Rules and law
Understanding impounded vehicle insurance in the UK
What impounded vehicle insurance is, why vehicles are seized in the UK, what this kind of short-term cover usually includes and how to get one released.
In the UK, impounded vehicle insurance is a specialist type of short-term policy for people whose vehicle has been seized by the authorities. Its purpose is to let the owner meet the conditions for getting the vehicle released and driving it away legally. This article explains what it is, what it usually covers and how the process works.
Why are vehicles impounded?
The most common reason is uninsured driving. According to GOV.UK, the police have the power to seize, and in some cases destroy, a vehicle that is being driven without insurance. Driving without insurance can also lead to a £300 fixed penalty and 6 penalty points, or an unlimited fine and disqualification if the case goes to court.
Vehicles can also be seized for other reasons, such as being driven by someone without a valid driving licence.
What is impounded vehicle insurance?
Impounded vehicle insurance is a temporary policy that lets you show the pound that the vehicle is properly insured, so it can be released to you and driven away. The pound will usually also want to see proof of ownership and a valid driving licence, and you will normally have to pay release and storage fees. Check the exact requirements with the pound or the police force that seized the vehicle, as some only accept policies that meet certain conditions.
What does impounded vehicle insurance cover?
Cover varies between insurers, but it typically includes:
- Third party only cover: covers damage you cause to other people's property and injuries to others while driving the insured vehicle.
- Short-term cover: the policy runs for a limited period rather than a full year, so you have time to collect the vehicle and arrange longer-term insurance.
The policy must meet the legal minimum for driving on the road. It does not deal with anything else the vehicle needs to be road legal, such as vehicle tax or an MOT.
Getting impounded vehicle insurance
You will usually be asked for details of the seizure, such as where the vehicle is being held and the reference number, along with the vehicle and driver details. Specialist insurers and brokers offer this type of policy. As with any insurance, it is worth reading what is and isn't covered before you buy.
Conclusion
Impounded vehicle insurance is a short-term policy for drivers whose vehicles have been seized, designed to meet the requirements for getting the vehicle released. Knowing what the pound needs and what the policy covers can make the process quicker.
Kompare doesn't currently offer quotes for impounded vehicle insurance. If you need ongoing cover once your vehicle is back, see our van insurance or convicted driver insurance pages, or read how we work.