Motor insurance property damage limit rises to £1.2m for Northern Ireland

The compulsory limit for property damage cover in mainland UK motor insurance policies was increased from £1m to £1.2m on 31 December 2016.

It is not entirely clear why the separate rules needed to make this same change in Northern Ireland have taken a few weeks longer. In any event, the same £1.2m limit now applies from today and is introduced by rule 2 of The Motor Vehicles (Compulsory Insurance) Regulations (Northern Ireland) 2017


Written by Alistair Kinley, director of policy and government affairs at BLM

Motor accidents abroad: “compensation on a consistent basis, by reference to the law of the state of the accident” – Lord Mance

In its judgment today in Moreno v The Motor Insurers’ Bureau, it could be argued that the Supreme Court used its decision in a case about interpreting a regulation specific to the MIB to make a wider point. That point is that English law (and Scottish & Northern Irish laws) should approach the arrangements in the European Motor Insurance Directives for compensating victims so as to provide compensation on a consistent basis regardless of how any particular claim might be pursued.

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Not for courts to impose on insurers liabilities which they are not required to bear

Five UK Supreme Court Justices, in the guise of the Judicial Committee of the Privy Council (JCPC), handed down a judgment in December about the scope of compulsory motor insurance – in the context of the applicable legislation on the Bahamas. The relevant insurance legislation is not, in terms of exclusions and the protection of injured people, as robust as the UK Road Traffic Act 1998 and permits insurers to reject third party claims if, for example, the vehicle involved was not being used by a named driver. Continue reading