The Motor Vehicles (Electronic Communication of Certificates of Insurance) Order 2010

Delivery and surrender of certificates of insurance

3.—(1) Section 147 (issue and surrender of certificates of insurance and of security) is amended as follows.

(2) After subsection (1), insert—

“(1A) A certificate of insurance is to be treated for the purposes of this Part of this Act as having been delivered under subsection (1) above to the person by whom the policy is effected if—

(a) it is transmitted electronically by the insurer to the person in accordance with subsection (1B) below, or

(b) it is made available by the insurer to the person on a website in accordance with subsection (1C) below.

(1B) A certificate is transmitted electronically by an insurer to a person in accordance with this subsection if—

(a) on effecting the policy to which the certificate relates, the person agreed to its electronic transmission for the purposes of subsection (1) above, and

(b) the certificate is transmitted by the insurer to an electronic address specified by the person for this purpose.

(1C) A certificate is made available by an insurer to a person on a website in accordance with this subsection if—

(a) on effecting the policy to which the certificate relates, the person agreed to its being made available on a website for the purposes of subsection (1) above,

(b) the insurer makes the certificate available to the person by placing an electronic copy of it on a website, and

(c) the person is notified by the insurer, in a manner agreed by the person, of—

(i) the certificate’s presence on the website,

(ii) the address of the website,

(iii) the place on the website where he may access the certificate, and

(iv) how he may access the certificate.

(1D) Where a certificate made available on a website is treated by virtue of subsection (1A)(b) above as having been delivered by an insurer to a person, the insurer must ensure that the certificate remains continuously accessible to the person on the website until the expiry of the last day on which the policy to which it relates has effect.

(1E) For the purposes of subsection (1D) above, a certificate is to be treated as remaining continuously accessible to a person on a website, despite its being temporarily inaccessible to him on the website, if the insurer has taken all reasonable steps to make it continuously accessible to him on the website (including steps to remedy any temporary inaccessibility).”.

(3) In subsection (4), after “delivered under this section” insert “, otherwise than as described in subsection (1A)(a) or (b) above,”.

(4) After subsection (4), insert—

“(4A) Where subsection (4) above applies in respect of a certificate of insurance that has not been lost or destroyed, the person to whom the certificate was delivered—

(a) may, instead of surrendering the certificate under subsection (4)(a) above, transmit to the insurer, by means of an electronic communication to an electronic address specified by the insurer, a statement confirming that the policy to which the certificate relates has ceased to have effect, and

(b) if he does so, is to be treated as having surrendered the certificate.

(4B) Where subsection (4) above applies in respect of a certificate of insurance that has been lost or destroyed, the person to whom the certificate was delivered—

(a) may, instead of making a statutory declaration as described in subsection (4)(b) above, transmit to the insurer, by means of an electronic communication to an electronic address specified by the insurer, a statement confirming that the certificate has been lost or (as applicable) destroyed, and

(b) if he does so, is to be treated as having made a statutory declaration as described in subsection (4)(b) above.

(4C) Subsection (4D) below applies where—

(a) a certificate of insurance is treated, by virtue of subsection (1A) above, as having been delivered to a person under this section, and

(b) the policy to which it relates is cancelled by mutual consent or by virtue of any provision in the policy.

(4D) The person must, within seven days from the taking effect of the cancellation, either—

(a) transmit to the insurer, by means of an electronic communication to an electronic address specified by the insurer, a statement confirming that the policy to which the certificate relates has ceased to have effect, or

(b) deliver to the insurer a legible printed copy of the certificate endorsed with a statement made and signed by him to that effect.

(4E) A person who transmits a statement or delivers a copy of a certificate as described in paragraph (a) or (b) of subsection (4D) above is to be treated as having surrendered the certificate in question.

(4F) In this section, “electronic communication” has the meaning given in the Electronic Communications Act 2000.”.

(5) In subsection (5), after “A person who fails to comply with subsection (4)” insert “or (4D)”.