Tax Vehicles Without Proof of Insurance
Motorists could soon be able to tax vehicles without proof of insurance.
Motorists could soon be able to tax vehicles without proof of insurance. The purpose of this DVLA proposal - which is at the consultation stage – is to modernise the tax paying process rather than be soft on insurance dodgers. Let me explain. The current system requires motorists to either show insurance documents at a Post Office, or pass an electronic check online or via the telephone. The problem is that criminals insure vehicles briefly to comply with these regulations, then cancel and claim refunds. This makes checking for cover while motorists pay their tax of less value than many assume. Furthermore, the system inconvenience legitimate drivers. They, after all, must carry important paperwork in the street. Alternatively, some motorists struggle to pay either online or via the telephone due to validation errors. These tend to occur when insurance expires the same day as the tax disc.Clearly, annual or six monthly checks were better than nothing in the past. But now we have Continuous Insurance Enforcement (CIE). This enables the DVLA – which collects road tax on behalf of the Government – to cross reference its database of vehicle keepers with the Motor Insurance Database (MID). The latter reveals who is insured at any point of the year. Checks can therefore be made continuously to discourage fraudsters from insuring vehicles briefly to obtain discs. This, it is argued, means it is no longer necessary to check for insurance as motorists pay their road tax. It is only a 'proposal' though, so watch this space.