private car policy then it is the responsibility of your insurance provider to register your cars details or any updates to your policy on the MID within 7 days of it coming into effect. However, if you are taking out a traders insurance policy, then it is down to you to make sure that you have submitted all of the correct vehicles to the database. This includes adding vehicles that are in your custody or control for more than 2 weeks and any taxed vehicles that are being held in stock. Our advice is to add your vehicle on as soon as possible to avoid problems – it’s free and quick so don’t take a risk.
What information needs to be submitted?
When you submit any vehicle onto the database there is certain information that is legally required. You must submit the Vehicle Registration Mark (and vehicle description to your insurer i.e registration,make,model,value, and engine size), the dates that the vehicle needs to be covered from and also when it is to be stopped being covered on your policy. If you are moving to a new insurance company for any reason then you should definitely let them know a list of all your vehicles so they can add them to the database.
What happens if you don’t register?
There can be a number of problems that occur if you do not register all of your vehicles onto the MID – an important one being pulled over by the police. The police use their network of Automatic Number Plate Recognition cameras to identify those cars that have not been registered onto the database. If you have failed to submit your vehicle then you are leaving yourself open to the possibility of your vehicle being seized by the police due to them assuming you have no insurance. If your vehicle is seized then there can be a lot of hassle to get it back and you will feel the cost not only in monetary terms but also the time that you are without your vehicle. Also, if your vehicle is not on the database it may prejudice any claim you have with your insurer. Insurance companies will automatically suspect something is up if your vehicle was not on at the time of an accident – eg were you just borrowing a friend’s car or is the vehicle outside of your policy coverage.
To summarise, it is imperative that if you are taking out a motor trade insurance policy, you ensure that any vehicle that is covered by it is registered on the MID. Failing to do so will only cause you problems further down the line.
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