Insurance Documents No Longer Needed To Tax Cars
Continuous Enforcement Scheme
Motorists are no longer required to have their insurance documents inspected before receiving a tax disc. Why? Because this occasional check has been replaced by the Continuous Enforcement Scheme. This enables the Driver Vehicle Licensing Agency to check for compliance regularly by cross referencing the Registered Keeper Database with the Motor Insurance Database. If a car is uninsured its keeper receives a reminder in the post. This is the chance to comply without penalty. However, if no action is taken the offender receives a one hundred pound fixed penalty notice. This, in turn, can be followed by clamping, impounding and/or prosecution. Court penalties include points on the licence, a fine and disqualification. Furthermore, the Continuous Enforcement Scheme minimises the benefit of a popular scam. This requires the motorist to purchase motor insurance so that he/she receives official documents through the post/online. The crook then cancels the policy, claims a refund and retains the paperwork that – until now – could be used to tax a vehicle. So, whereas this documentation still has merit it is of far less value to those with unscrupulous intentions.
Government Cuts Red Tape For Motorists
The Continuous Enforcement Scheme is part of a package to remove red tape. Let us consider the other elements. Motorists that own vehicles that are not in use must – as has been the case for years – complete a Statutory Off Road Notification (SORN). However, this is now a one-off rather than an annual process. Vehicles simply remain legally off the road until taxed, sold or scrapped. Furthermore, the paper tax disc for windscreens will be consigned to history from October 2014. But this will not be the end of Vehicle Excise Duty - so motorists will continue to pay to keep cars on the road. This initiative will come into effect for two reasons. Firstly, the paper disc is simply a receipt that can be checked by the police to ensure vehicles are taxed. But this paper trail is superfluous as vehicles are monitored by a camera system that determines – via registration plates – whether the tax has been paid. The Driver Vehicle Licensing Agency complements such checks via a monthly scan of its database then sends fines to non-compliers. Furthermore, the government has confirmed that drivers will soon be able to pay road tax by direct debit which should make life simpler for millions of people.