Money News
11th August 2008
Britons confused over EU car insurance rules
Millions of Britons going on driving holidays around Europe could find they are seriously underinsured in the event of a crash, it has been claimed.
Moneysupermarket.com was moved to issue its warning to UK drivers after a survey it conducted found that 39 per cent of drivers are unaware their motor insurance may be automatically downgraded from fully comprehensive to third party when driving on the Continent.
Peter Gerrard, head of insurance research at moneysupermarket.com, said: "If you normally have comprehensive car insurance, it will come as a shock if you are with one of those insurers who will downgrade your cover if driving in Europe.
"With third party only any damage to the car will leave you to foot the bill should you have an accident."
Among the large providers whose practice it is to downgrade the standard of cover they offer in Europe are esure and Direct Line.
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