UK transition insurance advice: Four ways you can prepare now

Blogs 6 Nov 2020

From green cards to the impact on general insurance, find out what action you can take now to prepare your business’ insurance.

As we approach the end of the UK’s transition period, it’s important to prepare for the UK’s new relationship with the EU from 2021.  

Our insurance experts from FSB Insurance Service have compiled four key points relating to your insurance that business owners should be looking at now.

Green Cards

British drivers may be required to carry an EU Green Card. Although an agreement between the UK and EU authorities was formed to waive the need for a Green Card from when the transition period ends, this currently has not passed into law.

You should not require a Green Card when hiring a car, but your UK insurance policy will not cover you for your driving within the EU and you will need to contact your insurer around a month before travelling in order to drive your vehicle abroad. The cards themselves will be free, but you may incur admin charges to acquire one. You will need a physical document rather than an email or e-document.

You may also need an international driving permit (IDP) to drive in certain countries. Check whether you’ll need one here.

European Health Insurance Card

Whilst travelling from January 2021, your EHIC will no longer be valid or cover you for healthcare in the EU and EEA. It is advisable that you take out a travel insurance policy to cover for medical care whilst abroad.

Impact on General Insurance

At present, the UK government is legislating that the 16 million insurance policies held by UK households and businesses with EU insurers will continue to be serviced by those insurers after the transition period ends. Even if your policy is held with an EU insurer, you should still be alright, though this legislation hasn’t yet been fully agreed.

For UK insurers, there is concern as insurers without EU registered offices will no longer be able to cover policies within the EU unless the individual Member State has transition arrangements.  


If you increase your stock as part of your preparations, it’s vital that you declare the updated value of your goods to your insurer. Your existing cover will only apply to the sum insured that you agreed at the start of your cover. If this has changed, then you might find yourself with uninsured stock. This is of extra importance when you consider that holding more stock may make you more vulnerable to theft. You should make sure your premises are secure and comply with your policy’s terms.

Unsure about your requirements?

Speak with your insurance broker and check that your policy will not need any amendments in order to remain valid from next year onwards. If you’re still feeling a bit stuck, get in touch with FSB Insurance Service on 020 3883 7976. Our friendly team are here between 9am and 5.30pm Monday to Friday. 

Where can I find more information?

Visit FSB’s UK transition hub for the latest updates, news and resources. This hub will be regularly updated as more information becomes available.


Business insurance that makes sense

FSB Insurance Service is designed by small businesses for small businesses. An award-winning full general insurance broking service with exclusive discounts, tailored support and a dedicated insurance advice line.