Recent headlines about pop star Ed Sheeran receiving a penalty for an uninsured classic Aston Martin have surprised many enthusiasts, especially as the car wasn’t being driven on the road at all. The DB5 was reportedly undergoing restoration at a specialist workshop, yet the case has highlighted a point of UK law that catches out thousands of historic vehicle owners every year.
For anyone restoring, rebuilding or simply storing a historic vehicle, it serves as a useful reminder that being “off the road” does not automatically mean insurance is optional.
Taxed? Then it normally needs insurance
Since the introduction of Continuous Insurance Enforcement (CIE), the rules have been straightforward.
If a vehicle is registered with the DVLA and has not been declared as Statutory Off Road Notification (SORN), it must normally be insured, even if it never leaves the garage. The requirement exists whether the vehicle is parked on your driveway, stored in a lock-up, or undergoing restoration at a specialist workshop.
Many owners understandably assume that because a vehicle isn’t being driven, it doesn’t require insurance. Unfortunately, that’s not how the legislation works. But there’s another reason why this catches out historic vehicle owners in particular.
Once a vehicle qualifies for Historic Vehicle taxation, Vehicle Excise Duty becomes free, although it still has to be taxed each year. Because there’s no payment involved, it’s easy to forget that the vehicle remains taxed in the eyes of the DVLA.
That means if the car isn’t insured and hasn’t been declared SORN, it may still fall foul of Continuous Insurance Enforcement, even if it has been sitting in pieces in a workshop for months.
For many enthusiasts, particularly those undertaking long-term restorations, that distinction isn’t always obvious.
Aren’t I covered by the workshop’s insurance?
A common misconception is that a specialist restoration company or storage facility automatically removes the need for the owner’s own insurance.
While professional workshops almost always carry their own insurance for vehicles in their care, custody or control, that is separate from the legal requirement for the registered keeper to comply with DVLA rules regarding insurance or SORN.
The workshop’s policy protects against certain risks while the vehicle is in their possession. It does not necessarily satisfy the legal requirement for the registered vehicle under Continuous Insurance Enforcement.
When don’t you need insurance?
There is one important exception to all of this and that is that if the vehicle has been declared SORN with the DVLA and is genuinely being kept off the public road, Continuous Insurance Enforcement no longer applies.
However, just because insurance is no longer a legal requirement doesn’t necessarily mean it’s a good idea to cancel it and that is why we offer ‘laid up cover’ specifically for this requirement.
Whether your vehicle is in your garage, a storage facility or a restoration workshop, it can still be damaged by:
- Fire
- Theft
- Flooding
- Storm damage
- Accidental damage
- Malicious damage
For many classics, years of restoration work and increasingly scarce parts can represent far greater value than their original purchase price.
If something unexpected happens while the car is off the road, having no insurance could prove significantly more expensive than maintaining appropriate cover.
Specialist insurance is designed for enthusiasts
One of the advantages of specialist classic vehicle insurance is that it recognises how enthusiasts actually use their vehicles.
Many policies can continue to provide valuable protection while a vehicle is laid up, stored or undergoing restoration, helping safeguard both the vehicle itself and the investment you’ve made in it. The exact level of cover will depend on the policy, so it’s always worth discussing your circumstances with us to see if you would benefit from the vastly reduced rates that our ‘laid up cover’ can offer you.
A quick checklist
If you’re planning a long restoration or storing your classic for an extended period, ask yourself:
- Is the vehicle currently taxed?
- If it isn’t going on the road, have I declared SORN?
- Does my policy provide suitable cover while the vehicle is stored or under restoration? If not, call Peter James Insurance.
- Have I updated my agreed value if significant restoration work has been completed?
For many of us, a classic car is far more than just a means of transport. It’s a long-term project, a financial investment and often a member of the family.
Taking a few minutes to check your SORN status and insurance arrangements today could prevent an expensive surprise tomorrow and ensure your pride and joy remains protected throughout every stage of its restoration.
