Author: Richard Hartley, 19 July 2007.
When your insurer fails to update the Motor Insurance Database and the police accuse you of driving uninsured then you may feel that your
car insurance deal is not quite as good as it first appeared.
Even worse, you could have your car confiscated, receive an on the spot fine of £200 and have your licence endorsed with penalty points!
That's what happened recently to Helen Parry, a 29 year old student nurse from Llandudno. Helen, who was 20 weeks pregnant at the time, was driving her parents' car when she was stopped by North Wales police who told her the vehicle was uninsured. Ms Parry knew this was not the case but the police had checked the
Motor Insurance Database and could find no record of valid
insurance cover.
Vehicle Confiscated
Despite her protestations, Ms Parry's vehicle was confiscated and she was left standing by the road in the rain until her mother arrived. Before they could get the vehicle back, Ms Parry's mother had to cough up a £105 release fee.
North Wales police has now apologised for the error and reimbursed the costs but Ms Parry has made an official complaint and involved Clwyd West MP David Jones.
Mr Jones first raised the matter in the Commons on 28th June 2007 and he has called for police to exercise more discretion and common sense when dealing with such incidents. On 11th July, Mr Jones told Parliament that Ms Parry's policy is just one of some 400,000 that Direct Line had failed to report to the
Motor Insurers Bureau. He also highlighted other examples of vehicle seizures where innocent motorists have been accused of being uninsured. One case involved a Liverpool motorist who had switched her
car insurance from Asda to a Post Office policy. The
MID held no details of the new
insurance policy and her vehicle was seized by police who have yet to refund the £105 release fee despite her proven innocence.
Motor Insurer Blamed
North Wales police has been clear about where it feels the blame lies for the Parry incident. In a statement they pointed out that their officers rely on data supplied by
motor insurers and, in this case, Direct Line had omitted to update the database.
Direct Line has accepted that it was at fault and blamed a "systems error" for the failure to upload policy details.
Now transport minister Rosie Winterton has called for urgent talks with
motor insurers to ensure that the
MID information relied on by police forces is accurate.
The highly competitive nature of the UK
motor insurance market means that motorists switch insurers with increasing frequency and this could mean more cases like the Parry one.
No Excuse
Alan Boswell Group
personal insurance manager Heath Alexander-Bew explains: "Motorists are understandably looking for a
better deal on car insurance but this is a worrying incident. For our clients' peace of mind, it's imperative that the
MID is kept up to date. With
private car insurance, the insurers send data to the Bureau and with the
technology available, there's no excuse for failing to meet the industry targets."
And Mr Alexander-Bew has some advice for motor policyholders that find themselves in the same situation as Ms Parry. "If you have a mobile phone with you, call your
insurance broker or ring the insurer's 24 hour helpline and get the police to speak directly to someone who can explain that appropriate cover is in force."
Alan Boswell Group provides independent broking advice on car insurance, commercial motor insurance and fleet insurance to private individuals and business clients throughout the UK.
Alan Boswell Insurance Brokers Limited, Alan Boswell Insurance Services Limited and Alan Boswell & Company Limited are authorised and regulated by the
Financial Services Authority.
