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Provision may be made by regulations under section 37 of the [1971 c. 10.] Vehicles (Excise) Act 1971 for requiring a person applying for a licence under that Act in respect of a motor vehicle to produce such evidence as may be prescribed that either—
(a)on the date when the licence comes into operation there will be in force the necessary policy of insurance or the necessary security in relation to the use of the vehicle by the applicant or by other persons on his order or with his permission, or
(b)the vehicle is a vehicle to which section 143 of this Act does not apply at a time when it is being driven under the owner’s control.
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