Ashton West OBE, Chief Executive at MIB said: “We are hugely concerned about a likely rise in uninsured driving, following the Ministry of Justice announcement today about the discount rate.

“The work to reduce the problem of uninsured driving in the last decade is bound to unravel and will have dramatic consequences for the safety of all road users.

“There is already a disproportionate number of young drivers on our roads without insurance. Today’s announcement will lead to more young people choosing to drive uninsured as they struggle to find affordable cover.”

-ENDS-

Notes to Editors:

• MIB provides compensation to innocent victims involved in accidents with drivers who have no insurance or failed to stop. It is estimated that uninsured and ‘hit & run’ (untraced) drivers kill 120 people and injure 29,000 every year.
• MIB is funded through a levy (£244m in 2016) on all companies offering motor insurance in the UK.
• The number of uninsured vehicles has reduced by 50% in 10 years to an estimated 1million. There has been a correlating drop in the number of claims reported to MIB; consequently there has been a reduction in the levy from a peak of £417m in 2008.
• MIB manages the Motor Insurance Database - the only central record of all insured vehicles the UK. The MID is used by the police to identify uninsured vehicles and by DVLA to identify vehicles kept without insurance. Motorist can check their vehicle is on the database at www.askMID.com.
• Young drivers aged between 17 and 25 are involved in more road accidents than other drivers (Department for Transport, 2015, Reported road casualties Great Britain: 2015 annual report https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/556396/rrcgb2015-01.pdf)
• The Ministry of Justice announced a drop in the Discount Rate from 2.5% to minus 0.75% (https://www.gov.uk/government/news/new-discount-rate-for-personal-injury-claims-announced)

MIB Press Office contacts

Shavaun Glen, on 01908 82 1985 or 07595 551 607 

Louise Coxon, on 01908 42 2397 or 07595 551 608