Martin Lewis issues car insurance warning to thousands of UK drivers
the Money saving expert The founder warned that the drivers will no longer be insured although they have paid for their insurance policies.
Speaking on his TVI show, The Martin Lewis Money Show, Mr Lewis explained that MCE Insurance Company fell into administration last year, meaning 100,000 policies had to be cancelled.
Contracts taken out before November 9, 2021 will end at midnight on January 14, 2022, while motorcycle or scooter guarantees will end at midnight on January 31, 2022.
Martin Lewis warns your car insurance could be invalid
Martin Lewis has urged viewers to arrange to sign up for a “pretty sharp” new policy.
He said: “MCE Insurance Company, which was one of the UK’s largest motorcycle insurers, is to cancel all of its 105,000 remaining policies after falling into administration last year.
“The decision comes despite the insurer’s initial promise to honor existing coverage.
“For policies taken out before November 9, 2021, the shake-up means that car or van insurance cover will end at midnight on January 14, 2022.
“Motorcycle or scooter insurance coverage will end at midnight on January 31, 2022.”
Will people get money for their canceled policies?
Mr Lewis explained how customers will get most of their money back during unused months under their policies through a government refund scheme.
The Financial Service Compensation Scheme (FDCS) is government backed and will refund 90% of refunds on unused months.