The Motability Scheme gives disabled people and their families a lifeline — the ability to lease a car, scooter, powered wheelchair, or wheelchair accessible vehicle using part or all of their mobility benefit. For the 815,000 people currently using it, this can make a huge difference in daily life. But just because the scheme includes insurance, that doesn’t mean everything is covered.
Many drivers assume they’re fully protected — and that could lead to some expensive surprises. Here’s what Motability insurance doesn’t cover, and what that means for you.
Basics
When you lease a car through Motability, your insurance is handled through Direct Line Motability. It covers the essentials: damage to your vehicle, theft, legal liability, and a few extras like key replacement and temporary cars if yours is off the road.
Up to three named drivers can be added, and if an accident happens, any claims go through Direct Line Motability — not your own insurer.
So far, so good. But there are some gaps you need to be aware of.
Coverage
Here’s what’s typically included in your Motability insurance policy:
- Damage or loss to the car (including standard in-car equipment)
- Personal accident cover up to £5,000
- Replacement locks and keys if stolen
- Temporary replacement vehicle if yours is stolen or undrivable
- Legal liabilities if you’re involved in an incident
- Loss of use payments
- Agreed modifications and adaptations
These benefits are useful, but they don’t make it a full coverage policy — and there are key exclusions that could cost you.
Exclusions
So, what exactly isn’t covered under the Motability Scheme insurance?
Here are seven common things people often assume are covered — but aren’t.
1. Excess payments
If your car is damaged and needs repairs, you must pay the insurance excess upfront before anything is fixed. This amount varies depending on your vehicle and circumstances. Many people don’t realise this is their responsibility, not the scheme’s.
2. Driving without permission
If someone uses the car who isn’t a named driver — or if you drive it without proper permission — you won’t be covered for any damage or liability. This includes friends or family borrowing the car casually.
3. Non-standard extras or modifications
Only adaptations and equipment agreed with Motability beforehand are covered. If you’ve added aftermarket extras or accessories, like fancy wheels, custom paint, or tech upgrades, they aren’t insured.
4. Loss of personal belongings
The insurance only covers the car and its approved features. If your phone, wallet, handbag, or shopping is stolen or damaged inside the car, that’s on you — not the scheme. You’ll need separate contents or personal belongings insurance to cover these.
5. Interior damage
While external accidents are covered, damage to the interior — think rips in the seats, stains, or burns — is not. If your car is returned with significant interior wear or accidental damage, you could face a bill.
6. Driving other vehicles
Your Motability insurance only applies to your leased car. If you drive someone else’s car, you’re not covered through your Motability policy. You’ll need to make sure you’re insured through their policy or your own private policy.
7. Business use
Using your Motability car for work — like deliveries, Uber driving, or anything business-related — isn’t allowed unless pre-approved. If you haven’t discussed and agreed this with the insurance provider, you’re not covered.
What’s Not Covered
| Not Covered | Why It Matters |
|---|---|
| Insurance excess | You pay before repairs start |
| Unauthorized drivers | No coverage for non-named users |
| Non-approved extras | Upgrades not insured |
| Personal items | Theft/damage to belongings excluded |
| Interior damage | Scratches, burns, stains cost extra |
| Other vehicles | No cover when driving non-Motability cars |
| Business use | Not insured unless agreed first |
The Motability Scheme offers peace of mind — but only if you know the limits of your coverage. It’s not a “free car,” and the insurance doesn’t cover everything you might expect. Avoid unexpected costs by knowing the terms and sticking to what’s allowed.
Make sure you’re only letting approved drivers use the car, and don’t assume personal items are covered. If you’re ever unsure about what’s allowed, contact Direct Line Motability before you act.
Being informed now could save you money — and stress — later.
FAQs
Does Motability cover personal items?
No, personal belongings in the car are not covered.
Do I pay an excess for repairs?
Yes, you must pay the insurance excess before repairs begin.
Can I add extras to the car?
Only approved modifications are covered by insurance.
Is business use allowed?
Only if agreed with the insurer in advance.
Are interior damages covered?
No, damage to the inside of the car isn’t covered.
