The potential impact of Brexit on your personal insurances

Most policies will not be affected by Brexit, including property and home insurance policies. However, there are some areas that need to be considered, including Motor and Travel.

Motor Insurance

Should a Brexit deal be agreed, there will be no change and you will be able to drive your car, motorbike, supercar or classic as freely as you can do now. This means, if you have European cover – often shown as ‘Foreign Use’ on your policy schedule – you can go away for up to as many days as your insurance policy states (standard policies usually offer up to 90 but this can be extended).

However, should there be a ‘no deal’ Brexit, after the 29th March 2019, a Green Card will be required to show that your motor insurance meets EU standards. Without a Green Card, you may not be allowed to enter into Europe and would need to purchase local insurance in the country you are visiting, or face being fined.

Green Cards are not required yet so please don’t contact us about these just yet. However, should we find that there is a ‘no deal’ Brexit, we will be able to provide you with a compliant Green Card from your insurer. Once you have a Green Card, this will be valid until your next policy renewal date, meaning you can travel as many times as your insurance policy allows, using the same Green Card.

Please also be aware that ‘no deal’ will mean you need to obtain an International Driving Permit, available from the Post Office.

Caravan & Trailer Insurance

In the event of a Brexit deal being agreed, your caravan and trailer will most likely be covered to allow you to travel across the EU, again under the ‘Foreign Use’ section of your policy schedule, for up to as many days as your policy states.

However, with a ‘no deal’ Brexit, a Green Card will again be required if you are planning to travel to EU countries, including Ireland, Andorra, Serbia and Switzerland after 29th March. Your insurance company will be able to arrange for your trailer or caravan to be covered by the same Green Card as your car if they have the same registration number. Again, this won’t be required until after 29th March so you don’t need to do anything just yet.

Travel Insurance

Again, depending on if a deal is agreed or not, your insurance will be impacted differently. If we agree a deal, Brexit will not disrupt your travel to EU countries. However, ‘no deal’ could lead to travel disruptions from 29th March.

Should your trip be cancelled due to Brexit disruption, you should:

  • Contact your travel agent if your flight and accommodation was booked through them, as you’re likely to be ATOL protected.
  • Contact your airline or other transport provider if you booked your trip directly as you may be able to get a refund. We advise that you also check the cancellation conditions of your accommodation.
  • Alternatively, you may be able to claim back costs from your credit card provider or PayPal.

Should you be unable to obtain a refund through the above sources, you may be able to claim through your Travel Insurance, depending on the policy you decided to take out.

Another thing to think about is your EHIC card; these should remain in operation until December 2020 if a deal is agreed. If we experience a ‘no deal’ Brexit, your EHIC will not be valid after 29th March 2019. Again, this is something you can address through your by amending your Travel Insurance policy.

If you would like to discuss your motor or travel insurance with us, should we find ourselves with ‘no deal’, please do not hesitate to contact us on 01653 697055 or by emailing enquiries@mcclarroninsurance.com.

Brexit & Green Cards

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