Sold Car Crash: Find out what liability you have when you sell a car failing to cancel your motor insurance before the new owner has a road accident having no insurance.
Former Car Owner Question
My son owned a car then sold the car, but forgot to cancel the insurance immediately. The new owner of car then smashed into another car.
As the car was still insured under my son – the third party are now claiming thousands of pounds in compensation for damage.
As the car is still insured – my son’s insurance company are saying they must pay out.
The new owner of the car had no insurance on vehicle therefore went to court and got £200 fine and points on licence.
It seems so unfair that my son’s insurer has to pay for personal injury and damage to a car that was no longer his and knows nothing of the sold car crash accident as he was not there.
Is there anything that he can do to stop this enforcement of payment?
Car Accident Solicitor Response
Generally, a claim should be made against the person in charge of the vehicle and their motor insurer.
If that person does not have the means to pay and has no valid motor insurance – it is quite
common that any available motor insurance policy will be used to ensure that an innocent
third party receives compensation.
This point can be discussed with the motor insurers bureau – who typically payout compensation for personal injury in a road accident when a motor vehicle is not insured or the driver who causes an accident is untraced.
If the motor insurers bureau cannot assist with the sold car crash – it might be wise for you to discuss with your son’s insurer why the person who bought the car is not being pursued direct and whether your son’s motor insurance company intends to recoup any monies spent directly from new car owner.
Discussing a car crash claim with specialist solicitors
You can either call our road accident solicitors direct to discuss a car crash or ask an online question using our online / telephone car crash solicitors free help.