Motorists wishing to travel between the UK and EU member states will not need additional insurance documentation after Brexit.

According to the Association of British Insurers (ABI), the Department for Transport (DfT) has confirmed that the UK will not return to the ‘green card’ insurance system when the country leaves the European Union.

A return to the green card would have made it necessary for British drivers to carry special certificates of motor insurance while driving in Europe, and could have meant drivers would have to tell insurers before taking foreign trips.

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The green card system is now largely defunct due to the European Free Circulation Zone, which ensures domestic insurance policies are valid across the EU.

When the UK leaves the EU next year, the country will remain part of the Free Circulation Zone, joining Andorra, Serbia and Switzerland in the list of non-EU countries on the membership list.

The ABI says the deal has not yet been finalised by the European Commission, but because it has been approved by the Council of Bureau, which deals with green cards and the Free Circulation Zone, the commission’s role is merely formal confirmation and the implementation of timescales.

ABI director general Huw Evans welcomed the move, saying it would reduce the amount of paperwork for businesses and private motorists

‘This is good news for drivers and haulage operators who no longer face the prospect of doing reams of paperwork and paying admin charges every time they get on a ferry to Europe,’ he said. ‘It’s always encouraging to see common sense prevail and I look forward to the commission concluding the formalities as soon as possible.’