If an uninsured driver is involved in an accident, there is protection for the other driver. The Motor Insurers Bureau of Ireland is a body set up by the government and the insurance industry to ensure that accident victims are compensated when the other driver is uninsured. The body is funded by the insurance industry (and ultimately by the insurance premiums of ordinary drivers).
When a crash occurs and it turns out that the driver at fault is uninsured, the Solicitor for the victim will write to the MIBI and inform them of the position. The MIBI will then appoint an insurance company to deal with the case on their behalf. In general, it is the insurance company who insured the car (even if the driver on the occasion was not insured). Provided that they agree the driver was at fault, they will try to settle the case. It may be that they will agree to the assessment of the case by the Personal Injuries Assessment Board, a government body which assesses the values of cases to try and avoid cases going to Court). If no figure can be agreed, the Court will decide.
The MIBI will pay the same compensation that any other insurance company will pay other than in cases where the car cannot be traced. In these cases they will only compensate for personal injuries and not damage to cars unless the personal injuries are serious.
When the MIBI pay out compensation, they will then have the right to pursue the owner of the car if they gave permission to drive to the person who was uninsured. They may obtain a Court judgement and pursue the person for the debt in the normal way.
The MIBI also deals with claims involving foreign drivers.
