New
government proposals to target uninsured road users mean employers must take
extra caution when checking their staff motor insurance policies, according to
experts.
The
Department for Transport plans to give police the power to seize and destroy
vehicles in appropriate cases, link the Vehicle Register and the Motor
Insurance Databases and fix penalties for people who ignore reminders that
their insurance has expired.
Martin
Johnson, chairman of the motoring sector at chartered accountants UHY Hacker
Young, said more and more employers were being caught out by administrative
oversights, resulting in drivers not being properly insured to travel for work.
"The
fact that there’s no standard definition of business use cover makes it even
more complicated as is varies according to the individual insurer,” he said.
“Employers need to check in detail their insurance policies immediately to make
sure that they aren’t caught out".
Accidents
involving uninsured drivers cost the country more than £200m per year, according
to government figures.
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