Foreign drivers exercise loophole for discount car insurance

One recent investigation revealed that foreign-born drivers in the City of London have been making use of a series of loopholes in order to avoid parking and congestion charges and secure low cost car insurance.

More and more eastern European nationals are not only registering their cars in Romania but also securing motor car insurance from there as well at a significant saving.  Reports indicate that sometimes Romanian car insurance rates can be as low as £100 for a yearly premium.  As Transport for London has no way to identify these drivers properly, they can avoid paying the requisite traffic penalties.

British insurance rates have experienced a 40 per cent increase over the last year, records indicate.  This has led to higher incidences of fraud.  Furthermore, about one out of every 10 drivers in the City is driving without any form of insurance.

One  furniture delivery driver from Romania, who now resides in Brent Cross, said he was shocked by the price of insurance in Britain.  Alex Dettmar instead insured and registered his motor vehicle in Romania, where it is about seven times cheaper.

Authorities have stated that there are thousands of drivers in the capital who could be using legal loopholes or breaking the law in order to avoid paying for car insurance. Kent Pc Ben Redpath stated that premiums are so high that these motorists feel they have no choice but to chance being caught sometimes.

Many motorists will produce a Slovakian or Polish insurance certificate to authorities in the UK, knowing that British police lack the resources to check them against car insurance companies in Slovakia or Poland, Pc Redpath added.  He also stated that many congestion and parking charge fines are ignored due to the problems involved in making claims against foreign policies.

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