chapter 2 Flashcards
What is the purpose of Article 75 in motor insurance?
Article 75 ensures insurers handle certain liabilities beyond their contractual or RTA obligations, providing compensation to victims of motor accidents even in cases of technical insurance issues.
Name three scenarios where Article 75 liability applies.
The insurance policy was voided or cancelled, but the Motor Insurance Database (MID) was not updated.
The insurance was obtained by fraud, misrepresentation, or mistake.
Backdated insurance coverage was issued.
How does Article 75 liability differ from RTA liability?
RTA Liability:
Applies when insurers are legally required to cover accidents even if the policy is invalid.
Article 75 Liability:
Covers broader situations, such as errors in updating the MID, but excludes subrogated claims.
What are the three levels of liability for insurers?
Contractual Liability: Valid policy in place.
RTA Liability: Invalid policy but covered by RTA requirements.
Article 75 Liability: Insurer handles uninsured claims per MIB rules.
Continuous Insurance Enforcement (CIE):
Registered vehicle keepers must ensure their vehicles are insured continuously unless a Statutory Off-Road Notification (SORN) is made.
What key developments followed the Greenaway Report?
2005 (SOCPA): Police gained powers to seize and destroy uninsured vehicles.
Enhanced Police Access: Integration of MID with ANPR cameras for detection.
2011 Offence: Keeping an uninsured vehicle became a punishable offence.
Insurance Industry Measures: Revised policies to prevent misuse and improve renewal processes.
What is Continuous Insurance Enforcement (CIE)?
Introduced in 2011, it identifies uninsured vehicles using record comparisons between DVLA and MID.
Enables detection without roadside police checks.
What is Thatcham Research’s role in motor risk prevention?
Evaluates vehicle safety and security systems.
Administers the insurance Group Rating system.
Conducts crash testing for Euro NCAP.
Researches autonomous vehicles and cyber security.
How does the Motor Insurance Database help to make the roads in the UK safer?
By ensuring that the data for all UK insured motor vehicles can be easily accessed.
An insured has committed an offence under the Road Traffic Act 1988 because she has:
allowed a certificate of insurance to be used by another person with intent to deceive.
What is Section 143 of the RTA 1988?
Requires users of motor vehicles to have third-party insurance or security covering liability for death, bodily injury, or property damage arising from vehicle use on a road or public place.
Makes it an offence to drive uninsured.
What is Section 144 of the RTA 1988?
Provides exemptions from compulsory insurance for specific vehicles, including:
Crown vehicles.
Police and NHS vehicles.
Vehicles used under specific salvage or merchant shipping laws.
What is Section 156A of the RTA 1988?
Introduced by the Motor Vehicles (Compulsory Insurance) Act 2022.
Excludes the application of the European Court’s Vnuk ruling from UK law.
Limits compulsory motor insurance to vehicles used on roads or public places.
