Parents warned about naming children on motor insurance

Updated



The Motor Insurance Bureau has claimed that parents who list their children as named drivers on their own policy were inadvertently committing fraud.

The organisation insisted that by insuring a vehicle their children use almost exclusively under their own name – a process called "fronting" – is illegal as it amounts to a false declaration of information.

The MIB suggested that a claim made on such a policy could be invalidated and the holder may even face prosecution.

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