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Insurers Offer Better Deal

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Insurers Offer Better Deal

Armed Forces personnel posted overseas will now be able to keep their motor insurance No Claims Bonus for up to three years and not pay cancellation fees if they are posted overseas at short notice.

The commitments from the UK’s biggest insurers and brokers representing 86 per cent of Britain’s insurance market came into force on Armed Forces Day (25 June 2016), and will benefit almost 265,000 people in the UK and abroad, including Forces families.

The change follows an Armed Forces Covenant roundtable at No. 10 Downing Street in January, which included Defence Ministers and representatives from the Association of British Insurers (ABI) and the British Insurance Brokers’ Association (BIBA), which asked the financial services providers to recognise the needs of Armed Forces personnel in their products.

Up until now, members of the Armed Forces deployed overseas could lose their motor insurance no claims discounts when they return to the UK, meaning that experienced drivers who have never been involved in a road traffic accident end up paying the same high premiums as newly qualified drivers. They have also faced cancellation fees when posted overseas at short notice.

Service personnel and their families will no longer have to face these additional costs.

Defence Secretary Michael Fallon said:

“When our Armed Forces are posted overseas to protect our country they can lose out from the discounts the rest of us take for granted.  This is a welcome move from the leading insurers to help them get a fair deal.  I look forward to further pledges from businesses to support the Armed Forces Covenant.”

You can find out which insurers have signed up to this commitment visiting the ABI’s website here.

Or you can also call the British Insurance Brokers’ Association on 0370 9501790 or contact insurance companies individually.