Report says keep 'driver insured' model: beef up enforcement

The Greenaway report into uninsured driving will not recommend wholesale changes to the UK motor insurance market, according to exclusive information received by Insurance Times.

Sources said Greenaway has backed the ABI's proposals that the UK continues to insure the driver rather than the car, and that it should make more use of the Motor Insurer's Database (MID) to track offenders.

A source said: "The management committee of the ABI is going to be briefed in the next week, but it is all good news for the insurance industry.

"What we are looking at is a much tougher enforcement process utilising the MID through the DVLA and law enforcement agencies, but leaving the risk-based underwriting model insurers have developed essentially intact."

Though the Greenaway report has been completed, it has currently only been released to government ministers. The official publication date is set for mid-June, after the European and local elections on 10 June.

But members of the ABI will be consulting with the government before this date.

ABI head of motor Jo Dagustun said: "We will certainly be consulting with ministers on this.

"There has been a lot of political and media pressure on this area. What is important is the fact that ministers want to consult on the issue."

Though Dagustun denied the ABI had seen the report she added: "Greenaway is an economist who understands how motor insurers work. We were confident that he would take a sensible stance on this issue."