What is the maximum compensation amount a third party can receive for property damage from an uninsured driver?

The maximum compensation amount a third party can receive for property damage from an uninsured driver is set at £1.2 million. This amount reflects the maximum limit that the Motor Insurers' Bureau (MIB) is willing to pay out in claims for damages resulting from accidents involving uninsured drivers.

This is significant as it protects the interests of those who have suffered damages without access to compensation from the liable party due to their lack of insurance. The MIB helps to ensure that victims are not left without recourse and that they can receive a reasonable level of compensation for their losses.

Understanding the compensation limits under these circumstances is essential for both insurers and policyholders, as it highlights the financial guarantees in place to safeguard third parties who may be adversely affected by uninsured motorists.