Brokers are set to receive details on the new, tougher requirements for the Motor Insurance Database (MID) in a campaign driven by the Motor Insurers' Bureau (MIB), the British Insurance Brokers' Association (BIBA) and the Institute of Insurance Brokers (IIB)
This week every broker in the country will receive tips plus additional guidance on how to comply with MID requirements “as the issue of motor insurance compliance becomes an increasing priority for the insurance industry and the Government”.
Over 25,000 leaflets have been produced and will be distributed by BIBA and the IIB directly to their members and by the MIB to all remaining intermediaries.
Allan Briscoe, BIBA motor panel chairman, said, “We recognise the vital and increasing role that the Motor Insurance Database has to play in discouraging uninsured driving and enforcing the law.
“It is essential that we speed up entry of vehicle details to meet the growing reliance placed on the MID by insurers and police. BIBA welcomes this new guidance as an excellent means to achieving this objective.
"By communicating to them directly in such a clear manner, we hope that each broker will fully appreciate the increasing responsibility they have to ensure the Motor Insurance Database is kept up-to-date and accurate.”
Ashton West, MIB chief executive, said: “With premiums on the increase as a direct result of uninsured driving and fraudulent claims, the need to further bolster the accuracy of the MID has never been greater.
“A great deal of progress has been made over the years in improving compliance to the MID and this is reflected in the growing use of the database by the police and the DVLA. For instance, in the past year over 20,000 uninsured vehicles have been seized by police.
"However, despite this increasing reliance on the database, some brokers still seem unaware of the importance of their role in improving the accuracy of information stored on the database.”
He added: “With the move to a seven day deadline by 1 January 2008 for MID1 (private car) data, insurers will expect information to arrive more quickly than at present.
"Issuing this new guide and these top tips is just one step in our programme to help brokers understand more about the MID and the necessity for improved updating procedures by everybody involved, an integral step in the continuing effort to tackle uninsured driving.”
The MIB's top tips for brokers include:
Prioritising MID data - if necessary transferring MID data ahead of any other information
Confirming all renewals by the renewal date
Ensuring EDI transmissions are not delayed
Processing MID critical changes as soon as notification is received.
For MID2 (commercial motor business) compliance, the MIB has further tips, which include:
Raising clients' awareness of MID2 and their legal obligations
Encouraging fleet and motor trade policyholders to report vehicle changes immediately
