Probably the major scourge of driving on Britain’s roads today is the million or so motorists who carry no policy of motor insurance. Not only does this cause major problems for anyone who is involved in an accident with an uninsured driver (or an untraced driver also known as a 'hit and run' driver) but it is estimated that every insured motorist pays £30 per year extra on their policy of motor insurance to cover the costs of the Motor Insurers Bureau (MIB) which is a government body set up to indemnify the victims of an uninsured driver or an untraced driver. There are two aspects to MIB cover as follows :-
Untraced Drivers Agreement
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This is an agreement between the Secretary of State for the Environment and Transport and the Motor Insurers Bureau whereby the MIB will make an award for compensation to the victim of an untraced driver (who may also be an uninsured driver) in respect of personal injuries provided that the matter is reported to the Police within a reasonable time and will also consider property damage provided the incident is reported to the police within 5 days or as soon as is reasonably possible. All claims under this agreement are subject to a nominal £300 excess. Legal costs for representation are not paid by the MIB.
Uninsured Drivers Agreement
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This is an agreement between the Secretary of State for the Environment and Transport and the Motor Insurers Bureau whereby the MIB will settle any awards for personal injury and other losses made in a Court of law against an uninsured driver. There is a nominal £300 excess. The arrangements for settlement are complex and technical and it is advisable to seek the services of a solicitor in your dealings both with the MIB and the Court. The MIB does contribute towards legal costs in this case.
The Motor Insurers Bureau was established in 1946 to compensate the victim of an untraced driver or an uninsured driver. By virtue of the Road Traffic Act 1988 every motor insurance company is obliged by law to contribute towards its funding. The MIB pays out over £300 million every year however it is a fund of last resort and alternative cover should always be obtained elsewhere if there are other alternatives. In the case of personal injury there are no limits to the amount of compensation that may be awarded however in the case of property damage the maximum award is £250,000.
Umbrella Claims is a specialist organisation that deals exclusively with personal injury compensation claims. In an 'uninsured driver' case compensation is paid in full with no deductions however in an 'untraced driver' case (hit and run) legal charges are deducted from the amount of any award. In both cases we operate on a risk free no win no fee basis. We will minimalise any inconvenience to you and we offer free advice without obligation from some of the best lawyers in the business. We ensure that our client’s interests are a priority and our lawyers deal with claims in a friendly, efficient and competent manner to ensure that you get the compensation that you deserve in the shortest time scale possible.