Asked by: Kate Green (Labour - Stretford and Urmston)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what discussions he has had with the insurance industry on the financial support they will receive to provide their customers with a green card in the event that the UK leaves the EU without a deal.
Answered by Lord Grayling
My officials and I have engaged, and continue to engage, with the motor insurance industry and other relevant departments to ensure that both the Government and insurance sector are prepared for every eventuality.
We have discussed the need for any financial support with the motor insurance industry, in particular the Motor Insurers’ Bureau, in preparation for a ‘no deal’ scenario. However, the cost to the industry of providing their customers with Green Cards as proof of third party motor insurance while abroad in the event of ‘no deal’ is expected to be minimal and financial support offered by the Government has not been deemed necessary by the industry at this stage. Green Cards are provided to motorists free-of-charge by their insurers, although they may choose to reflect production and handling costs through a small increase to their administration fees depending on demand.
It should be noted that the UK continues to meet all of the requirements for remaining part of the Green Card-free circulation zone and we continue to urge the European Commission to issue an implementing decision that would ensure UK motorists can drive in the EU without a Green Card and vice versa.
Asked by: Kate Green (Labour - Stretford and Urmston)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what discussions he has had with the Department for Exiting the European on the potential effect on the insurance industry of the UK leaving the EU without a deal.
Answered by Lord Grayling
My officials and I have engaged, and continue to engage, with the motor insurance industry and other relevant departments to ensure that both the Government and insurance sector are prepared for every eventuality.
We have discussed the need for any financial support with the motor insurance industry, in particular the Motor Insurers’ Bureau, in preparation for a ‘no deal’ scenario. However, the cost to the industry of providing their customers with Green Cards as proof of third party motor insurance while abroad in the event of ‘no deal’ is expected to be minimal and financial support offered by the Government has not been deemed necessary by the industry at this stage. Green Cards are provided to motorists free-of-charge by their insurers, although they may choose to reflect production and handling costs through a small increase to their administration fees depending on demand.
It should be noted that the UK continues to meet all of the requirements for remaining part of the Green Card-free circulation zone and we continue to urge the European Commission to issue an implementing decision that would ensure UK motorists can drive in the EU without a Green Card and vice versa.
Asked by: Kate Green (Labour - Stretford and Urmston)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what steps his Department is taking provide guidance to British citizens who may require multiple green cards to cover their vehicle and any trailers for driving in EU countries after 29 March 2019.
Answered by Lord Grayling
From 29 March 2019, if there is no EU exit deal and the European Commission does not make an implementing decision allowing the UK to remain a part of the Green Card-free area, we expect that motorists will be required to carry a Green Card as proof of their third-party motor insurance when driving in EU or EEA countries.
Guidance on Green Cards is available in the technical notice “Vehicle Insurance if there’s no Brexit Deal”, which was published in September last year.
This guidance highlights that multiple Green Cards may be required if:
You are a commercial operator and have fleet insurance (as you may need a Green Card for each vehicle);
You have a trailer attached to your vehicle (as some countries require separate trailer insurance);
You have two policies covering the duration of your trip (e.g. your policy renews whilst you are away).
Motorists should contact their vehicle insurer who will be able to provide advice on Green Cards requirements, and issue them with the relevant documentation.
Asked by: Kate Green (Labour - Stretford and Urmston)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what estimate he has made of the number of green cards the insurance industry will need to issue prior to 29 March 2019.
Answered by Lord Grayling
There has been no specific estimate of the number of Green Cards the insurance industry will need to issue prior to 29 March 2019.
However, it is estimated that between 2 - 4 million unique vehicles travel from the UK to the EU every year, which may require Green Cards should an agreement with the European Commission not be in place. This figure has been estimated using annual vehicle movements that cover the number of trips by UK private vehicles, coaches and HGVs travelling from the UK. There have been assumptions on the number of vehicles that make single trips, for example holiday makers, and those that make repeat trips, for example hauliers.
The UK is maintaining the requirement for third party motor insurance cover for travel to the EU and therefore meets all requirements needed to remain a part of the green card-free circulation zone after our exit from the EU. We continue to urge the European Commission to issue an implementing decision that would ensure that UK motorists can drive in the EU without a Green Card, and vice versa.
Asked by: Kate Green (Labour - Stretford and Urmston)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what discussions he has had with his European counterparts on motor insurance for UK drivers in EU countries after 29 March 2019.
Answered by Lord Grayling
My officials and I regularly engage with our European counterparts in the European Commission, Council of Bureaux and EU Member States on issues relating to UK motor insurance after the 29th March 2019, including on matters like Green Cards.