Motorists leasing vehicles through the vital Motability Scheme are being alerted to significant gaps in their insurance cover that could lead to unexpected out-of-pocket expenses. The scheme, a crucial support for over 815,000 disabled individuals and their families, provides access to cars, scooters, and wheelchair-accessible vehicles by allowing participants to use mobility allowances like the Personal Independence Payment (PIP).
While the package includes insurance arranged with Direct Line Motability, alongside maintenance and breakdown cover, it does not cover every eventuality. Many lessees mistakenly assume they are fully protected, only to discover they must pay for certain issues themselves.
Understanding the Motability Insurance Cover
The insurance, mandatory under the scheme, offers financial protection in case of an accident and permits up to three named drivers. It handles claims for damage to the vehicle, provides personal accident cover up to £5,000, and includes benefits like replacement locks for stolen keys and a temporary car if yours is unusable.
However, similar to standard policies, it comes with specific exclusions. It is critical for users to understand these to avoid being caught out when making a claim.
Seven Key Exclusions in Your Motability Policy
Here are seven important things that the Motability Scheme's insurance does not cover, meaning you would be personally liable for the costs:
1. Your Excess Payment: Any compulsory excess must be paid by you before repairs can begin on your vehicle.
2. Personal Belongings: Loss or damage to any personal items left in the car is not covered. This is a common assumption that leads to disappointment.
3. Unauthorised Driving: If you or someone else drives the car without valid insurance or proper permission, any resulting damage will not be covered.
4. Non-Standard Modifications: Any optional extras or adaptations added to the car that were not pre-agreed with Motability fall outside the insurance.
5. Interior Damage: General wear and tear or specific damage to the car's interior may not be included under the policy.
6. Business Use: Using the vehicle for commercial purposes is excluded unless explicitly agreed in advance with the insurance provider.
7. Driving an Unauthorised Vehicle: The insurance only covers the vehicle supplied by Motability. Driving a different car is not protected.
Why Awareness is Essential for Scheme Users
With the majority of the scheme's 815,000 lessees often making an upfront payment, managing additional, unexpected costs is a serious concern. The scheme is not a provider of 'free cars', but a leasing arrangement where understanding the full terms is key to financial planning.
Being aware of these exclusions allows users to take preventative measures, such as not leaving valuables in the car and ensuring all drivers are correctly named on the policy. Always check directly with Direct Line Motability if you are unsure about your cover, especially regarding business use or modifications.
Ultimately, while the Motability Scheme offers indispensable mobility to disabled people, its users must navigate the same fine print as any other insurance policy to avoid costly surprises.
