Can you use DP to put your carer on your car insurance?

Here is a question from one of our Facebook followers.

Does anyone know if you can use Direct Payments to put your carer on your car insurance?

The Government guidance says that Direct Payments can be used very flexibly but any funding has to be agreed in advance with the care manager or social worker and signed off. So it would need to be agreed as part of the budget usually.

Advice from Belinda Shwer, a community care lawyer states :
The statutory guidance, at paragraph 12.27, says: “The local authority should have regard to whether there will be costs such as recruitment costs, Employers’ National Insurance Contributions, and any other costs by reason of the way in which the adult’s needs will be met with the direct payment. If these costs will be incurred they must be included in the personal budget (and thus direct payment) if it is appropriate for the adult to meet the needs in a way which incurs the costs.” That means that if you know the client is going to employ someone, you can’t not give them the inevitable on-cost sums, but if it’s less than what it would cost you to engage an agency with employees, then it’s still a great idea."

This is the Government Guidance on the Care Act- the sections on person-centred care and support planning give the guidance.


Have checked with a Direct Payments expert- this is the advice:
"yes nothing wrong in using the DP in this way but ideally have something in the Support plan which confirms that the DP will be used to pay for any costs associated with paid carers using clients vehicle as part of their job role, including additional car insurance cost if applicable"
I hope that helps you sort things out.