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Uninsured Drivers Cost 1.25 Billion Pounds

31/08/2010

Honest drivers are bearing the brunt of the cheats who do not have motor insurance as new figures show we dish out a total of £1.25 billion every year to cover the risk posed by uninsured drivers.

The figures released today by The Co-operative Insurance show the group most likely to drive without insurance are young people where one in four drive illegally either without insurance, MOT or a licence.

The figures show that for every honest driver to cover the risk of uninsured drivers and their fraudulent activity amounts to £50 per cheat, equating to one day every week the law-abiding drivers’ foot the bill.

“Millions of people are deliberately flouting the law by not insuring their cars at massive cost to honest road users and the wider insurance industry posing an unnecessary and unjustified risk,” said Tim Franklin, The Co-operative Financial Services chief operating officer.

“Personal responsibility is at the heart of this issue.  If you are an uninsured driver you need to think about the consequences of your actions and purchase insurance and if you know somebody who is driving around uninsured you should seriously consider reporting them to the authorities.”

More than 23,000 people are injured and killed by uninsured drivers annually – as a result motor insurance policies have to calculate policies to reflect this risk.

“It’s shocking that so many young people are admitting driving illegally,” said Katie Shephard, Brake spokesperson.

“Young people are involved in a huge proportion of deaths and serious injuries on our roads due to their inexperience and the tendency of many young drivers to take risks like speeding, overtaking dangerously and drink and drug driving.”

If a driver is caught without insurance the penalties include a £200 fixed fine and six penalty points on their licence, and if the vehicle is not collected with a valid insurance policy the car is either sold or crushed.

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