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Despite high driving costs motorists must take out Car Insurance

Mon, 11 Jul 2005

As the cost of driving increases motorists are being reminded that Car Insurance is a vital and legally required expense.

Research conducted by the British Insurance Brokers' Association (Biba) estimates that around 1.4 million UK drivers do not currently hold valid insurance cover because many motorists are attempting to reduce their driving costs.

Recent increases in petrol prices are likely to be the main reason why the number of uninsured people on the roads is rising. Biba estimates that the price of a litre of unleaded petrol has risen by 6.6 pence since the start of 2005 - adding around £4.83 million a day to the total petrol bills of UK drivers.

'Every one pence rise in the price of petrol adds 0.1 pence per mile to the cost of motoring," said Biba technical services manager Graeme Trudgill.

"Given the fact that the punishment for being caught driving uninsured is often not much of a deterrent, consisting of a fine of up to £150, more motorists are either driving without cover or are considering it."

Biba is calling for the introduction of tougher penalties to stop people from driving without insurance and therefore reduce premiums for honest motorists.


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Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.