• Is Car Insurance Necessary?

    Date: 2009.11.09 | Category: insurance | Tags: ,,

    Author: Russell Marlow
    Source: ezinearticles.com

    Car insurance is a compulsory requirement for anyone wanting to drive a car on UK roads. It’s illegal to not have a policy which applies to the car you’re driving on the road, and the penalties can be harsh. Offenders can end up in court, and may end up with points on their driving licence as well as face a fine. There are different levels of car insurance, and the minimum legal level is Third Party Only.

    It’s also important to point out that there are virtually no exceptions when it comes to having car cover. For example, you’re not exempt if you’re learning to drive and are a provisional licence holder. Even a trip around the corner with a qualified driver in the passenger seat is illegal if the person at the wheel does not have a car insurance policy which applies to them and that car.

    Check your cover

    People often mistakenly believe that if they’ve got a car insurance policy they are fine to drive someone else’s car, perhaps belonging to a friend. But you must have an insurance policy which entitles you to drive that car. Although some cover products allow you to drive not just your own car but cars belonging to other people within certain limits, this is not a typical feature of a very basic car cover policy.

    You’re also not exempt if you only wish to drive the car a limited distance or on a limited number of occasions per year. In short, if you wish to drive a car on the road, you must have an insurance policy, even if it is a matter of a few hundred yards.

    It is also important to think about other requirements for driving a vehicle such as;

    MOT certificates

    The car you’re driving must have passed an MOT certificate before it can be driven. This applies to any vehicle which is at least three years old.

    Road tax

    The car you’re driving must also have a tax disc, which is up to date and is clearly displayed in the windscreen.

    Your licence

    It must be up to date and you must drive in accordance with its limits, i.e. pay particular attention if you are a provisional licence holder who must be accompanied by a qualified driver and have L plates.

    The minimum level of cover, as mentioned before, is Third Party Only and this is a type of policy which only protects for payouts to damage done to someone else’s car during an incident. Fully Comprehensive cover which protects against damage to your own vehicle as well may be more expensive but is far more detailed. It is generally used by people who have a car which has a value over a very low a limit of perhaps a few hundred pounds.

    So remember, you are required to have a car insurance policy if you wish to drive, as the law states you must be able to cover the damage and compensation to another person if you are responsible for an accident.

    Russell Marlow is a London based freelance writer who writes about financial products including car insurance.