The ABI has called for a step-up in enforcement and penalties to reduce the high level of uninsured driving in the UK.
This follows today's announcement from the Department for Transport that Professor David Greenaway is to carry out an independent review of the problem of uninsured driving.
ABI director general Mary Francis said: "This review offers a breakthrough opportunity to reduce the problem of uninsured driving. This is not a victimless crime - the cost of accidents involving uninsured drivers adds up to an extra £30 each year to the premiums of honest and responsible motorists.
"The review will need to focus on detection and deterrents. We need to see a real commitment to improved detection of motorists who drive without insurance, and a wider range of penalties that act as real deterrents, such as community service orders, and confiscation of vehicles for repeat offenders."
Francis added that motor insurers' heavy investment in the Motor Insurance Database, which contains details of motor insurance policies and enables the police to carry out on-the-spot checks, needed a better return.
"We need to ensure that this key enforcement tool is used to best effect. The ABI will be playing a full part in the review, to ensure that proposals flowing from it reflect the most practical way forward in reducing this crime," she said.
It is estimated that one in 20 UK motorists drive without motor insurance and that the costs of accidents involving uninsured motorists are £500m per year.
