Car insurance refused as car not declared off road

Zxthinger

Hi All.

Following Covid I was off the road for two years. The car sat on a private driveway and never moved..

I know the new system requires you to declare it off the road but I had intended selling it so I wasn’t too concerned.. I sold it to a friend who changed his mind and so I bought it back. All for very small money..

I decided that I’d re activate my policy but the insurance company told me that not declaring it off the road was illegal and they’d be putting a note on the policy forbidding me from insuring that same car..

Can any comment on whether or not they were entitled to make such a call. Seems like they are now the police and inland revenue all rolled into one now..

Any facts or advise is welcome..

Regards Zxthinger

zg3409

What exactly did you say to them?

How do you intend to tax the car, are you going to pay back tax?

Who's name will car be in when it's finally taxed?

Everything you say on the phone to insurer is recorded and can be used against you at any time in the future.

Insurers can refuse insurance for pretty much any reason or give crazy high quote.

Trigger Happy

What do you mean by 'reactivate your policy'? Did you cancel the policy during covid and call them up 2-3 years later asking them how to uncancel it?

coylemj

Declaring the car off the road is an issue to do with the tax disc, can't figure why the insurance company cares about whether you did it or not.

degsie

https://www.boards.ie/discussion/comment/120798711#Comment_120798711

Not declaring it means that an insurance company can reasonably assume that the car may have been driven uninsured.

doc22

"I know the new system requires you to declare it off the road but I had intended selling it so I wasn’t too concerned.. I sold it to a friend who changed his mind and so I bought it back. All for very small money." Very convenient.

Why would one keep a car for two years if they were going to sell it. Makes no sense.....

emo72

That's a wee bit strange. I mean I can easily see a scenario where the tax is up and you don't re tax it or insure it because you no longer wish to drive, and have no plans to drive for the foreseeable future. In that scenario are you required to declare it off road?

magicbastarder

https://www.boards.ie/discussion/comment/120798731#Comment_120798731

this is true, but i'm curious about the claim that the insurance company told the OP that what they did is illegal; is it illegal to not insure a car which you're paying motor tax on, if it's not taken onto a public road?

pat_sconce

I suspect what you said to the person in the insurance company's call centre took a different meaning to what you said.

There was no reason even for you to mention anything about the sale and buy back of the car. If they did query it you just say that it was not used. If they have an issue with that, change to a different insurance company. If they make an assumption and put a black mark on your record make a strong complaint to them and if they did not withdraw the mark take the complaint to the ombudsman.

This currently acts as an "Insurance refusal", so its quite a serious matter as you will be asked by every other insurer whether you have been refused insurance by another insurer and you must declare that. So if what you are saying is correct and the reason for the car being off the road is as you stated, then I'd be looking to get the record corrected asap.

I'd also be asking how a call centre person has such authority to damage your reputation in such a manner.

kirving

Selling and rebuying the same car may be seen as a risk factor by the insurance company.

It's not an issue in and of itself, but could reasonable be linked to high tax vehicles (read: older/large engine/high power/cost cutting on tax/maintenance/NCT/tyres)

coylemj

https://www.boards.ie/discussion/comment/120798731#Comment_120798731

True. Or it could have been loaned to a person who drove it for the duration and was insured under ther own policy's 'driving other cars' cover. Provided they were not insured by Allianz, Liberty or Zurich. All of whom insist that the car you borrow has an active policy of it's own before their DOC will cover you.

NUTLEY BOY

https://www.boards.ie/discussion/comment/120799657#Comment_120799657

I do not understand why these particular motor insurers insist on the other car having an active policy on it too.

Why would the presence of cover on the other car be a condition precedent to operation of the DOC cover ?

Do insurers operating this provision need the other car policy to indemnify their policyholder as well ?

degsie

https://www.boards.ie/discussion/comment/120799657#Comment_120799657

Interesting point re another driver but what about the displayed insurance disk?

coylemj

https://www.boards.ie/discussion/comment/120800073#Comment_120800073

It's to prevent a practice whereby someone owns two cars but only insures the smaller one. You buy and insure a Micra in your name and you buy a BMW M3 and register it in the name of someone who doesn't own a car - a relative or a co-operative neighbour. Then you 'borrow' the M3, drive it as your regular car and rely on the insurance provided by your policy's DOC cover.

Do insurers operating this provision need the other car policy to indemnify their policyholder as well ?

Paradoxically, it's the reverse. DOC cover typically only applies if you borrow a car and the car's own policy does not cover you.

coylemj

https://www.boards.ie/discussion/comment/120801174#Comment_120801174

If I borrowed a car from someone and it had no insurance disc, I'd make sure to bring my insurance cert with me to show to the cops. It says that I can drive any car.

mrslancaster

https://www.boards.ie/discussion/comment/120798778#Comment_120798778

+1. Could easily happen due to illness or working abroad etc. If its not declared off the road the tax is still due, so just pay the arrears.

IIRC, tax renewal asks for insurance details but I dont recall needing proof of tax for insurance. Can an insurance company check somewhere if car reg xxx was insured in the past few years?

mrslancaster

https://www.boards.ie/discussion/comment/120799657#Comment_120799657

It would still need to be taxed to be on the public road and if there was an accident i'd say the insurance company would hop on that as a reason not to pay a claim.

coylemj

https://www.boards.ie/discussion/comment/120803340#Comment_120803340

An insurance company cannot use something as trivial as an out of date tax disc to deny a claim.

How about if the number plate was dirty and you couldn't read the reg?

Eggs For Dinner

https://www.boards.ie/discussion/comment/120803090#Comment_120803090

Which is perfectly valid. However, there is a separate offence of driving a vehicle without displaying a valid insurance disc. Personally, I think discs played a very important role in combating uninsured driving, but their day was over 10 years ago. ANPR, linked to the insurance database is the way forward