Welcome to Tesco Motor Insurance

Thank you for choosing Tesco Value Motor Insurance. This policy booklet gives full details of your cover and should be read along with your Schedule and Certificate of Motor Insurance. Please keep all your documents in a safe place. If you have any questions about your policy, please call us on the number shown in the Schedule. We have not provided you with a personal recommendation as to whether this policy is suitable for your specific needs.

Mid term adjustments to Your policy will result in a maximum amendment fee of £26.25 (including Insurance Premium Tax where applicable) in addition to any change to your yearly premium.

Your Right to Cancel

If this cover does not meet your requirements, please return all your documents within 14 days of receipt. We will return any premium paid in full provided no claims have been made on the policy during that time.

Should you choose to cancel within 14 days, please return our documentation to:
Customer Relations Department, Tesco Motor Insurance, The Wharf, Neville Street, Leeds LS1 4AZ.

How to Complain

Should there ever be an occasion when you need to complain, please call us on our priority number 0845 300 44 00. If your complaint relates to a claim, please contact your claims handler whose details will be shown in your claims documentation. Should you choose to cancel, please return your documentation to:

Customer Services Department, Tesco Motor Insurance, The Wharf, Neville Street, Leeds, LS1 4AZ.

If you wish to write, then address your letter as follows:

1. Claims related complaints to Customer Relations Department, Tesco Motor Insurance, Cote Lane, Pudsey, LS28 5GF.
2. All other complaints should be addressed to Customer Relations Department, Tesco Motor Insurance, The Wharf, Neville Street, Leeds LS1 4AZ.

If we cannot resolve the differences between us, you may refer your complaint to the Financial Ombudsman Service (FOS). Their address is: South Quay Plaza, 183 Marsh Wall, London E14 9SR, telephone 0845 080 1800.

How to make a claim

To notify us of a claim in the first instance please telephone 0845 300 4400. For Typetalk dial 18001 0845 300 4400

Details about Our Regulator

UK Insurance Limited is authorised and regulated by the Financial Services Authority. The Financial Services Authority website, which includes a register of all regulated firms, can be visited at www.fsa.gov.uk/register, or the Financial Services Authority can be contacted on 0845 606 1234.

Under the Financial Services and Markets Act 2000, should the company be unable to meet all its liabilities to policyholders, compensation may be available. Insurance advising and arranging is covered for 100% of the first £2,000 and 90% of the remainder of the claim, without any upper limit. For compulsory classes of insurance advising and arranging is covered for 100% of the claim, without any upper limit. Information can be obtained on request, or by visiting the Financial Services Compensation Scheme website at www.fscs.org.uk.

Tesco Motor Insurance is underwritten by UK Insurance Limited.

This policy is evidence of the contract between you and UK Insurance Limited, based on the information given to us.

In return for receiving and accepting the Premium, we will provide insurance in the terms of the policy for those Sections shown in the Schedule as applying in respect of accident, injury, loss or damage occurring in the Territorial Limits during the Period of Insurance. Under European Law you and we may choose which law will apply to this contract. English Law will apply unless both parties agree otherwise.

Call Recording

We may record telephone calls in order to improve our services and to prevent and detect fraud.

Motor Insurance Database

We will add your policy details to the Motor Insurance Database (MID), run by the Motor Insurers' Information Centre (MIIC). The DVLA and DVLNI may use this information for the purpose of electronic vehicle licensing. The police may also use it to see whether a driver is using their vehicle legally or to prevent and detect crime. If you are involved in an accident (in the UK or abroad), other UK insurers, the Motor Insurers' Bureau and MIIC may search databases to gather relevant policy information. Anyone making a claim for a road traffic accident (including citizens of other countries) may also gather relevant information which is held on the database. You can find out more about this from us, or at www.miic.org.uk.r

Your information

Who we are

Tesco Motor Insurance is arranged by Tesco Personal Finance Limited (TPF) and underwritten by UK Insurance Limited (UKI). You are giving your information UKI and TPF. Both are members of the Royal Bank of Scotland Group (The Group). In this Information statement 'we', 'us' and 'our' refers to UKI and TPF unless otherwise stated.

For information about our Group of companies please visit www.rbs.com and click on ‘About Us’, or for similar enquiries please telephone 0131 556 8555 or Textphone 0845 900 5960.

Your electronic information

If you contact us electronically, we may collect your electronic identifier e.g. Internet Protocol (IP) address or telephone number supplied by your service provider.

How we use your information and who we share it with

We will use your information to manage your insurance policy, including underwriting and claims handling. This may include disclosing it to other insurers, third party underwriters and reinsurers.

Your information includes data about your transactions.

We may use and share your information with other members of the Group to help us and them:

• assess financial and insurance risks;
• recover debt;
• prevent and detect crime;
• understand our customers’ requirements;
• develop and test products and services.

We do not disclose your information to anyone outside the Group except:

• Where we have your permission; or
• where we are required or permitted to do so by law; or
• to other companies who provide a service to us or you; or
• where we may transfer rights and obligations under this agreement.

We may transfer your information to other countries on the basis that anyone to whom we pass it provides an adequate level of protection. However, such information may be accessed by law enforcement agencies and other authorities to prevent and detect crime and comply with legal obligations.

From time to time we may change the way we use your information. Where we believe you may not reasonably expect such a change we shall write to you. If you do not object to the change within 60 days, you consent to that change.

Sensitive Information

Some of the personal information we ask you for may be sensitive personal data, as defined by the Data Protection Act 1998 (such as information about health or criminal convictions) We will not use such sensitive personal data about you or others except for the specific purpose for which you provide it and to provide the services described in your policy documents.

You will have been asked to agree to this when you called but please ensure that you only provide us with sensitive information about other people with their agreement.

Dealing with other people

It is our policy to deal with your spouse or partner who calls us on your behalf, provided they are named on the policy. If you would like someone else to deal with your policy on your behalf on a regular basis please let us know. In some exceptional cases we may also deal with other people who call on your behalf, with your consent. If at any time you would prefer us to deal only with you, please let us know.

Fraud prevention agencies

If false or inaccurate information is provided and fraud is identified or suspected, details may be passed to fraud prevention agencies.

Law enforcement agencies may access and use this information.

We and other organisations may also access and use this information to prevent fraud and money laundering, for example when:

• Checking applications for, and managing credit and other facilities and recovering debt;
• Checking insurance proposals and claims;
• Checking details of job applicants and employees.

We, and other organisations that may access and use information recorded by fraud prevention agencies, may do so from other countries.

We can provide the names and addresses of the agencies we use if you would like a copy of your information held by them. Please contact us at the address below. The agencies may charge a fee.

If you would like a copy of the information we hold about you, please write to: The Data Protection Officer, Credit & Risk Team, Tesco Personal Finance, The Forthstone, 2nd Floor, 56 South Gyle Crescent, Edinburgh EH12 9LE

Further information

If you would like a copy of the information UKI hold about you (such as information relating to your policy or a claim), please contact the Data Protection Officer, UK Insurance, Regulatory Risk (Compliance) Department, Mailpoint 38, Churchill Court, Westmoreland Road, Bromley, Kent BR1 1DP. A fee may be payable. If you would like a copy of the information TPF hold about you, please write to The Data Protection Officer, Risk Team, Tesco Personal Finance, The Forthstone, 56 South Gyle Crescent, Edinburgh, EH12 9LE.

Security

Any personal data saved is held safely on our mainframe computer, with security systems preventing unauthorised access and we always ensure it is treated confidentially. For further information regarding our security provisions please out note titled Further Security.

Cookies

Please note that we use "Cookies" on the Site. A cookie is a software application that tracks our users' navigation of the Site and stores that information on their hard drives. This allows us to understand our users' habits and preferences which enables us to customise our services for our users to provide an enhanced user experience. We may, for example, use cookies to store registration information so that you do not have to provide it to us on subsequent visits.

Further security

We take security very seriously and we use one of the strongest available security systems to protect your communications with us. Whenever you fill in a form, such as a request for a quote, it is automatically protected using something called a Secure Socket Layer (SSL) between your computer and ours. SSL works in the following ways:

It prevents impersonation - you can tell that you are using a genuine SSL site by the padlock symbol at the bottom of the screen. Clicking on either the padlock or the image opposite will reveal our Registration Certificate that is issued by Verisign, a leading Internet security company.

It encrypts data - as soon as your computer has recognised our computer they encrypt all information that is passed between them. Data encryption means that no one else can read or change your information as it travels over the Internet.

It prevents scrambling - SSL uses a Message Authentication Code (MAC) to prevent anyone tampering with our Internet site. Your computer will always check this code before it takes a message from us. This means that if anyone tried to interfere with a message, your computer would not recognise the code and would alert you.

*There are two minor problems with Microsoft Internet Explorer. Neither problem has any effect on the actual security in force, but may make it appear to you as if it is not fully secure.

Internet Explorer 4. The padlock symbol does not always appear at the bottom when it should. Read a full description of this error number Q154621 (new window).

Internet Explorer 5. If you click on the padlock symbol to view the security certificate the following message may be displayed: "This certificate has failed to verify for all of its intended purposes". The other details of the certificate shown are correct. Read a full description of this error, number Q233479.

Commentary
This is a legal document and may seem complicated. We have provided this commentary to help you understand your policy, but it does not form part of the contract. The commentary will always be secondary to the policy wording itself.

We rely on the information you supply. If that information is inaccurate or incomplete, your policy may not be valid.

Main Definitions

Accessories means a product specifically designed for attachment to your car. Some accessories will constitute modifications as detailed in the Schedule.

Market Value means the replacement value of the same make and model of a similar age and condition vehicle as determined by reference to standard trade guides.

Partner means a person you are living with as if you are married to them.

Policy means this booklet, the Schedule and the Certificate of Motor Insurance. They are to be read together and any word or expression to which a specific meaning has been given has the same meaning wherever it appears.

Territorial Limits means Great Britain, Northern Ireland, the Republic of Ireland, the Isle of Man, the Channel Islands and includes transit between any of these.

Track Day means the vehicle is being driven on a motor racing track, airfield, de-restricted toll road or at an off road 4x4 event.

We, us, our and Company means UK Insurance Limited.

You and your means the Policyholder.

Your car means the motor vehicle identified in the Schedule.

Commentary
These are the definitions of terms used throughout your policy.

The Schedule shows the car we are insuring, the cover and the Sections of the policy which apply. The Certificate is legal evidence of insurance and shows who may drive your car and the purposes for which it may be used.

The Certificate specifies the registration mark of your car so you MUST notify us BEFORE any change of car is made.

REMEMBER TO TELL US OF ANY CHANGE IN THE INFORMATION YOU SUPPLIED OR ANY AMENDMENT YOU REQUIRE. IF YOU FAIL TO DO SO, YOU MAY NOT HAVE THE PROTECTION OF YOUR POLICY.

Contents

• Section A - Third Party Liability
• Exceptions to Section A
• Towing
• Section B - Accidental Damage Cover
• Exceptions to Section B
• Excess Amount
• Section C - Cover for Fire and Theft Damage Only
• Exceptions to Section C
• Excess Amount
• Section D - Windscreen Damage
• Section E - Personal Accident
• Section F - Additional Benefits
  • Medical Expenses
  • Personal Effects
• Section G - Foreign Use
  • Use Abroad
  • E.U. Compulsory Cover
• Section H - Motor Legal Protection
• Cover provided under this Section
• Conditions for Section H
• Exceptions for Section H
• No Claim Discount
• General Exceptions
• Conditions
• Car Sharing Extension
• Your Consumer Credit Agreement

Section A - Third Party Liability

1. Indemnity to the Policyholder

   We will indemnify you against legal liability for damages, claimant's costs and expenses in the event of an accident

   Involving:

   1. Your car.

   2. The driving by you, with the owner's permission, of any motor car not belonging to you and not hired to you under a hire purchase agreement provided that:

      1. You are entitled by your effective Certificate of Motor Insurance to drive such a car.
      2. You observe the licence conditions applicable.
      3. There is no other insurance in force which covers the same claim.
      4. The car is being driven in Great Britain, Northern Ireland, the Republic of Ireland, the Isle of Man or the Channel Islands.

      In respect of:

      1. Death of or bodily injury to any person.
      2. Damage to property up to a maximum of twenty million pounds subject to General Exception 5.

   Commentary
   This Section shows the cover provided for claims made by other parties for bodily injury or damage to their property.

   This part covers claims made against you.

   Cover operates for accidents involving your car or (if you are permitted in the Certificate) while you are driving someone else's car.

   If your Certificate permits you to drive someone else's car then it should only be in the event of an emergency.

   THIS SECTION DOES NOT COVER ANY LOSS OR DAMAGE TO YOUR CAR OR THE CAR YOU ARE DRIVING.

2. Indemnity to Other Persons

   We will, in the terms of Section A1 above, indemnify:

   1. Any other person stated in the effective Certificate of Motor Insurance to be a person entitled to drive, who is driving your car with your permission, provided such person observes the licence conditions applicable to the driving of your car.
   2. Any person, using but not driving your car for social, domestic and pleasure purposes with your permission.
   3. At your request, any passenger other than the driver in your car.
   4. The employer or business partner of anyone indemnified under this Section.
   5. The legal representatives, in the event of the death of the person indemnified, in respect of the liability incurred by such person.

   Commentary
   This covers claims made against people other than yourself from incidents involving your car.

   It covers:

   1. Other drivers of your car if permitted.
   2. Others you have allowed to use your car for social, domestic and pleasure purposes.
   3. Passengers for liability they may incur.
   4. The employer or business partner of any of the above.
   5. In the event of death of any of the above, their legal representatives.

3. Costs and expenses

   a. Legal costs

   In the event of an accident involving a car, the use of which is insured by this policy, at our option:

   1. We will pay all legal costs and expenses incurred with our written consent.
   2. We will pay the solicitor's fee incurred with our written consent for:
      1. Representation at any Coroner's Inquest or Fatal Accident Inquiry in respect of any death.
      2. Defending in any court of summary jurisdiction any proceedings in respect of any act causing or relating to any event which may be the subject of indemnity under this Section.
   3. We will arrange for and pay the reasonable cost of legal services to defend you or any person entitled by this policy to drive any motor car, the use of which is insured by this policy, against a charge of manslaughter or causing death by reckless or dangerous driving, if the death in connection with the charge may be the subject of indemnity under this Section.

   b. Emergency Treatment

   We will pay for emergency treatment fees as required by the Road Traffic Acts and such payment will not affect the allowance of No Claim Discount.

   Commentary
   Legal costs and expenses incurred with our written consent will be paid.

   We will pay the solicitor’s fee for representing or defending you as shown.

   If any person covered by this policy is charged with manslaughter or causing death by reckless or dangerous driving we will arrange and pay for their defence as shown.

   The compulsory fee for emergency medical treatment following an accident will be paid. A payment under this paragraph only, will not affect your No Claim Discount.

4. Compulsory Motor Insurance

   If the law of any country in which this policy operates obliges us to make any payment which we would not otherwise have made, we reserve the right to recover the amount from you or from the person who incurred the liability.

   Commentary
   We reserve the right to recover our outlay if we have to pay a claim simply due to the requirements of the law of a country.

   Exceptions to Section A

   We shall not be liable:

   1. To indemnify any person under Section A2:
      1. Who is aware that the person driving does not hold a licence to drive a motor car the use of which is insured by this policy, unless such driver has held and is not disqualified from holding or obtaining such a licence.
      2. Who fails to take all reasonable steps to ensure that the person driving observes the licence conditions applicable to the driving of such motor car.
      3. Unless such person observes and fulfils the terms of this policy insofar as they can apply.
      4. If there is any other insurance in force covering the same liability.
   2. In respect of death of or bodily injury to any person arising out of and in the course of such person's employment by the person claiming to be indemnified, except so far as is necessary to meet the requirements of relevant legislation.
   3. For loss of or damage to any car, the use of which is insured by this policy, or to any property belonging to or held in trust by or in the custody or control of the person claiming to be indemnified.

   Commentary
   We are not obliged to provide cover or settle claims under Section A2 where any person seeking the protection of this policy:

   1. Is aware that the driver has never held a licence to drive the car or is disqualified from driving.
   2. Does not take reasonable measures to ensure the driver observes the licence conditions. For example, a provisional driving licence holder must be accompanied by a driver aged over 21 who has held a full driving licence for 3 years.
   3. Does not observe the requirements of this policy.
   4. Has other insurance covering the claim being made.

   Where we are required to do so by law, we will deal with claims of this nature.

   Claims for damage to any car or any property belonging to any person seeking the protection of this policy are not covered under this Section.

   This confirms that you can tow a caravan, trailer or disabled vehicle.

   The cover provided is only in respect of claims made against you.

   No cover is provided in respect of loss of or damage to the caravan, trailer or disabled vehicle or any contents.

   Towing

   This policy shall be operative while any car insured by this policy is towing a trailer or a disabled mechanically propelled vehicle as allowed by law.

   Section A of this policy applies to the towed trailer or the disabled mechanically propelled vehicle during such towing.

   We shall not be liable in respect of any claim arising:

   1. Out of damage to or loss of the towed trailer or vehicle or property being carried in or on the towed trailer or vehicle.
   2. While such trailer or vehicle is being towed for reward.

   Commentary
   You must not tow for reward.

Section B - Accidental Damage

Cover

This cover applies only to your car

1. We will indemnify you against loss of or damage to your car. This includes its accessories while thereon or while in your locked private garage.
2. The maximum amount payable by us will be the market value at the time of the loss or damage unless you are entitled to claim for a replacement car as detailed below in paragraph 3. If we settle on the basis that your car is a total loss or uneconomical to repair, we will become entitled to possession and ownership of your car.
3. If within one year of its first registration as new in your name:
   1. Your car is lost by theft and not recovered, and is the subject of a claim under Section C, or
   2. Damage covered by the terms of this policy is caused to your car to an extent greater than 60% of the manufacturer's list price (inclusive of V.A.T.) at the time of such damage.

   We will at your request and subject to the consent of any other interested party known to us, replace your car with a new car of the same make, model and specification if immediately available in the United Kingdom.

4. At our own option we may repair, reinstate or replace your car or any part thereof or its accessories or may pay the amount of the loss or damage. If your car is three years old or more, or if you have an imported car, we may decide to repair it with parts which may not been made by your car's manufacturer but which are of a similar standard.
5. If your car is the subject of a hire purchase agreement or belongs to someone else, settlement may be made to the legal owner of your car whose receipt will constitute a discharge of our liability.
6. The claim shall be limited, in respect of any lost or damaged part or accessory which is unobtainable, to the cost shown in the manufacturer's last published list price, plus the reasonable cost of fitting.
7. If your car is disabled by reason of damage insured by this policy, we will pay the reasonable cost of protecting and removing it to the nearest approved or independent repairer and delivery to you after its repair, not exceeding the reasonable cost of its transport to your address in the Schedule.

Commentary
This Section shows how we insure your car against loss or damage.

In addition to your car, the cover includes its accessories or spare parts kept in your locked garage.

The maximum amount payable is the Market Value unless you are entitled to a replacement car.

We are entitled to possession and ownership of your damaged or lost car if we settle a write-off claim.

If your car is less than one year old we may offer you a new car. The circumstances under which we do this are shown above.

These are the ways we may settle your claim.

If the car is on hire purchase or belongs to someone else we may settle with the owner.

If any part is no longer manufactured or is otherwise unobtainable all we can do is pay what it would have cost, plus fitting.

After an incident we will pay the cost of protecting your car, removing it to the repairer and returning it to you at your address.

• Loss of use, depreciation, diminution in value or wear and tear.
• Mechanical, electrical, electronic or computer failures, breakdowns or breakages.
• Failure of any electronic equipment to correctly recognise, accept, respond to or process any date or part of a date or any data or instruction.
• Failure of any product, equipment or machinery containing, connected to or operated by means of a data processor chip.
• Damage to tyres by punctures, cuts or bursts, or caused by application of brakes.
• Loss or damage directly occasioned by pressure waves caused by aircraft and other aerial devices travelling at sonic or supersonic speeds.
• Deliberate damage by any person stated in the effective Certificate of Motor Insurance.
• Loss arising from your car being impounded as a result of a road traffic or vehicle licensing offence.
• Audio cover

Commentary
Loss or damage not covered under this Section is specified above. For example:

• Reduction in value due to repaired damage is not covered, nor will we pay the cost of replacement parts which are damaged due to an electrical failure.
• Claims arising from computer or data processor failure to recognise the actual calendar date are not covered.
• You will not be covered if you or any person described in the effective Certificate of Motor Insurance deliberately damage your car.
• Loss to your car arising while it is impounded by the authorities is not covered.

Excess Amount

Our liability in respect of each and every claim under this Section shall be reduced by the amount shown in the Schedule as the Own Damage Excess plus any other excess specified in the Schedule as a Driver's Excess, together with any applicable Young or Inexperienced Driver's Excess.

For the purposes of the Young or Inexperienced Driver's Excess, an Inexperienced Driver is a person who has not held a full driving licence to drive your car for at least 1 year if issued in the United Kingdom or for at least 2 years if issued elsewhere.

Commentary
An excess is the amount for which you are responsible for each and every claim for loss or damage to your car.

For example, if you have a £50 excess and your car is damaged to an amount of £250, you pay £50 towards the cost of repairs and we pay the balance of £200. Your contribution is an uninsured loss but may be recoverable if the claim involves a negligent third party.

There are 4 types of excess:

1. A Voluntary Excess which you choose and for which a discount in premium is allowed.
2. A Value Excess which we impose.
3. A Compulsory Excess which we impose, for example, in respect of a particular driver or type of car.
4. A Compulsory Excess due to the age or inexperience of individuals.

The excess amounts are shown in your Schedule.

Section C - Cover for Fire and Theft Damage only

We will indemnify you in the terms of Section B but only so far as concerns loss of or damage to your car, including its fitted accessories and spare parts caused by:

1. Fire, lightning or explosion.
2. Theft or attempted theft.

Commentary
This Section provides cover for loss or damage to your car by fire or theft but does not cover you for the cost of repairing or replacing parts which are damaged following mechanical breakdown or electrical failure, e.g. damage to the wiring loom as a result of an electrical short.

• The car is unattended or unoccupied and the doors and boot are not locked or any window or roof opening/hood has not been secured/closed or if any key(s) or other device(s) used to gain entry/operate the car is not removed from the car.
• At the time of the incident, the car is being driven or used without your permission by any person in your family or household, unless the person is reported to the police for taking the car without your consent.
• The loss is as a result of deception or fraud.
• The loss arises whilst your car is in the custody or control of any person with your permission who is not covered under this policy.
• The loss applies to audio equipment.

Commentary
Damage caused during an attempt to take your car is also covered.

Theft or damage is not covered unless the car is fully locked and secured and the key(s) and device(s) are removed when it is left unattended or unoccupied. Theft by a family member or member of the same household as you is not covered unless the person is reported to the police for prosecution.

Loss by deception or fraud is not covered, e.g. if you attempt to sell your car and allow the purchaser or purchaser's agent to take possession before the payment method clears you will not be covered if the payment fails.

Excess Amount

Our </strong> liability in respect of each and every claim under this Section shall be reduced by the amount shown in the Schedule as Excess Amount for Fire and Theft - Section C.

Commentary

The Excess amount is shown in the Schedule.

Section D - Windscreen Damage

If damage to your car is not limited to accidental breakage of glass in the windscreen or windows, and/or scratching to body work resulting solely and directly from such breakage, we will indemnify you in terms of Section B.

Commentary
You are not covered for damage solely to windscreen or windows.

Section E - Personal Accident

If you or your spouse sustain bodily injury as a direct result of an accident involving your car or while travelling in or getting into or out of any other private car, we will pay to the injured person or to such person's legal representatives the benefit shown in the Schedule.

Provided that death or loss occurs within 3 months and as a direct result of the accident.

We will not be liable to pay:

• In respect of bodily injury caused by suicide or any attempted suicide.
• More than the amount shown in the Schedule in respect of bodily injury to any one person as a result of any one accident.
• More than one benefit amount to any one person as a result of any one accident.

If the injured person is insured by us against Personal Accident under any other motor insurance policy, benefits shall be recoverable under only one policy.

Commentary
This Section provides benefits for both you and your spouse in the event of fatal or certain serious injuries following an accident involving your car.

The cover also applies when either of you are travelling in any other car.

There are certain restrictions on this cover which are shown opposite.

Section F - Additional Benefits

1. Medical Expenses

   If you, or any person in your car, sustain any bodily injury as a direct result of an accident involving your car, we will, at your request, refund the cost of medical treatment in connection with such injury up to the amount shown in the Schedule for each person injured, provided indemnity is not being sought under any other motor insurance policy.

2. Personal Effects

   We will indemnify you against loss of or damage to personal effects while in or on your car if caused by fire, lightning, explosion, theft or attempted theft or by accidental means. At your request, we will indemnify the owner of the lost or damaged property.

   Provided that:

   1. Our liability shall be limited to the amount shown in the Schedule in respect of any one occurrence.
   2. We shall not be liable in respect of loss of or damage to:
      1. Money, stamps, tickets, documents or securities.
      2. Goods or samples carried in connection with any trade or business.
      3. Property insured against loss or damage under any other policy.
   3. Reasonable precautions have been taken to safeguard the lost or damaged property.
   4. Payment to any person other than you will be paid direct to such other person who will observe, fulfil and be subject to the terms, provisions, exceptions and conditions of this policy, insofar as they can apply and whose receipt shall be a full discharge of our liability for such other person's loss or damage.

   Commentary
   We will pay for necessary medical treatment after an accident up to the amount shown in the Schedule.

   Personal effects in your car are also covered.

   The maximum amount we will pay as a result of any one incident is shown in the Schedule. Certain items are not covered as specified opposite.

   You must take reasonable care of your property - for example, don't leave it in an unlocked or open car or where it is visible.

Section G - Foreign Use

1. Use Abroad

   Subject to our consent and to the payment of any additional premium requested, we will issue an International Motor Insurance Certificate/Green Card in respect of your car.

   This policy will then provide the same level of cover as you have in the Territorial Limits for the agreed period:

   1. In any country specified (and not deleted) in the Green Card.
   2. In direct connection with the transit by sea, rail or air between such countries by a recognised carrier.

2. European Union (E.U.) Compulsory Cover

   We will provide the minimum insurance to allow you to use your car:

   1. In any member country of the E.U.
   2. In any other country which the Commission of the E.U. is satisfied has made arrangements to meet the requirements of Article 7(2) of the E.C. Directive on Insurance of Civil Liberties arising from the use of Motor Vehicles (no. 72/166/CEE).

   Commentary
   This Section describes the cover available if you take your car abroad. Unless you extend the policy to include foreign use, cover is very restricted and there is no cover for loss or damage to your car.

   The cover you have applies only to the Territorial Limits specified at the beginning of this policy under Definitions.

   To extend this cover when travelling abroad please apply to us before your intended trip and We will normally issue a Green Card. The cover will then operate in the countries shown in the Green Card and when travelling by sea, rail or air between the countries.

   The policy automatically provides the minimum cover necessary to use your car in all E.U. member countries and in certain other countries. The minimum cover within the E.U. is limited to third party only, as required by the E.C. Directive. To ensure you are fully protected you should apply for Foreign use as outlined.

Section H - Motor Legal Protection

This section only applies if it is shown on the motor policy insurance Schedule. The cover provided by this section is legal expenses insurance.

Definitions which apply to Section H

The following words will have the meanings shown next to them.

Costs means the professional fees and expenses reasonably and necessarily charged by the Solicitor. It also covers your opponent's costs which you are ordered to pay by a court and other costs we agree to in writing. The most we will pay will be £50,000 for any claim or claims arising from any one incident. This includes your costs and your opponent's costs.

Solicitor means the solicitor, barrister or expert appointed under this section to represent you.

Policy means the Tesco motor policy issued to the policyholder.

Policyholder means any person named as the Policyholder in the motor policy insurance Schedule.

Period of Cover means the period you are insured for that is shown on the motor policy insurance Schedule.

Territorial Limits means Great Britain, Northern Ireland, the Isle of Man, the Channel Islands, any country which is a member of the European Union and any country which the Commission of the European Community approves as meeting the requirements of Article 7(2) of the European Community Directive on insurance arising from using motor vehicles (number 72/166/CEE).

Uninsured Losses means losses which you cannot recover from any insurance policy.

We, us, our means UK Insurance Limited.

You, your means any person named in the current Certificate of Motor Insurance as being authorised to drive or use your car. This also includes any authorised passengers.

Your car means the motor vehicle identified in the Schedule.

Commentary
This Section gives you the legal protection outlined if you have paid the additional premium. Your Schedule will state if you have this cover.

Some definitions under this Section are different to those used for the rest of the policy. Some extra definitions are specific to this Section.

• Your death or injury;
• Damage to your car;
• Damage to any property in your car which you own or are legally responsible for; or
• Any other Uninsured Losses you suffer.

Cover provided by Section H only applies if:

• at the time of the accident, your car is being driven or used for a purpose allowed by the policy;
• the date of the accident is within the Period of Cover and the accident happens within the Territorial Limits;
• any legal proceedings will be carried out within the Territorial Limits by a court or other organisation which we agree to; and
• it is more likely than not that you will be successful with your claim for damages.

Commentary
We will pay the costs under this Section if you are killed or injured; or you incur uninsured losses.

Examples of uninsured losses include policy excess, costs of a hire car and medical expenses.

• Tell us about your claim as soon as possible;
• Let us have full details of your claim and any other information that we or the Solicitor ask for (you will pay any costs involved in providing this information);
• Fully co-operate with the Solicitor and us, and not do anything which might damage your claim (if we ask, you must tell the Solicitor to give us any documents, information or advice that they have or know about);
• Tell us about any developments affecting your claim;
• Tell us if the Solicitor refuses to continue to act for you or if you withdraw your instructions;
• Tell us if anyone makes a payment into court or offers to settle your claim;
• Try to get back any costs that we have to make, and pay them to us; and
• Get our agreement to negotiate or settle a claim.

• Appointing a Solicitor

• We have chosen a panel of legal firms to provide legal services. These firms may make payments to us for being members of the panel. While you are responsible for any legal costs they charge, your policy will cover them as long as the policy conditions apply.
• If we accept your claim, we or a Solicitor appointed by us will try to negotiate a settlement without having to go to the courts.
• If it is necessary to take your claim to the courts or if there is a conflict of interests, you have the right to choose the Solicitor to act for you. Otherwise, we will appoint a Solicitor for you.
• The Solicitor will be appointed by you or by us to act for you according to our standard terms of appointment. (You can ask us for a copy).
• You must not enter into any agreement relating to charges with the Solicitor without getting our permission first.
• If a Solicitor refuses to continue acting for you, or if you dismiss them, your cover will end immediately unless we agree to appoint another Solicitor.

You must tell your Solicitor to do the following

• Get our written permission before instructing a barrister or an expert witness;
• Tell us immediately if it is no longer more likely than not that you will be successful with your claim.

We can do the following

• Contact the Solicitor at any time, and he or she must co-operate fully with us at all times;
• Decide to settle your claim by paying the amount in dispute;
• Refuse to pay further costs if you do not accept a reasonable offer to settle your claim; and
• Refuse to pay further costs if it is no longer more likely than not that you will be successful with your claim.

Disputes

You have the right to refer any disagreement between you and us to arbitration. The arbitrator will be a solicitor, barrister or other suitably qualified person you and we agree on. If we cannot agree, the arbitrator will be chosen by the president of the Law Society (or other similar organisation) for that part of the Territorial Limits whose law governs this section of the policy. We and you must keep to the arbitrator's decision. Whoever loses the arbitration will pay for all the costs and expenses of the arbitration.

You may also refer any disagreement between you and us to the Financial Ombudsman Service. This service is free of charge.

(See the welcome section of the policy for details of our complaints procedure).

Cancellation

We can cancel this policy by sending the policyholder seven days' notice in writing to the policyholder's last known address. The policyholder, can cancel this policy by giving us written notice. We will not refund the policyholder's premium for any unexpired cover under this policy. If this policy is cancelled, it will not affect your rights to any claim which happened while the policy was in force.

Governing law

You and we can choose the law which applies to this policy. Unless we agree otherwise, English law will apply.

People involved in this contract

This contract is between the policyholder shown on the motor policy insurance Schedule and us. Nobody else has any rights they can enforce under this contract, except those they have by law.

Commentary
This Section describes certain responsibilities and procedures. You have the right to appoint a Solicitor. At the time of a claim, we may appoint a Solicitor if we consider it necessary.

We must reach agreement regarding the Solicitor's costs.

You must co-operate with us fully when dealing with the Solicitor.

You have the right to refer any disagreement to an arbitrator.

You also have the right to refer to the Financial Ombudsman Service.

We may cancel this cover by giving 7 days written notice.

• Costs you have paid or will have to pay before we agree to them.
• Any claim arising out of an agreement or contract between you and anyone else.
• A claim for an accident which is not covered under the policy.
• Costs involved in disputes involving settlement of your legal expenses claim.
• Costs you have paid or will have to pay after you withdraw instructions from the Solicitor or if you withdraw from legal proceedings without our permission.

Commentary
This specifies the costs that we will not pay.

No Claim Discount

In the event of no claim being made or arising under this policy, any premium for renewal will be reduced in accordance with our scale applicable at the renewal date. Details are available on request. We will not give any proof of your No Claim Discount unless you have paid all the premiums you owe. Your entitlement to No Claims Discount is not transferable to another person. Your premium will be adjusted if no claim is made.

Commentary
Your premium will be adjusted if no claim is made.

However this is a no claim discount and not a 'no blame discount'. If a loss occurs which is not your fault and we have to make payment, then your No Claim Discount will be reduced unless we can recover our outlay. For example, your car may be damaged by fire or by a hit and run driver who remains untraced.

General Exceptions

These General Exceptions apply to the whole policy.

We shall not be liable in respect of:

1. Any accident, injury, loss or damage occurring while any car insured by this policy is:

   1. Used for any purpose not permitted by the effective Certificate of Motor Insurance.
   2. Driven by any person not described in the effective Certificate of Motor Insurance as a person entitled to drive.
   3. Driven by you unless you hold a licence to drive such a car or have held and are not disqualified from holding or obtaining such a licence.
   4. Driven with your permission by any person who to your knowledge does not hold a licence to drive such a car unless such person has held and is not disqualified from holding or obtaining such a licence.
      
      While your car is in the custody or control of a member of the Motor Trade and used only for the purpose of its service, upkeep or repair, the indemnity provided to you is not affected by Exceptions 1(a) and 1(b) above.

2. Any accident, injury, loss or damage:

   1. If you fail to observe the licence conditions which apply to the driving of any car insured by this policy.
   2. If you fail to take all reasonable steps to ensure that all other persons driving the car observe the licence conditions. You must observe your driving licence conditions and take all reasonable steps to ensure that any other permitted drivers observe their licence conditions.
3. Any liability accepted by agreement or contract unless that liability would have existed otherwise.
4. Any consequence of war, invasion, act of foreign enemy, hostilities (whether war be declared or not), civil war, rebellion, revolution, insurrection or military or usurped power except so far as is necessary to meet the requirements of the Road Traffic Acts. In the event of a war or similar occurrence we will only pay for claims made under the requirements of the Road Traffic Acts.
5. Any accident, injury, loss or damage arising which directly or indirectly relates to Terrorism, except as is strictly required under the Road Traffic Act 1988. Terrorism means any act or the use or threat of force (whether or not in the United Kingdom) which (including but not limited to):
   1. endangers the life of a person or persons or involves serious violence against a person or persons;
   2. involves damage to property;
   3. creates a serious risk to the health and safety of the public or to any member of the public;
   4. interferes with or disrupts any electronic or satellite system; or
   5. involves the use of firearms, explosives, biological, chemical, nuclear or other means; and which is committed by a person or any group of people, whether acting alone or in connection with any organisation or government, for political, religious or ideological purposes and/or to influence any government or to put any member of the public in fear.
   6. and which is committed by a person or any group of people, whether acting alone or in connection with any organization or government, for political, religious or ideological purposes and/or to influence any government or to put any member of the public in fear.
6. Any expense, consequential loss, legal liability or any loss or damage to property directly or indirectly caused by or arising from or contributed to by:
   1. Ionising radiations or contamination by radioactivity from any irradiated nuclear fuel or from any nuclear waste from the combustion of nuclear fuel.
   2. The radioactive toxic explosive or other hazardous properties of any explosive nuclear assembly or nuclear component of it. Any claims arising from anything to do with irradiated nuclear fuels or waste are not covered, nor are claims arising from nuclear assemblies.
7. Any accident, injury, loss or damage (except under Section A - Third Party Liability) arising during or in consequence of riot or civil commotion occurring elsewhere than in Great Britain, the Isle of Man, Northern Ireland or the Channel Islands, unless it be proved by you that the accident, injury, loss or damage was not occasioned thereby. Claims resulting from riots are only covered in Great Britain, the Isle of Man, Northern Ireland and the Channel Islands.
8. Airside use of your car except so far as is necessary to comply with the Road Traffic Acts. Airside means any area where aircraft are normally to be found landing, taking off, manoeuvring or parked.
9. Any loss or damage directly caused by or liability arising from:
   1. Failure of any electronic equipment to correctly recognise, accept, respond to or process any date or part of a date or any data or instruction. The policy does not operate in areas where aircraft have access.
   2. Failure of any product, equipment or machinery containing, connected to or operated by means of a data processor chip, except for subsequent loss or subsequent liability covered by this policy.

   Commentary
   Throughout the policy, you have seen Exceptions which apply to the individual Sections. These General Exceptions apply to the whole policy.

   For the policy to operate it is essential that these requirements are complied with.

   1. The car is only used for the purposes described in your Certificate.
   2. The car is only driven by those persons shown as entitled to drive in your Certificate.
   3. You hold or have held a licence and you are not disqualified.
   4. You make sure the persons you permit to drive your car hold or have held a licence and are not disqualified.

   When your car is with a Motor Trader for servicing or repair you continue to have the protection of this policy.

   You must observe your driving licence conditions and take all reasonable steps to ensure that any other permitted drivers observe their licence conditions.

   If you accept any liability under a contract or an agreement regarding the use of your car you may not be covered. Please contact us before entering into any such agreement.

   In the event of a war or similar occurrence we will only pay for claims made under the requirements of the Road Traffic Acts.

   In the event of a Terrorist act using your vehicle, e.g. your car is stolen and used to carry a bomb, we will only pay a maximum of £250,000 towards property damage claims. If you have Accidental Damage cover or Fire and Theft cover, damage to your own car continues to be covered.

   Any claims arising from anything to do with irradiated nuclear fuels or waste are not covered, nor are claims arising from nuclear assemblies.

   Claims resulting from riots are only covered in Great Britain, the Isle of Man, Northern Ireland and the Channel Islands.

   The policy does not operate in areas where aircraft have access.

   The failure of a computer or electronic data processor to correctly recognise the true calendar date is not covered. Subsequent loss or liability covered by this policy is nevertheless insured.

Conditions

1. You or your legal representatives shall:
   1. Give us notice, as soon as reasonably possible, of any accident, injury, loss or damage and send to us every letter or other information in your possession without delay.
   2. Inform us immediately you become aware of any civil or criminal proceedings, inquest or fatal accident inquiry in connection with any event for which there may be liability under this policy and send us immediately any correspondence or other documents received.
   3. Co-operate with us fully, providing such assistance and information as may be required.

2. Except with our written consent, no admission, offer, promise, repudiation, payment or indemnity shall be made or given by or on behalf of you or any person claiming indemnity under this policy.

   We shall be entitled to take over and conduct in your name or in the name of such person the defence or settlement of any claim or to prosecute in your name or in the name of such person, for our own benefit, any claim for indemnity or damages and shall have full discretion in the conduct of any proceedings or in the settlement of any claim.

   You and such person must give us all the information and assistance we may require.

3. You must take all reasonable steps to safeguard your car from loss or damage and must maintain it in an efficient and roadworthy condition and allow us free access to examine your car at any reasonable time.
4. If at the time any claim arises there is any other insurance covering the same loss damage or liability, we will not be liable except under Section E - Personal Accident - to pay more than our rateable proportion of any loss, damage, compensation, costs or expense except as otherwise stated in this policy.
5. This policy may be:

   1. Cancelled by our sending 7 days' written notice to you at the address last known to us and in that event we will return the premium less the proportionate part corresponding to the period the policy has been in force.

      The effective Certificate of Motor Insurance remains our property and must be returned in accordance with the Road Traffic Acts.

   2. Cancelled or suspended by you at any time by returning the effective Certificate of Motor Insurance with written notice.

      Any premium adjustment will be calculated from the date we receive the Certificate from you.

      Provided no claim or loss has arisen in the current Period of Cover we will:

      1. In the event of cancellation, return the premium after applying our Cancellation Rates shown in the Schedule for the period the policy has been in force.
      2. In the event of suspension, hold the premium until cover is reinstated or until the policy expiry date shown in the Schedule.

      Any return premium will generally be applied on your instructions and calculated in accordance with our Cancellation Rates shown in the Schedule.

      A single period of suspension must exceed 28 consecutive days to qualify for a credit.

      If you are paying by instalments, the annual premium remains due and payments must be maintained during the period of suspension.

6. If any difference shall arise as to the amount to be paid under this policy (liability being otherwise admitted), such difference shall be referred to an arbitrator in accordance with the relevant law.

   Where any difference is by this Condition to be referred to arbitration an award must have been made before you take any legal action against us.

7. We will only provide the insurance cover described in this policy if:
   1. All its terms, limitations, provisions, conditions and Endorsements have been complied with.
   2. The statements made and information given to us orally and in the Proposal Confirmation and declaration which form the basis of this contract are complete and correct to the best of your knowledge and belief.
8. Where payment of premium is not made, any cover otherwise provided by this policy will be inoperative from the date such payment was due. Our agreement to provide cover is conditional upon receiving payment of the premium.
9. Where payment of premium is by instalments, the insurance remains an annual contract and the following conditions also apply:
   1. Should you fail to pay any instalment by the due date, such failure will entitle us to regard this as cancellation by you in accordance with Condition 5(b) of the policy and all cover will cease from the due date. You must return the Certificate of Motor Insurance immediately.

   2. The amount of any claim payable by us for loss or damage to your car may be reduced by the total of the unpaid premium for the full period of insurance.

10. If any claim or part of a claim is made fraudulently or falsely the policy shall become void and any claim under it shall be forfeited.
11. This policy may be automatically renewed by us on the renewal date. If we intend to automatically renew, we will notify you of our intention prior to expiry together with details of the renewal premium.
    
    If you do not wish to renew this policy you should inform us prior to the renewal date.
12. The parties to this policy are you and us and any person or company who is not a party to this policy has no right under the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this policy but this does not affect any right or remedy of a third party that exists or is available apart from that Act.
13. If any of the information you have provided us in relation to your policy changes you must let us know immediately as this could affect the protection of your cover in the event of a claim. Policy amendments resulting in a change in risk are subject to an amendment charge.

Commentary
This part describes certain responsibilities and procedures.

The procedures for reporting accidents and losses to us are:

1. Contact us by telephone with full details as soon as possible.
2. Immediately advise us as soon as you become aware of any court proceedings, inquest or inquiry.

No one may admit any liability or negotiate without our written permission.

Once you have asked for indemnity under this policy, we have the right to conduct the negotiations as we see fit.

You must keep your car in an efficient and roadworthy condition, and take all reasonable measures to avoid loss or damage, e.g. when leaving it unattended the ignition key must be removed and the car locked.

If any other policy provides similar cover for certain losses (other than Personal Accident) we will only pay our pro-rata proportion; the other insurer should do the same.

We may cancel the policy giving you 7 days written notice.

Failure to return the Certificate is an offence under the Road Traffic Acts.

You may cancel or suspend the policy and may be entitled to a premium adjustment, calculated in accordance with our Cancellation Rates, provided no claims or losses have arisen and you surrender the Certificate. The premium adjustment will be calculated from the date we receive the Certificate from you.

When a claim has been accepted but we disagree over the amount to be paid, the matter shall be referred to arbitration. When this occurs an award must be made before any legal action is taken against us.

The insurance cover described in this policy only operates if any person claiming the protection complies with its terms and conditions and the information given to us in the proposal is to the best of your knowledge truthful and complete.

Our agreement to provide cover is conditional upon receiving payment of the premium. If we agree that payment may be made by instalments, the policy remains an annual contract and the full annual premium is therefore payable.

If we do not receive payment of an instalment, we are entitled to consider this as though you have instructed us to cancel the policy and cover will cease from the due date. The Certificate must be returned immediately. In the event of a claim we may, at our discretion, deduct any remaining and unpaid premium from the settlement amount.

If any aspect of a claim is fraudulent, the policy will be declared void and the claim will not be met. we will also involve the authorities to instigate criminal proceedings.

We may offer automatic renewal of this policy. If we do so you will receive prior notice, but you must contact us before the renewal date if you do not wish to proceed.

This policy is between you and us. No other person or party has a right to enforce any term of this policy under the Contracts (Rights of Third Parties) Act 1999. Other third party rights are not affected.

If any information changes during the Period of Cover you have to inform us of the changes or you may not have the protection of the policy.

Car Sharing Extension

The receipt of contributions in respect of the carriage of passengers for social or similar purposes, as part of a car sharing arrangement, will not be regarded as the carriage of passengers for hire or reward or the use of a car for hiring provided that:

1. The car is not constructed or adapted to carry more than eight passengers excluding the driver.
2. The passengers are not being carried in the course of a business of carrying passengers.
3. The total contributions received for the journey do not involve an element of profit.

Note: If in doubt whether a car sharing arrangement is covered by the terms of this policy please consult us.

Commentary
This allows you to enter into a car sharing agreement.

If you enter into such an agreement you can accept contributions from your passengers provided you do not make a profit and you comply with the other requirements set out opposite.

Your Consumer Credit Agreement

Your Right to Cancel Your Consumer Credit Agreement

If you have chosen to pay by instalments you may cancel the Consumer Credit Agreement within 14 days of receipt. If you would like to cancel the Consumer Credit Agreement, please call us on 0845 300 44 00 or write to us at the address shown on Your documents. We will refund any premium paid in full provided that no claim has been made. If a claim has been made then we will deduct any remaining and unpaid premium from the settlement amount.

If you do not cancel the Consumer Credit Agreement, you must continue to pay the instalments for your policy otherwise we will cancel your cover and terminate the Consumer Credit Agreement.

Please note that if you cancel your Consumer Credit Agreement within 14 days, you have the option to continue cover under your policy as long as you pay the full premium. Otherwise, cover under your policy will also be cancelled.

Other Important Information about Your Consumer Credit Agreement

If you have a complaint relating to your Consumer Credit Agreement you should refer to the "How to Complain" section in your policy booklet.

You may terminate your Consumer Credit Agreement at any time. However, if you wish cover to continue under the policy then the outstanding balance must be settled in full.

We may terminate your Consumer Credit Agreement if you fail to pay any instalment by the due date. For full details see your Consumer Credit Agreement.

UK Insurance Limited is the underwriter of your policy and provides credit to you in order that you may pay your policy premiums in instalments.

It is possible that other taxes or costs not imposed by us or paid through us may apply to your Consumer Credit Agreement.

English law will apply to your Consumer Credit Agreement and it is subject to the jurisdiction of the English courts. We have supplied your Consumer Credit Agreement and other information in English and we will continue to communicate with you in English.

Tesco Motor Insurance is underwritten by UK Insurance Limited (UKI).
Tesco Personal Finance Limited (TPF) can only provide information about UKI Motor Insurance policies. The Royal Bank of Scotland Group plc is a parent undertaking of UKI, and also owns 50% of the capital in TPF. UKI and TPF are both authorised and regulated by the Financial Services Authority (FSA). FSA details can be checked on the FSA Register by visiting www.fsa.gov.uk/register or by calling 0845 606 1234. Tesco Personal Finance is a joint venture between The Royal Bank of Scotland plc and Tesco PLC. Tesco Personal Finance Limited. Registered in Scotland No 173199. Registered office: 24 St Andrew Square, EdinburghEH2 1AF.