Motor Insurance

Motor insurance

Will I be responsible for arranging motor insurance?
Comprehensive insurance is included and will be arranged when you join the Scheme.

What cover is included?
The Scheme insurance policy offers the following benefits:-
- Premium is a true fixed price for the lifetime of your agreement.
- Social, domestic, pleasure and commuting cover, including cover as standard for the policyholder in connection with business use for their employer; other business use for the policyholder and/or spouse/civil partner may be considered on a case-by-case basis but do not order a car without checking first - any other drivers listed on the insurance (not partner/spouse) will only be covered for social, domestic and pleasure use.
- Unlimited cover for audio and navigation equipment that is permanently fixed to your car and has no independent power source.
- Replacement locks (see full policy wording for details).
- Personal belongings in your car up to £500.
- Emergency medical treatment, and medical expenses up to £500 per person.
- Child car seat cover, up to £100 per seat.
- Free extended use of your car in the EU, up to a period of 60 days.
- Subject to availability, a courtesy car for the duration of repairs, where repair by an approved repairer, and for up to 14 days or until a settlement offer is agreed (whichever is earlier) if car is stolen and not recovered or is declared a total loss.

What are the policy excesses?
The following excesses are applied:-
- Accidental damage excess £250, subject to an additional excess of:
o £300 for drivers aged 18 to 20; or
o £200 for drivers aged 21 to 24.
- Fire, theft and malicious damage excess £250.
- Replacement windscreen excess £75. No excess if the windscreen is repaired.

Will I have to pay the insurance premium?
The insurance premium will be included within your salary sacrifice.
 
Will the insurance premium increase every year, or if I make a claim?
No. The insurance premium is fixed for the duration of your salary sacrifice agreement, regardless of your claims history during the contract. Any claims made may however be taken in to account should you choose an additional car under the Scheme, or wish to rejoin the Scheme at the end of your agreement and select another car.

Will the insurance premium change if I move home?
No.

Does the insurance premium vary according to the term of my salary sacrifice agreement?
Yes. The insurance premium increases according to the term of your agreement.

Are there any age restrictions?
Yes. Drivers aged between 21 and 24 cannot be insured on cars within insurance groups 41 to 50, and drivers aged 18 to 20 cannot be insured on cars within insurance groups 24 to 50.

How many additional drivers can I add to the policy?
You may add up to 2 additional drivers aged between 18 and 75 to the policy for your Scheme car. As all motor insurance policies include restrictions and eligibility criteria, you should contact Lloyd Latchford on 01844 276 498 to find out whether any restrictions apply to any of your additional driver(s).

Please note that during the salary sacrifice quotation process an insurance quote will not be provided if you or one of your additional drivers is ineligible for insurance on your chosen car.

Can I add an additional driver during the contract term?
Yes. As long as any additional drivers meet the eligibility criteria they may be added to the policy by contacting Lloyd Latchford on 01844 276 498.

Why may I need to complete the driving licence compliance form?
It will not be possible to obtain motor insurance unless the insurer is confident of being informed of any adverse change to the validity of your driving licence and/or the number of convictions in force.

Is replacement or repair of my windscreen and windows included within the insurance cover?
Yes. To organise a repair please contact Lloyd Latchford on 01844 276 498.

How can I obtain a copy of the insurance certificate?
A certificate should be forwarded to you by Lloyd Latchford, but please contact them on 01844 276 498 to request a copy if you do not receive your certificate within a few days of your car being delivered.

Do I maintain my “no claims” discount if I enter the Scheme?
Yes. Your ‘no claims’ status will not be affected by entering the Scheme because the insurance is provided as part of a corporate policy. This means however that you will not formally earn any additional ‘no claims’ years during the contract term but you will be provided with a letter that most retail insurers should accept as proof of your additional no claims entitlement.

Will my “no claims” history be reflected in the insurance premium?
No. The insurance premium included within your gross salary sacrifice is net rated, so it does not take your no claims bonus into account. The premium for the car you select is calculated only by reference to the age of the youngest named driver, where your car will be kept overnight and the term of your salary sacrifice agreement.

What do I do in the event of an accident or theft?
Once you have assured your own safety, and that of any passengers, and have contacted the emergency services if appropriate, please contact the designated accident management team who will manage the incident on your behalf, and hopefully get you back on the road again as quickly as possible.

What should I do if I have received an endorsable motoring offence?
You must notify Lloyd Latchford on 01844 276 498 if you or any named driver receives an endorsable motoring offence. If the offence means you or the nominated driver no longer meet the eligibility criteria Lloyd Latchford will outline the options available to you and confirm any additional charges payable.

If your insurance cover cannot be maintained your salary sacrifice agreement will be terminated. Please refer to the section entitled 'End of contract and early termination' for further information about early termination charges.

What happens if the car is a write-off or stolen and not recovered?
In either of these circumstances, your salary sacrifice will continue until such time as the insurance claim has been settled at which point it will be terminated. If the insurance settlement is not sufficient to fully reimburse the lender's losses the shortfall may be recharged to your employer as an early termination charge, which your employer may then recharge to you via a deduction from your net pay or via invoice if you have left employment, unless your employer exercises its discretion to waive some or all of the charge.

In the event of your car being declared a write-off or stolen and not recovered a courtesy car will be provided for up to 14 days or until a settlement is offered and agreed, whichever is the earlier.

Further information about early termination charges and how you may purchase your car may be found in the section entitled 'End of contract and early termination'.

What are my options if I'm disqualified from driving?
You should contact Lloyd Latchford on 01844 276 498 to confirm your disqualification. Your insurance cover can be maintained by removing you from the policy and nominating a new main driver. This may incur an additional one-off charge payable direct to Lloyd Latchford.

If your insurance cover cannot be maintained your salary sacrifice agreement will be terminated. Please refer to the section entitled 'End of contract and early termination' for further information about early termination charges.

Am I insured to take my car abroad?
The policy insures the car, including breakdown cover, for up to a period of 60 days within the EU. To obtain the relevant documentation please contact the lender.

Can I insure a car if I live in Northern Ireland?
Yes. The insurance policy applies to Northern Ireland as well as Great Britain.

Does the insurance cover business use?
Yes. You will be covered for any business use of the car. This cover may also be included for additional drivers who are the spouse or partner of the main driver by contacting Lloyd Latchford on 01844 276 498.

Do you have more information for me?
Absolutely. We have a full brochure on all ‘Frequently Asked Questions’ regarding Salary Sacrifice which is accessible here. Alternatively, you can call our Account Team on 0344 264 4177