In its 2018 Manifesto, the British Insurance Brokers’ Association
(BIBA) called for a practical approach to enable more
than 2.5 million private and commercial motorists to continue to
travel easily throughout the EU.
In a letter to BIBA this week the Department for Transport (DfT)
set out its intended approach to motor insurance
post-Brexit. It confirmed the intention to remain part of
the Green Card-free circulation area and to ensure the UK
meets the requirements for third party motor insurance.
The Council of Bureaux (CoB) has indicated that the UK’s Motor
Insurers’ Bureau (MIB) can remain part of the guarantee
agreement, under the Motor Insurance Directive, as a signatory,
in relation to minimum third party insurance provision. This
means that participating countries, once an implementing date is
set by the EU Commission, will refrain from carrying out checks
on motor insurance for vehicles entering their
country.
Graeme Trudgill, BIBA Executive Director said: “This is
excellent news for commercial and personal motorists as well as
brokers and insurers and follows collaborative representation by
BIBA, the MIB and the Association of British Insurers. Without
such an agreement drivers would be faced with increased
bureaucracy and delays at borders and insurance brokers would
need to have in place mechanisms to physically issue 2.5 million
Green Cards every year. This is exactly the solution we
wanted.”
The proposal requires the agreement of the
EU Commission but this is expected to be purely procedural
and the agreement will be put in place.
Trudgill concluded: “It was also pleasing that DfT acknowledged
the support that BIBA provided on behalf of our members in
developing the approach and they have confirmed they will keep us
informed as matters progress.”
