The Motor Insurers’ Bureau (MIB) is the UK body that compensates people injured, or whose property is damaged, by uninsured or untraced drivers. Established in 1946, it is a private company funded by every authorised motor insurer, and ultimately by law-abiding motorists through a levy built into premiums. If you are hit by a driver with no insurance, or by a hit-and-run driver who is never identified, the MIB is the route to compensation when there is no insurer to claim against.
The MIB exists because compulsory motor insurance still leaves gaps: some drivers break the law and drive uninsured, and some cause an accident and are never traced. The Bureau is the safety net behind those gaps, so an innocent victim is not left uncompensated.
How is the MIB funded?
The MIB is a company limited by guarantee whose members are the insurers authorised to write compulsory motor insurance in the UK. Under the Road Traffic Act 1988, every such insurer must belong to the MIB and contribute to its costs. Those costs are recovered through premiums, so the funding ultimately comes from the motorists who do insure their vehicles.
What is the Uninsured Drivers Agreement?
This agreement covers claims where the driver responsible for the accident is identified but has no valid insurance. Once liability is established, the MIB can meet claims for personal injury and, subject to the agreement’s terms, property damage, standing in the place of the insurer the at-fault driver should have had.
What is the Untraced Drivers Agreement?
This agreement covers hit-and-run and other cases where the responsible driver cannot be identified. It allows a victim to claim for personal injury, and in defined circumstances property damage, even though there is no one to sue. Because there is no identified defendant, the terms differ from the uninsured drivers route, with some restrictions on what can be recovered.
What is the Motor Insurance Database?
The MIB operates the Motor Insurance Database (MID), the central record of insured vehicles in the UK. It is what the police and enforcement systems check to see whether a vehicle is insured, and it underpins Continuous Insurance Enforcement. Insurers are responsible for making sure their policies are recorded on the MID promptly.
How do I claim against the MIB?
You apply to the MIB directly, providing details of the accident and, for uninsured claims, of the at-fault driver. The process is designed to work without an insurer on the other side, but claims still turn on evidence and liability, so keeping full records of the incident, and reporting it to the police, matters.
Where your own cover fits
An MIB claim is a fallback, not a substitute for your own policy: comprehensive cover may deal with your losses faster and without the agreements’ restrictions, then recover from the MIB itself. Making sure your own motor cover is right for how you drive is the first line of protection. To review your motor cover, get a quote or speak to the team.