Motorists in the UK are paying a staggering £500 every year to cover the cost of damage caused by uninsured drivers and these losses inevitably pass through to the premiums of insured drivers who end up paying much more for cover. of the car. The MID database was created to deter drivers from taking their vehicles on the road without adequate insurance coverage; it is mandatory for all owners of insured vehicles to register their car in this database.
The rules for registration differ depending on the type of policy you have; For example, the procedure for registering a vehicle if you have commercial coverage will be different than if you have a private policy. So here’s a look at the proper steps to get your vehicle into the database.
Who will register the vehicle?
If you have a private car cover; your insurance provider will register your vehicle in the database for you. However, if you have a commercial policy, you probably have multiple vehicles, which means you will be responsible for making sure details of all vehicles make it into the database. This includes all encumbered vehicles that are kept in stock and also any loaner cars that you intend to use for ten days or more. You may contact your coverage provider for additional details; Most of the time, an insurance company will also register vehicles for commercial policy holders.
What information will need to be submitted to include the vehicle in the MID database?
You will need to submit information about the vehicle, including the registration mark, insurance policy number, and the date the insurance was purchased and when the coverage ended. If you change your coverage provider at the time of renewal, you will need to update this information. On the other hand, if you stay with the same insurance company; this information will normally be updated automatically. However, it is better to check that all important details are in the database.
If you choose to go with a new insurer, you will need to re-register all of your vehicles in the database.
What can be the consequences of not registering your vehicle in the MID database?
You may face a number of issues if your vehicles are not registered in the MID database. The first is, of course, being stopped by the police. Authorities often use their automatic license plate recognition system to identify cars that cannot be found in the database. If your vehicle has not been registered, it is very possible that the police will seize it and you will have to pay heavy fines to get your seized vehicles back. Not only will there be financial ramifications when your car is impounded, but since it will be unavailable for business purposes, you may lose vital customer accounts and crucial business time.
As you can see, there are several annoyances that you will encounter if you do not register all the vehicles under your auto trade insurance policy in the MID database. You should also understand that because the police have ready access to information about the type of policy you have; Using private coverage for business purposes can be risky. Not only will your vehicle be impounded in such a situation, but you may also have to pay heavy fines and in the worst case your business license may be revoked; therefore, it is best to choose a commercial auto insurance policy for business operations.