The British Insurance Brokers' Association (BIBA) has given a ringing endorsement to the news that motor insurance certificates are soon to be sent electronically.

The BIBA says it is a 'win win' situation for both customers, who will receive a more efficient and speedy service, and the insurance industry, which will see significant cost savings.

It is also an environmentally friendly move as there will be far less paper involved and less carbon emissions from reduced delivery services.

Graeme Trudgill, from BIBA, said: "Immediate point of sale documentation will be an advantage especially if someone is buying a new car they can provide proof of insurance immediately without having to wait for a document to arrive in the post."

Other benefits envisaged include better take up of electronic vehicle licensing and improved customer service.

Mr Trudgill went on to congratulate road safety minister Jim Fitzpatrick and the Department for Transport on their efforts to push through the initiative.

It is estimated the insurance industry will save between £5 million and £10 million from the introduction of the system

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