UK motor insurers have voted for the Motor Insurance Bureau (MIB) to handle and pay the claims from victims involved in a terrorist event, where a vehicle is used as a weapon.

More than 75% of motor insurers agreed the change, following a 28-day ballot which closed on July 19.

As a result, Article 75, the relevant element within MIB’s Articles of Association, has changed to bring these within the scope of the claims paid by the Bureau.

Dominic Clayden, chief executive at MIB, said: “Those who are innocently caught up in events where terrorists drive vehicles into people to injure and kill, can rely on MIB to pay and handle their motor related claims for these terrible events.”

MIB is the UK’s not-for-profit body which deals with the claims from victims involved in uninsured and hit and run accidents.

The compensation for victims of vehicle-related terrorist events that take place on or after January 1 2019 will now be handled directly by MIB.

All motor insurers writing business in the UK are members of MIB, which is funded through a levy arrangement.

The BVRLA and its members are supporting a national ACT campaign (Action Counters Terrorism), to help fight the threat of terrorism.

Last year saw a spate of terrorist attacks where rental vehicles were used as ramming weapons to cause death and destruction in the UK and around the world.

BVRLA Chief Executive Gerry Keaney added: “We are delighted that the motor insurance market has agreed to mutualise this risk instead of leaving individual insurers to carry the risks associated with motor claims arising from terrorist attacks.

“This provides much needed reassurance for the vehicle rental industry where operators were finding it increasingly difficult to secure cover. We are very grateful to the MIB for their collaborative approach to this challenging issue.”