CAMPAIGN CORRESPONDENCE


  • Motor Insurance Consultation (VNUK)

    13 April 2017

    Dear Constituent

    Thank you for contacting me about the current consultation on motor insurance.
     
    This consultation is the result of a judgment by the European Court of Justice, which was a complete game-changer as far as motor insurance is concerned. The judgment interpreted the Motor Insurance Directive in a way that neither the Government, nor many others across Europe, expected or desired. While I know that the Government is disappointed about this, it must take account of it in developing the legislative framework governing motor insurance in this country.
     
    I am pleased that the European Commission has recognised the consequences of the judgment, and indicated a willingness to review the Directive as a result. The Government's preferred option is therefore to change domestic motor insurance law in accordance with an amended Directive.
     
    Feedback to this consultation will help inform the Government's position when discussing with the Commission potential amendments to the Directive. While one option is to make changes that reflect European law as determined by this judgment, which would result in a broadening of the definition of a motor vehicle and extending the insurance requirement beyond roads and other public places, the Government is clear that amending the Directive is its preferred approach. Its guiding principle in proposing changes will be to adopt a common-sense approach which will keep costs to a minimum.
     
    Of course, the UK will in due course be leaving the EU. Until we do so, we will remain a member with all the rights and obligations that membership entails. During this period the Government will continue to negotiate, implement and apply EU legislation. Any future changes will be for Parliament to decide.
     
    Thank you again for taking the time to contact me.

    Yours sincerely



    Mel Stride

    MP for Central Devon

    Comptroller of the Household and Government Pairing Whip







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