Confusion reigns over continental car cover

Motoring-mad Brits planning to drive in Europe on holiday this year need to be aware of exactly what their UK motor insurance policy will cover them for, says moneysupermarket.com.

Research from the UK's leading price comparison site found nearly half of motorists (49 per cent) simply don't know what their existing motor insurance policy will cover them for when driving in Europe. Almost a third (30 per cent) believe a fully comprehensive policy will provide the same cover when abroad as it does back home in the UK. One five (2 per cent) believe their policy will automatically downgrade to third party cover when driving in Europe.

moneysupermarket.com found of 20 big brand motor insurance providers half offer motorists the same level of cover they have in the UK for when driving on the continent. For example, Marks and Spencer and AA both honour their fully comprehensive policies for 90 days of driving in Europe. However, nine insurers will automatically downgrade a fully comprehensive policy to provide only the minimum level of cover required for that country when driving in Europe, and another will downgrade further to third party only.

Steve Sweeney, head of motor insurance at moneysuypermarket.com said: "It is a mistake to assume your existing cover is valid when driving abroad - chances are your insurance policy is likely to differ. When driving in continental Europe, motorists need to be aware a provider could automatically downgrade a fully comprehensive policy to either the minimum cover required for that country or even third party only - and that's as soon as the wheels hit continental soil. It's therefore crucial Brits scour the small print of their policy, especially as our research reveals just how many people are unaware of such clauses. If you were unfortunate enough to have a crash whilst abroad and were only covered for third party, you could find your great holiday getaway turns into an expensive motoring nightmare."

The policy small print also reveals how long the cover will last for - some policies will only last for 30 days for example, whereas others will provide unlimited cover (within reason) for driving on the continent.

Steve Sweeney continued: "If your motor insurance policy does automatically downgrade you, it's worth speaking to your insurer ahead of your trip so you can make amendments to your policy if needs be - most providers allow policy holders to upgrade their cover for around £20 for a trip to the continent."