Claim against me but was not driving

[Ethel Street]

Do you have a signed confirmation of sale dated 3rd September confirming that the ownership of the vehicle transferred to your friend on 3rd September? What documents do you have confirming the sale?

[Ethel Street]

Have you now formally told your insurer that the policy is to be cancelled from 3rd September?

[Ethel Street]

You must put in writing to the insurer today confirming that the policy should be cancelled from 3rd September because you sold the vehicle on that date and no longer have any interest in it. Send them a copy of whatever evidence you have that the vehicle was sold. Also if they sent you a Certificate of Insurance by post when you last renewed the policy post it back to them. (Today because it's 7 days from the date you sold the vehicle and there's 7 day deadline for returning the certificate)

 

Don't wait for your friend to write a letter to insurers, you must take action immediately to write to your insurers. A letter from your friend, as suggested in post 3, would also be helpful. I'd ask the friend to give the letter to you so you can be certain your insurers get it and you know what it says.

 

There is no claim under your policy. Only you can make a claim under your policy and you aren't because at the time of the accident you didn't own the vehicle and weren't driving the vehicle. I do not agree with unclebulgaria that this will be recorded as a claim against your policy. The insurer may attempt to do that but they are not entitled to because it is not a claim under your policy. If your insurer has to pay the third party (and the law's not at all clear in cases like this where the vehicle had already been sold) it would be dealt with by what's known as a 'Section 151 claim'. That is not a claim under your policy.

 

This paragraph from a recent seminar on s151 claims is relevant to your situation, although unfortunately it only confirms that the law is unclear. 

 

 

https://www.2tg.co.uk/wp-content/uploads/2020/05/2TG-Guidance-Note-Motor-Insurance-Law-for-Learners-JMD-5.5.2020.pdf

Edited September 9, 2020 by Ethel Street