Britain may be heading for the exit door from the European Union, but it may still find itself subject to a host of insurance-themed law changes.
A new EU directive could soon make it necessary for all “vehicles” to have full insurance – that includes those used only on private property.
According to a report in
The Times, the Department of Transport admitted it would be legally obliged to consult on the changes while Britain is in the EU with the consultation running until March. It reportedly puts into doubt the statutory off-road notification scheme that lets uninsured vehicles be kept on driveways and the DfT admitted that the consequences could be “costly”.
Among the vehicles that could soon require motor insurance are: golf buggies, electrically assisted pedal cycles, agricultural vehicles, ride-on lawnmowers, Segways, motorised ride-on children’s toys, fairground rides such as dodgems, dumper trucks, quad bikes and more.
The 2014 European Union motor insurance law demands mandatory motor insurance for any vehicle in its normal use, in any location – a contrast to the UK’s Road Traffic Act which requires third party cover for mechanically-propelled vehicles intended for road use and only when those vehicles are on roads or in other public places.
As a result, insurance could soon be needed to cover accidents on private land – potentially bumping up false claims; add a host of new vehicles to those needing cover; and could open up the government to being sued by accident victims who have had claims denied in UK courts.
The directive already exists in Europe but its implications are still being finalised because it contradicts the laws of so many nations. As such, the DfT may be hoping that the Brexit is complete before the rules come into place – or that it can draft a “sunset clause” so the rules can be abolished when the country leaves the EU.
“This would result in us broadening our definition of a motor vehicle and extending our insurance requirement beyond roads and other public places,” said a DfT document.
“This could mean users of motor vehicles would be required to have third-party insurance on private land."
Speaking to
The Telegraph, a DfT spokesman added: “We oppose any measures which impose an unreasonable burden on the public. We will use the consultation responses to get the best result for the country.”
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