According to data from comparison website Gocompare.com, ‘well-meaning’ middle-class parents are pretending to be the main driver of a vehicle, which in reality is predominantly being driven by their student son or daughter.
The practice, known in the industry as ‘fronting’, is where a lower-risk and usually older driver insures a vehicle in their name as being the main driver – even though it is the higher risk ‘second’ driver who will really be behind the wheel most of the time.
Such practices can have serious legal and financial implications as should ‘fronting’ be suspected, the insurance company could refuse to pay out for claims, or still settle a third-party claim but look to recover the cost of said claim from the parent as policyholder.
Worse still, the insurer could refuse to pay out which will mean that the young driver would be considered as driving uninsured. This, of course, could mean prosecution, heavy fines and even a driving ban.
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As always, stay safe out there folks!
Chris
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