Don't get caught up with fraudulent car insurance companies

As more stories hit the headlines of fraudulent car insurance companies selling worthless policies, it's important ADI's don't get caught up with rogue traders.

More stories on Rogue Traders

Latest news of a "ghost broker" being jailed at the Old Bailey for what is believed to be the UK's biggest fake car insurance scam. People were fooled by fake websites offering cheap car insurance and by using paid-for advertising to ensure their online enterprises appeared at the top of internet searches.

Many of his victims only realised they had been conned when they had their car seized by police for having no insurance.

Full details of the article can be found here.

So how do you avoid being scammed?

Car insurance is a fairly crowded and competitive marketplace, but the quality and the breadth of the policy’s coverage should be as important to you as the cost. 

An instructor car insurance policy should cover:

■■ Dual-control courtesy vehicle supplied in the event of a fault or non-fault claim.

■■ Hire and reward cover – required by law for instructors – not available on standard car policies.

■■ Pupils covered for test purposes.

■■ An aspect of cover for advanced tuition such as Pass Plus tuition, banned driver tuition and ADI check tests.

■■ Personal accident cover for the instructor and pupil.

■■ Access to a 24-hour accident management company

Car insurance is based upon a number of factors, some of which are within your control (such as your past claims history) and some out of which aren’t, such as your age and the amount of crime in the area that you live. Two different insurance companies can – and often do – take very different views of these risks and accordingly quote very different prices.

There are many good providers out there and it is worth shopping around, talking to colleagues and asking the question on online forums. We provide training car insurance through DIA Insurance and use our in-depth knowledge of driver training to ensure that our policies cover all of the key areas that are important for our members.