Many drivers have an ambivalent relationship with car insurance. It is inconvenient, expensive and difficult to understand. Insurance companies can sometimes seem unhelpful, unreasonable, even shady and duplicitous. However, we can be glad of it when things go wrong. A decent policy can ease the financial pain and the trauma of an accident.
And it's not like we have any choice in the matter: if we want to drive, insurance isn't optional, so it makes sense to ensure that our policies are valid, and likely to pay out should we need to make a claim. The obvious first step is to read the policy thoroughly at the time of arranging or renewing insurance. It is important to understand all the requirements and major implications of your policy, so if there's anything confusing in it, ask your insurer to explain it - in writing if necessary.
Invalidation and non-payment of claims
Rightly or wrongly, insurers have something of a dodgy reputation for refusing to pay claims, and for coming up with factors that either invalidate a policy, are outside the scope of a policy or are explicitly excluded in the small print.
We look at what drivers can do to ensure that they don’t invalidate their policy or give insurers any avoidable grounds to refuse a claim.
Don't lie on your application
Giving false information on your insurance application is likely to come back to bite you when you most need your policy to keep you covered. While any inaccurate details you give can lower your premiums, the increased scrutiny that results from a claim very often reveals the truth. In particular:
Don't lie about the way you use your car
If your car is used for business, to carry paying passengers or for anything except social, domestic and recreational purposes, tell your insurer. Even something as seemingly trivial as delivering packages for a part-time job should be declared.
An appropriate policy for the way you use your car gives you the correct cover and peace of mind.
Don't lie about mileage
If you give your insurer a figure for annual mileage which is found to be substantially inaccurate, your cover could be invalidated. If you have to claim for an accident, the chances are your insurance company will check your mileage and do their sums.
Don't lie about the identity of the main driver
Some people indulge in a practice known as "fronting". This is when the main driver is not identified as such, but is added to the policy just as a named driver. This may be for a number of reasons, typically because the person named as main driver qualifies for less expensive premiums, possibly due to their no claims bonus, or because the real main driver is a young person.
Fronting is not difficult to detect and is a common cause of invalid insurance.
Keep your car maintained
For your policy to be valid, your car must be kept in a roadworthy condition. It's up to you to ensure that you get all necessary checks, repairs and general maintenance tasks attended to.
MOT
Your valid MOT is a condition of your insurance cover. Make sure you book your car's annual test early enough to avoid gaps in your MOT cover.
Keep an eye on your tyres
If your tyres don't meet the legal requirements, your policy could be invalidated. Tyre tread must be at least 1.6mm deep across the central 75% of the tyre, and this must be consistent around the tyre's whole circumference. Your tyres must also be in roadworthy condition without significant cuts, splits or other damage. They must also be the correct type of tyres for your vehicle.
If you don't keep your tyres in good condition, you risk invalidating your policy.
Declare relevant changes in your circumstances
Inform your insurer of important changes such as a new address, a change in where the car is usually parked, a change of employment or even a change in your marital status.
Medical conditions
You must tell your insurer about any medical condition that is included in the list of notifiable conditions on the government's website. You also need to inform DVLA of these conditions. Some common examples of conditions and related factors that can be notifiable include:
- epilepsy
- stroke
- diabetes
- cancer
- heart condition
- some medication (ask your doctor)
There are many others, and many conditions are only notifiable under certain circumstances, so we recommend that you check the government website linked above, or seek the advice of your doctor.
Declare modifications to your vehicle
If you make changes to your vehicle, even adding a spoiler or getting a new paint job, then you should tell your insurer. It is particularly important to inform your insurer about changes to critical systems that could impact safety, such as any modification to the following:
- steering
- suspension
- brakes
- lights
- windows or windscreens
Many modifications will increase your premium but some, such as alarms or immobilisers, may actually reduce your premium.
Private registrations and insurance
Tell your insurer if you assign private number plates to your vehicle. This is primarily for the obvious reason that your insurer must have the correct registration for the car that your policy covers. If the registration on your policy doesn't match the actual registration on your vehicle, then that policy will be invalid.
It is also wise to ask your insurer for written confirmation that they have no interest in acquiring the registration number in the event that your vehicle is written off. If you don't attend to that detail, you could find, after an accident, that your cherished registration suddenly belongs to your insurance company and not to you.
Don't be negligent
Negligence and foolish behaviour are common causes of invalidated insurance. Reckless or illegal conduct such as drink or drug driving, jumping traffic lights or speeding will void your policy. Other things may be less serious, but they can also cause problems: leaving your car unlocked or leaving the keys in the ignition or somewhere they could easily get stolen will do nothing to help your chances of a successful claim. Even something as reflexive and seemingly trivial as apologising to the other party in an accident could wreck your claim, as such an apology may be seen as admission of liability.
What are the consequences of invalidating my cover?
If you are caught out in any lie or behaviour that leads to your insurer invalidating your policy, you could face a number of consequences:
-
Prosecution for driving illegally
If your cover is invalid (whether you know it or not) then legally you cannot drive, and doing so may get you prosecuted. Penalties can include six points on your licence and a fine. -
Denied claims
If a claim is denied, then as well as the obvious cost of footing repair bills yourself, you could be personally liable for injury or damage to any third-party persons or vehicles involved in an accident. -
Insurance blacklist
If your insurer adds you to an insurance blacklist because you invalidated your policy, then finding insurance in the future could be much more difficult and much more expensive.
An inconvenient truth
We must have insurance - simple. That being the case, let's make sure it works for us when we need it. Let's not give insurers any reason to avoid paying out on valid claims.
Savings gained through deception, or by omitting information, can be a false economy. If those dodges are discovered, as they frequently are, then we just end up costing ourselves a lot more money and causing ourselves a lot more trouble.
Compare carefully when looking for a policy. Read the small print, ask questions and make sure you understand the implications. Making savings legitimately by shopping around provides far more peace of mind than trickery.
