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Image header Agence Europe
Europe Daily Bulletin No. 8400
Contents Publication in full By article 17 / 37
GENERAL NEWS / (eu) eu/insurance

UK asked to ensure compensation for damage to property caused by stolen vehicles

Brussels, 13/02/2003 (Agence Europe) - The European Commission has sent a formal request to the UK asking it to ensure compensation for damage to property caused by stolen vehicles. The Commission points out that the Second Motor Insurance Directive (in the UK the Motor Insurers' Bureau, MIB) must guarantee that accident victims are compensated where the vehicle responsible is uninsured or unidentified. In an effort to prevent fraud, the Directive does allow Member States the option of limiting or excluding compensation in the event of damage to property by an unidentified vehicle. However if the vehicle itself can be identified, then compensation must always be available by the insurer of the owner of the vehicle or by that national body concerned. The Commission points out that the UK system does not distinguish between unidentified vehicles and vehicles - such as most stolen cars - which themselves have been identified, as well as the fact that UK law does not require compensation for property damage caused by either category of vehicle.

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