Dealership car driving warning over new 76 plate insurance mistake – £300 fine and six points

Don’t assume you’re fully insured before taking a test drive or taking your new vehicle home, advises an insurance professional

The arrival of the new ’76’ registration plate is expected to drive a significant surge in dealership visits, test drives and new vehicle collections throughout September. Industry analysts at The Society of Motor Manufacturers and Traders Ltd (SMMT) are predicting that 75,000 new vehicles will leave UK dealerships this week, and that this could exceed 300,000 by the end of September.

But drivers planning to take advantage of the new registration plate launch are being urged to make one check. Motorists are being told to ensure they have the right insurance cover in place before getting behind the wheel of their shiny new motor.

The team of specialists at temporary car insurance Covertime.com have offered key advice. They say that many drivers mistakenly assume they are automatically fully insured when test driving a car or collecting a newly purchased vehicle.

Tom Warsop, motor insurance specialist at Covertime, said: “The arrival of a new registration plate is one of the busiest times of year for new car sales, so it’s understandable that buyers are focused on choosing the right vehicle and securing the best deal. However, insurance is just as important.

“Many drivers assume they are automatically covered when test driving a vehicle or collecting their new car, but that’s not always the case. It is actually a worryingly common insurance blind spot. Before getting behind the wheel for a test drive, motorists should check exactly what cover is in place and ensure they are fully insured for the journey ahead.

“While most franchised and independent dealerships will have some form of motor trade insurance that allows prospective buyers to test drive vehicles. But the level of protection can vary, and drivers shouldn’t assume all dealerships offer comprehensive cover.

“In some circumstances, cover will be third-party only, meaning damage to other people or property may be covered, but damage to the vehicle itself may not be. Additional conditions, such as age restrictions, licence requirements, accompanied test drives or excess payments may also apply”.

Covertime is encouraging motorists planning to buy a new vehicle this September to double-check a few things. These include:

• Confirm what insurance arrangements are in place before any test drive.
• Check whether any restrictions or conditions apply to dealership-provided cover.
• Ensure a valid insurance policy is active before driving a purchased vehicle home.

Driving without valid insurance is illegal and can result in penalty points, fines and vehicle seizure. If you’re caught on the road without valid cover, you could face a £300 fine and six penalty points on your licence, while more serious cases can result in an unlimited fine, a driving ban, or even your vehicle being seized.

Tom also shared some considerations for drivers on collection day. He said: “Collecting a new car is exciting, but it’s also one of the easiest times for drivers to make assumptions about their insurance cover. While some dealerships may ask buyers to confirm insurance arrangements before collection, they aren’t legally required to check cover is in place before they hand over the keys.

“Ultimately, it’s the driver’s responsibility to ensure they are properly insured before driving away. For situations where drivers only need short-term cover, temporary car insurance can often provide a practical solution. The most important thing is making sure appropriate cover is arranged before the vehicle moves.”