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Insurers to get access to drivers’ motor convictions

Tahmina Mannan
Written By:
Tahmina Mannan
Posted:
Updated:
21/11/2013

Insurers will be able to access data on drivers’ convictions and penalty points under a new system that will be tested early next year.

The motor insurance industry has worked jointly with the DVLA and the Department for Transport to develop a data sharing programme, called MyLicense, which will allow insurers access to drivers’ DVLA records.

The insurance industry said the new system will help cut the amount of fraud seen under the current system of driver declaration.

Data matching with the DVLA showed that up to 23% of motorists fail to accurately disclose their driving record, including disqualifications.

The new data sharing system will lead to lower premiums, it said, as the insurance industry will be able to access information to cross-check any points and convictions at the application stage and price the premium accordingly.

John O’Roarke, managing director general insurance at LV=, said: “My Licence offers clear benefits to the industry and honest customers alike. Insurers will be better equipped to identify fraud, accurately price risk, speed up applications and improve administrative efficiency.

“Using My Licence will enable insurers, brokers and comparison websites to achieve real savings that can be passed on to customers and to improve customer service.”