There are a number of reasons for being refused car insurance. Here we provide possible explanations as to why you can’t get car insurance for your car and tips on fixing the issue.
1. You drive an unusual car that is not on the Thatcham database
The Thatcham database was established in 1969 and was established as a means to reduce the cost of motor insurance and maintaining safety standards. They’re the UK’s only ‘not for profit’ insurer funded research centre and are in contact with law enforcement organisations, automotive bodies, regulators and vehicle manufacturers. If your vehicle does not appear on their database, be it because you have modified it or its an import you may find it tricky to get a reasonable quote on your car insurance.
2. You drive a kit car
Chances are if you have a kit car, you’ll probably find it tough to get an insurance package that’s right for you. Due to the nature of kit cars, they’ll most likely not be covered by Thatcham’s safety standards, meaning you will have to go to a dedicated kit car specialist, such as Adrian Flux.
3. Your car has been imported from the US, Japan or the EU
Similarly, if you have bought your vehicle from outside the UK and subsequently imported it, the foreign safety regulations may be dissimilar to Thatcham’s. Ultimately, Thatcham has a big say in what many insurance companies deem safe on UK roads.
4. Your car has been modified
When an insurer asks if you have modified your car, you may assume they are talking about a new engine or a spoiler. However, something as simple as a new roof rack or putting stickers on your vehicle could signal a red flag with some insurance companies. Failing to declare these changes could count as fraud.
If you do drive a modded car, you’ll know how hard it can be to find a modified car insurance company that will cover you.
Read our blog to find out how modifications can affect your insurance policy.
5. You have a camper conversion
Converted campers come in all shapes and sizes, and whether you’ve built it yourself or had it professionally converted, it can be hard to find a policy that’s right for you without being charged a fortune.
Campervan is usually cheaper than standard van insurance, but depending on how you have converted the vehicle, insurance may be declined.
It is extremely important to be completely transparent with your insurer about how you converted your camper. Similarly if you have van insurance and then convert your camper, your current policy will become void as it is no longer deemed a van.
6. Your profession falls outside an insurer’s criteria
If you have an unusual profession, that may explain why you can’t get car insurance. That’s because the insurer may deem that your unusual profession makes you a greater insurance risk.
When insuring your vehicle you must tell your insurer about your employment as your profession can affect your premiums, lying about your occupation means you’ll be invalidating your insurance.
Depending on your job, insurers will judge how high of a risk it is to insure a particular vehicle. Your insurance risk will also be affected if you use your car to commute to work or if you use it for business purposes.
Insurers tend to split car usage into three types: commuting, social use, business use and social and commuting.
Certain occupations, even those that are not deemed unusual, are deemed higher risk professions and the premiums will be more expensive with insurers due to one of the following: lots of travelling or security risks. It can also be that statistically, more claims are made by that profession. New jobs such as YouTuber can also be tough to calculate due to a lack of data.
7. You postcode falls outside the insurer’s criteria
A driver’s postcode plays a big role in how expensive their car insurance can be. Depending on how many claims have been made in your area, with some insurers even declining to offer cover to drivers.
Another possible reason for failing to get vital car insurance is your postcode may not be recognised by insurers, if you live in a new build property with a new postcode.
Some insurance company databases may be out of date or are awaiting for postcodes to be generated by the Royal Mail and will fail to recognise a new address or postcode.
When a new property has been erected, the developer must first contact the relevant local authority planning department for the address to be formally registered. Once this has been done it will then be sent to the Royal Mail’s Address Development Centre for clearance.
The new postcode will not be installed into databases until they are informed and once notified it could take a further 24 hours before insurers can recognise the new postcode.
8. Your vehicle is high value
Drivers of high value cars are frequently penalised by insurance companies because of the supposed higher risk associated with high powered cars, and if you’re a younger driver you could end up paying thousands. Some insurers may only offer cover for cars up to a certain value.
9. You have criminal or motoring convictions
Many insurers will send their premiums through the roof if you’ve had a motoring conviction or two, and if you’ve had a criminal conviction recorded against you, you may be denied car insurance completely.
If you have a criminal conviction, whether it’s related to driving or not, finding an affordable insurance premium can be difficult. However a previous conviction should not mean getting insurance is impossible as a driver may have a minor offence on their record that has no bearing on how they drive. But many insurers may still choose not to insure you.
One of the reasons is that convicted drivers are statistically more likely to make a claim or be involved in an accident than those without a conviction.
Some convictions will become spent over time and may increase your chances of lowering your insurance premium when applying. When your convictions are spent, in the eyes of the law your past misdemeanours have been forgotten. Age and previous record should not preclude you from having access to sensible car insurance at a sensible price.
10. Your vehicle has been impounded
There are a variety of reasons why your car may have been impounded including no car tax, parking fines or not declaring your vehicle correctly. But one of the main reasons for impounding a vehicle is because it doesn’t have the right car insurance.
Failing to insure your car correctly can invalidate your insurance. If you are found driving another car which you’re not insured to drive, you could face a driving ban, 6 to 8 points on your licence and your car being impounded. In that case, you may need to inquire about specialist Adrian Flux impound insurance.
11. You have previously had a policy cancelled or refused
If you have ever had car insurance cancelled, refused, declined or voided, you could find it very hard to get affordable car insurance in the future.
Online and automated systems often discriminate against drivers who have faced issues in the past, assuming that any problems were to do with fraud or criminal activity, wrongly making you a higher risk.
12. You haven’t paid policy instalments
When taking out an insurance policy, you would have chosen to either pay the premium fee either annually or monthly instalments. If you fail to keep up with the payments, your insurer will issue warnings to let you know your insurance may become void and can cancel your insurance.
If you’re struggling to keep up with payments and you’re insured with us, let us know and we can help figure out a payment plan that works for you.
13. You’ve moved home, changed job or car and no longer fit the insurer’s criteria
When moving home or changing jobs you must let your insurance provider know, as these can impact on your insurance. Changing your address could reduce your premium as you may move to an area that’s deemed to be less of a risk to be insured.
Equally, when changing jobs, your insurance may also be void, depending on whether you now use your vehicle for business purposes.
14. You have submitted incorrect address, personal details or vehicle details
If an insurer finds you have purposefully given incorrect details about your vehicle or where you live, they are legally within their right to cancel your insurance.
15. You have made mistakes on forms
Making a mistake on a form could cause you to either have a higher insurance premium or, in extreme cases, you may be rejected by an insurer. Mistakes such as writing that you’re driving 123,000 miles a year when that’s actually your odometer reading, or a spelling mistake, means you will probably fail the insurance provider’s security or credit checks.
Here’s what you can do if you can’t get car insurance or you’ve had trouble getting covered at an affordable rate:
- Speak to a specialist insurance provider like Adrian Flux that is more likely to be able to help
- Check you aren’t making any errors on quote forms
- Use the phone, not online forms, so you can talk about any issues in more detail
- Make sure that you are always completely honest about your situation
- Call Adrian Flux on 0800 369 8590 or book a callback – 81.5% of all customers receiving an online quote in August 2022 could have obtained a cheaper quote over the phone.