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Why do I need to have to have car insurance?

You need car insurance in order to get your car taxed. The post office will want to see your insurance certificate and MOT before they issue the car tax to you. You are also breaking the law if you do not have car insurance and you can be fined and/or be sent to prison.

Insurance for cars became a field of law in 1930 when legislation was brought in requiring every person using a vehicle on the road in the UK to have an insurance policy. You had to have a minimum of third party.

Your car insurance certificate is a very important legal document. You cannot tax or drive your car with out an insurance certificate. It is a criminal offence not to have one.

A cover note will normally be sent first whilst the insurance company sets up your policy.  Once they have received full payment, you will get your insurance certificate and policy booklet. Your policy booklet will provide the full details of what is, and is not covered.

Your insurance certificate must contain the policy holder's name and address, the vehicle registration number, the start date of cover, and the date of policy expiry.  If there are any restrictions or limitations, they will also be included. It will also give you a list of any other vehicle you are entitled to drive.

The government has set up the Motor Insurers' Bureau (MIB) to compensate injured victims of motor accidents. Should the other party in an accident be uninsured or untraced, the MIB can help with compensation. This is funded by a levy on car insurance premiums.

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