Elderly relative insurance, lapsed licence

boomdocker

I have a question:

I have an elderly relative who is a car owner, with insurance in place, but is not driving due to age/ill health

The insurance policy is in place and there are a number of named drivers, who use the car periodically

It has come to light that the elderly relative does not have a valid licence, as it has not been renewed since 2019

As the insurance policy holder, does this have an impact on the policy and in particular on the named drivers?

i.e. if one of the named drivers is in an accident is the policy still valid?

Eggs For Dinner

Every year, at renewal, the policyholder would be asked (in the correspondence) if there has been any material change in the circumstances. A lapsed licence is a material fact, compounded by the fact the policyholder is unlikely to be issued a new one from what you say. It is poss insurers could lapse the policy back to inception on account of this, meaning a claim would not be paid. An innocent 3rd party would be compensated, but own damage may not.

In practical terms, however, insurers generally only request sight of the licence for the driver involved in the accident. If the licence is in order, it probably would get paid. I wouldn't risk it though. The bigger the claim, the more insurers investigate. e.g. who is the main driver, does the driver keep the vehicle at his/her address?

boomdocker

Thanks - that's more or less as I thought