If you are purchasing and selling numerous vehicles as a motor trader, you must make sure you have a motor trade insurance policy, however once the motor trade insurance policy is confirmed you must also be sure to update your Motor Insurance Database (also known as MID). If you fail to add a vehicle to this database is may mean that you are not insured for that particular vehicle. This works both ways of course, when you sell a vehicle you must ensure that the vehicle is removed from your MID, else you could be held liable for an accident even if the vehicle has been sold on.
Recent studies suggest that uninsured drivers are 9 times more likely to be involved in a collision on the road and are up to 3 times more likely to have been previously convicted of dangerous driving. Furthermore more than 60,000 vehicles have been seized by the police within the last 12 months throughout the UK. These statistics highlight not only the dangers one faces when on the road, but also the increasing attention the police are paying to uninsured drivers throughout the country; this means that it is important that you get all vehicles in your possession on the database as soon as possible, there really is no excuse – especially since it takes only minutes to do so.
The reason that so many people get caught out on their MID is because sometimes it is unclear whether an individuals MID is updated by the insurer or the policy holder; if you are unsure as to how to update your policy then the best bet is to speak to your insurer, and they will guide you through the process; each insurer has a different procedure but most will only take a couple of minutes to complete.
Technology has advanced to such a state now that if you do fail to update your MID, it will not take long before you are pulled up on it – Automatic Number Plate Recognition cameras as well as the Police National Computer have access to the MID and are able to monitor which vehicles do and do not have insurance details; if they believe the details of a particular vehicle is not registered on the MID, then they have the power to seize that vehicle under section 165 of the Road Traffic Act.