What are the risks in the event of a car insurance default?

What are the risks in the event of a car insurance default?
As a driver, you are never safe from any incident on the road, even if you remain vigilant. The reason why the subscription to an insurance company is essential. Moreover, the insurance is required by the State for any vehicle. Car insurance is something that every driver should not overlook. But what are the risks in case of lack of car insurance?

In France, many vehicles receive penalties following car insurance problems. The consequences can be serious for drivers. Find out what the risks look like in the absence of a car guarantee.

Car insurance: what do you need to know about the contract?

The insurance contract is a document that the owner and the insurance company draw up together according to the legal order. The manager then provides a certificate to the owner of the car or motorcycle, showing all the necessary information: general conditions and special conditions. Indeed, the contract also contains the amount of the payment, the amount of the loan in the event of an accident or damage, as well as other details.

In general, the clause of the auto insurance contract defines certain rights and obligations of the owner and the insurer. Thanks to this clause, you can know the insurance you have taken out and the commitments of both parties.

The insurance contract for vehicle and two-wheelers takes effect in two cases:

  • After the auto insurance contract is established;
  • On a date agreed by both parties (insurer and driver).

Count 12 months before the auto insurance contract expires. After this duration, the insurance certificate will no longer have any value and you will be liable to be sanctioned, or even a fine applied. At that point, you must take out new car insurance for your vehicle or two-wheeler again. In addition, if you are late in renewing the auto insurance contract, there are many risks.

Generally, all vehicles in circulation must be subscribed in the FVA or File of Insured Vehicles. This file is mandatory following the State declaration on car insurance released at the beginning of 2019.

Uninsured vehicle: what are the consequences?

If the driver is driving a vehicle that is not under an auto warranty, then he is committing an offence. In addition, if this person is a minor driver or a repeat offender, the judge will be the only one to examine the offence. The risks run by these drivers are numerous.

signing car insurance

Penalties for uninsured vehicles according to the Penal Code

The driver risks having many consequences such as:

  • Fine of approximately 3,750 euros according to the Highway Code;
  • Suspension of the driver’s certificate for 3 years;
  • Cancellation of driver’s certificate;
  • Prohibition to take this permit;
  • Prohibited from driving a car for 5 years;
  • Vehicle impoundment;
  • Sentence of work in the public interest or TIG;
  • Penalty of day-fine, and others .

However, a road safety awareness course will be imposed on this driver and the cost of this course will be entirely at his expense. Other than that, drivers sanctioned for an insurance crime may be turned away by some insurance companies.

Insurance tort is considered owner irresponsibility and lack of car control for some insurance companies.

Serious problems in the event of a vehicle accident without insurance

In the event of a car accident without insurance, the driver’s problems will be even more serious. Indeed, this person will have to pay out of his own pocket all that will be compensation for the victims. Furthermore, the driver can be taken to court by these victims, who are perfectly entitled to set an amount high due to bodily injury. In the event that the driver at fault intends to escape after the accident, the consequences will be even more serious with the intervention of the police. Likewise, victims can be compensated by the FGAOwho will then ask the driver of the vehicle without insurance to give them this amount. According to French law, victims who have suffered bodily injury must be compensated by the driver in order to pay for all treatment.

Drivers of uninsured vehicles risk paying a high price, even reimbursement or a fine for decades.

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