These little-known car insurance mistakes can invalidate your car insurance cover, potentially leaving you unable to claim repair costs from insurance providers in the event of an accident, as well as lead to serious legal consequences.
1. Not updating your address
Fine: Up to £1,000
This particular mistake is more common this time of year and can even lead to a penalty fine from the DVLA.
Nicholas Shaw, Director of Operations at Dayinsure, explains:
“With August being the most popular month to move home, thousands of Brits are currently at risk of invalidating their policy – and could be hit with a hefty fine – if they don’t update the address.
“This is because your insurer uses your address to determine your risk level, which affects your premium. Factors such as crime rates, parking availability, and accident likelihood in your area are considered. An incorrect address at the time of a claim can invalidate your policy, leading to a denied payout.”
But your insurance provider isn’t the only company you need to contact with your new address. Many drivers make the mistake of failing to notify the DVLA by updating their driver’s license and vehicle’s logbook.
“It’s vital to notify both your insurer and the DVLA when you move house,” said Nick. “It’s typically a quick and easy job to do, and will ensure you have the cover you need, if an incident was to occur.”
2. Driving with unsecured pets
Fine: £5,000
Points: Up to 9
For all pet owners who are in a rush, this is one to particularly look out for. If your animal is not secure and is freely roaming around your car at the time of an accident, this could invalidate your insurance policy.
This is because an unsecured pet increases your risk of driving without due care and attention, as this poses a distraction from the road.
Rule 57 of the Highway Code says: “When in a vehicle make sure dogs or other animals are suitably restrained so they cannot distract you while you are driving or injure you, or themselves, if you stop quickly.”
Therefore, having an unrestrained pet in a moving vehicle could result in being slapped with a £5,000 fine, as this could cause an accident and be a danger to other road users.
3. Not reporting minor accidents
Fine: Up to £5,000
Points: Minimum of 5
You might think that minor incidents, especially those that weren’t your fault, don’t need to be reported to your insurance provider, but that isn’t the case.
Accidents change your driver risk level, so they should always be reported. You can submit accidents without intending to make a claim though and indicate that they weren’t your fault.
Don’t be fooled into thinking your insurance provider won’t find out about the accident, as any other party who was involved might have contacted their own provider, who in turn could tell yours.
Additionally, if you don’t stop at the scene or report an incident you could risk committing a criminal offence. Failure to report can carry a fine of up to £5,000 and a minimum of 5 points.
4. Undeclared car modifications
Fine: Up to £2,500
Points: 3
Not all car modifications will automatically invalidate your car insurance, but those that are undeclared potentially could. This typically includes exhaust modifications, turbos, body kits and more performance enhancements.
With triple (197%) the number of searches for ‘lower suspension’ since last month and searches for ‘tinted windows’ up 54% in the past three months, motorists are warned that modifications must still meet safety standards and mustn’t interfere with or obstruct the drive of the car.
If modifications are deemed illegal, not only could they invalidate your policy even if you have declared them, but you could also be hit with a fine as high as £2,500 and 3 points added to your license.
5. Forgetting about your MOT
Fine: Up to £1,000
Points: 3
Having an up-to-date MOT is a legal requirement for almost every vehicle to ensure it is safe to drive on the roads.
How to make sure your car insurance stays valid:
- Ensure you take out the correct policy to begin with – Small details can make a big difference, so take care to fill out your form accurately. If you need short-term cover, or someone needs to borrow your car, choose temporary car insurance.
- Keep your personal details up to date – If your circumstances change, your insurance provider must know too.
- Inform your insurance provider about changes or incidents – No matter how small, make sure your insurance provider is aware.
- If in doubt, check your contract or policy wording – Don’t make assumptions, contact your provider for clarification or look at your policy documents if you aren’t sure about something.
