Drivers risk invalidating motor insurance

Drivers risk invalidating their motor insurance if they withhold information or provide false details in an attempt to keep premiums down.

Motor insurance prices have soared by more than 20% over the last two years.

In response, the government has set up a taskforce to look into the factors driving up prices and identify measures to bring them down, while the Financial Conduct Authority has launched a review to see whether people who borrow to pay for motor and home insurance are receiving fair, competitive deals.

However, the steepling costs have put a huge strain on motorists during a cost-of-living crisis, with some tempted to withhold or change certain information in an effort to reduce costs.

Now, Select Car Leasing has warned that even changing jobs or job roles could have an impact on motor insurance policies.

Graham Conway, managing director, said: “Whether you’ve switched careers entirely or moved within the same industry, it’s important to update your insurer. Failing to do so could invalidate your policy, leaving you without coverage when you need it most.

“When calculating insurance premiums, insurers assess various factors, including the driver’s occupation. Certain professions carry more risk, and as a result, drivers in those jobs may pay more for coverage. For example, delivery drivers or salespeople who spend a lot of time on the road are often seen as a higher risk. Professions that often require long hours and late nights may also come with higher premiums.”

Motor insurance policy

Conway continued: “If your new job requires more commute time, this may also impact your insurance. One of the factors that insurers take into consideration when calculating your premiums is your annual mileage.  If a new job requires a longer commute that is likely to increase your annual mileage, you’re required to update your insurance policy. Failing to do so may result in a cancelled policy.

“If a driver doesn’t inform their insurance company about a change in job, it could be considered non-disclosure.

“While a job change might seem unrelated to your vehicle insurance, failing to inform your provider could leave you unprotected on the road. Motorists are strongly advised to report any employment changes promptly, ensuring their coverage remains intact and they avoid the costly consequences of driving without valid insurance.

“If your insurance policy is voided or cancelled, it can also make it harder to get affordable insurance in the future, as other insurers might view you as a higher risk.”