New government plans 'could reduce car insurance premiums'
Personal insurance
18th September 2009
Car insurance premiums could fall as the result of government plans to crack down on uninsured drivers, an expert has claimed.
Andrew Howard, AA head of public affairs, claimed that drivers hate having to pay for those who fail to organise cover and he welcomed the news that the Department for Transport (DfT) is proposing to make keeping - as well as driving - a vehicle without insurance illegal.
The motoring organisation representative explained: "The idea that we pay extra money to subsidise the law breakers is not something that goes down at all well with any of our members."
Mr Howard pointed out that motorists are currently paying between £30 and £50 a year in insurance because of those without cover and predicted that, with proper enforcement, the new system could reduce accidents caused by uninsured drivers, potential pushing down costs.
The DfT proposals mean that owners with a Statutory Off Road Notice will not require insurance, but collaborative efforts between the DVLA and insurers are expected to catch more people using vehicles illegally.
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