Door Industry Journal - Summer 2012

Also online at: www.dijonline.co.uk 53 THE door industry journal summer 2012 motoring & transport BEWARE THE USE OF SAT NAVS IN FRANCE THIS SUMMER There has been lots of publicity about the newly introduced law requiring all drivers to carry approved breathalysers whil e travelling on F rench roads but British drivers using their company car abroad need to be aware of another new regulation introduced by our Gallic neighbours - it is now illegal to have a satellite navigation device that has inbuilt speed camera location information. "The device doesn't need to be in use at the time you're stopped either", says AA DriveTech's Marketing Director David Richards. "Mere possession of a device that has the capability to provide this information, even if it's not being used at the time, is sufficient to be breaking the law and an on-the-spot fine is very likely." To be 100% sure of being in the clear the AA is recommending that drivers contact the relevant vehicle or aftermarket device manufacturer to get advice about removal of the camera location information through some form of software application. Any changes in the device's database will have to be completely up to date though - there are 400 new fixed speed cameras being installed in France at present. "We would also wish to remind fleet drivers about the potential distraction effects of any interactive, in-vehicle information system," continues Richards. "These can increase risk considerably, even when drivers are on familiar territory. When driving on the right hand side of the road however it can take vital milliseconds longer to retain full concentration and control." THOUSANDS OF UK MOTORISTS UNAWARE OF HIDDEN FINANCIAL RISK Motorists Using The Increasingly Popular Contract Hire Method Of Vehicle Financing Could Be Exposed To Substantial Hidden Costs In The Event Of A Write Off. The simplicity, low cost and perceived risk free benefits of Contract Hire are attracting a rapidly increasing number of private and business motorists to this form of vehicle acquisition. According to spokesman Tom Barley, this form of vehicle financing carries a little known - yet potentially substantial financial risk for the hirer. “Within a Contract Hire agreement, the hirer is contractually required to provide fully comprehensive insurance for the period of hire, and in the event of a write off due to accident, fire or theft, - repay the remaining rentals plus vat” said Barley. He explains, “a motorist using a Contract Hire scheme and paying £375 per month over a 3 year period could receive a bill for £6,750.00 if their vehicle was unfortunate enough to be written off after 18 months of use. Motor dealers, brokers and Contract Hire companies arranging these agreements usually offer their customers a protection against this risk, called Finance & Contract Hire Gap Insurance - but far too many motorists decline it and do not consider the statistics.” UK insurers write off over 500,000 vehicles every year and that statistic equates to 57 vehicles per hour every hour, adding weight to the car2cover.co.uk concern. The car2cover.co.uk spokesperson said “we encourage customers to ask questions of the scheme arranger about this risk and establish what their potential liability is before entering the agreement and consider carefully the protections available”. Locked out of buying cover? According to Barley “Most dealership and Contract Hire company Gap insurances policies can only be purchased within 180 days of vehicle delivery, so to help those already in an unprotected agreement, car2cover.co.uk have launched a Finance & Contract Hire Gap Insurance that can be purchased at any time during the agreement and we have already seen a significant number of new and existing hirers taking up protection”. The number of existing unprotected Contract Hire users is not known, but is conservatively forecast to be in the region of over half a million motorists. “This clearly demonstrates the scale of the potential problem and the car2cover.co.uk team are keen to encourage Contract Hire users to consider their ability to repay their agreement if the worst should happen.” said Barley. car2cover.co.uk are calling for dealers and Contract Hire scheme arrangers to provide a much clearer explanation of the risks and provide some realistic examples to enable customers to fully understand what their potential liabilities might be should the unexpected happen.