Motability Scheme Update Chris Edwards Motability Operations British Polio Fellowship – 2014 Roadshow June 2014

1. Motability Scheme UpdateChris EdwardsMotability OperationsBritish Polio Fellowship – 2014 RoadshowJune 2014

2. 2 3 Motability and PIP Communications Initiatives Contents 1 An introduction to the Motability Scheme 4 Motability Events

3. Customers use their mobility allowance to meet the cost of leasing a car, powered wheelchair or scooter: Higher Rate Mobility Component of Disability Living Allowance Enhanced Rate of the Mobility Component of Personal Independence Payment War Pensioners’ Mobility Supplement, or Armed Forces Independence Payment Around 2/3rds of our customers drive, but non-drivers can lease a car as a passenger Parents or carers can also apply on behalf of a child aged three and above Customers choose a new car to lease every three years with insurance, road tax, servicing, tyres and breakdown cover all included A wide range of adaptations and Wheelchair Accessible Vehicles are also available A similar Contract Hire Scheme exists for people wishing to lease a scooter or powered wheelchair How the Motability Scheme works 3

4. Fact checking: The Motability Scheme Motability has no role in the award of any disability allowances, this is the responsibility of the Department for Work and Pensions (DWP) Cars available to disabled people under the Motability Scheme are not “free” cars; they are paid for by disabled people using their disability allowance Any additional ‘Advance Payment’ – for example to cover the costs of a higher specification car – is paid for by the customer Regardless of the car a Motability customer drives, the money paid to them by the DWP is the same

5. Motability Scheme: Overview in numbers The Motability Scheme strives to offer affordable, worry-free motoring for all customers • Over627,000 Car Scheme customers, including c.20,000 WAV customers • Over 12,000 Powered Wheelchair and Scooter Scheme customers • 31% of the 1.9m allowance recipients currently use the Motability Scheme • Customer renewal rate of 92% • Customer satisfaction at a record high of 98% • Around 450 cars available at £0 Advance Payment

6. The Motability Scheme: Working in partnership • Oversight of Scheme performance • Strategy and policy (in consultation with Motability Operations) • Public accountability for Scheme • Grants and Fundraising • Scheme operated on a contract basis by Motability Operations Group Plc, a private company owned by the major banks • Responsible for customer service, finance and administration of Scheme • Operates Scheme in line with KPIs and policies agreed with Motability • Accountable to Motability for Scheme performance Motability Motability Operations

7. Motability Operations: In numbers Employs c.800 people Working with 5,000 dealers and 31 manufacturers Delivers the Scheme for 639,000 customers Buys 10% of all new cars sold in UK Over a million calls answered a year, by Customer Services team

8. The Motability Scheme and PIP

9. The Motability Scheme and the introduction of PIP • 60% of Motability customers are of working age and will be assessed through the PIP transition period (2013-2018) • However, until 2015 only those with a fixed term award are being assessed. These represent 25% of the working age recipients • Difficult to calculate the exact scale of impact on the Scheme – however in all cases the Motability Scheme remains strong and viable • Key focus at present is on how best to support customers who have to leave the Scheme

10. Independent review to Parliament April 2013 June 2013 October 2013 End 2014 October 2015 October 2018 DWP timeline: PIP implementation New claims Children turning 16 Pilot All remaining DLA claimants Fixed term expiries Change in condition (rate) Full reassessment and migration commences and continues until 2018 Limitedimpact in 2013

11. PIP transitional support: Rationale and context • A once-in-generation change – many customers would have expected to access the Scheme for life • We believe it’s right to help affected customers through this difficult transition • Our aim is to restore them to the position they may have been in, had they not joined the Scheme • Support should be balanced, appropriate and sustainable • Our transitional support package has been shaped through research and consultationwith stakeholders and includes information and a cash element to meet immediate mobility needs • The availability of the package hinges on a tight process that enables us to swiftly recover the vehicles within 21 days of the allowance ending, to move them into our sales operation • We plan to support customers through the full five years, but will formally review the support in autumn 2015.

12. PIP transitional support: Car package Motability Scheme Transitional Package (paid to customers returning car within 21 days of allowance ending): Standard Car Scheme Customer – Unsuccessful PIP Reassessment • First joined Scheme: • Before 2013: £2,000 • During 2013: £1,000 • First joined Scheme from 2014: No transitional payment. Eligible for the standard return-to-dealer payment of £250 • Customers can buy their current vehicle at fair market price • A claims history letter from RSA sent to each customer • Customer information pack

13. PIP transitional support: Additional support Wheelchair Accessible Vehicle Customers • Receive Motability Scheme Transitional Package • Up to six months to return the vehicle • Will work with these customers on a case-by-case basis, to understand and assist with their future mobility arrangements • Receive Motability Scheme Transitional Package • Full refund for privately purchased adaptations • Motability managed or grant-funded adaptations: receive additional support to help with the cost of fitting similar adaptations to a non-Scheme vehicle • Customers in exceptional cases, such as changed condition or specific hardship, can apply for a one-off Motability grant Customers with Adaptations • Provide a package of support and advice to customers, to allow them to retain their current product wherever possible • If a customer decides not to keep their product they will be eligible for a Motability Scheme Transitional Package of £125 • Customers will be offered their product at £50/£75/£100 and receive the remaining balance of the transitional package Powered Wheelchair and Scooter Scheme Customers

14. ‘Staying mobile after Motability’ information guide • Practical advice and signposting on how to make up elements of Scheme such as advice on buying a used car • Advice on issues such as alternative means of mobility and other sources of support • A bespoke version of this guide for PWS customers • The guide is also available to download from the PIP section of the website PIP transitional support: Information, advice, signposting Insurance • Autonet Mobility (insurance broker) will provide quotes for all former customers, if requested and will take into account their claims history from RSAM. 14

15. 35 days 21 days 0 days -28 days -21 days Expected timeline for unsuccessful PIP assessment (car) Paid Up To Date DWP DECISION HANDBACK DEADLINE 4 weeks DLA run-on payment Motability send customer letter with transition package details, car hand-back date and Staying Mobile guide Motability receive notification from DWP of PIP Stopped Allowance Customer gets Motability cheque Up to 7 weeks continued motoring

16. Customer Proposition: Details for customers Appeals and reconsiderations • We will pay the transition support within a few days of the car’s return • Even if a customer is awaiting a reconsideration decision, or planning an appeal, we are unable to allow customers to keep their car for longer than 21 days of the allowance ending. The cost to the scheme, and therefore other customers, would be too great • Once a customer has received the transition support package, they will be unable to rejoin the Motability Scheme for six months. We would ask customers who wish to re-join the Scheme before the six months has passed, to call Motability Customer Services to discuss their options Customers approaching reassessment • Finite award customers with less than 12 months left when they are due to renew, or those approaching reassessment, will be offered the opportunity to extend the lease on their current car • On transition, they would receive the standard Motability Scheme Transitional Package

17. Customer Communications Initiatives

18. Customer communications: Easy Read guides • ‘Easy read’ version of the car introduction guide developed to support customers with cognitive disabilities • Plans to roll this format out to other publications Includes clearer language Content more descriptive where required Intuitive use of imagery Less text on each page

19. Customer communications: Website enhancements Recent improvements to motability.co.uk ensure our online customer experience is as easy as it can be: • Car search • Customers are able to see which vehicles they’ve recently viewed so they can compare what they’ve looked at before and any new vehicles they might be interested in • Scooter and powered wheelchair search • Customers can now compare products and save searches, making it easier to find the product which best suits their needs • Interactive adaptations section • Customers can click through the interactive tool which shows how different adaptations can help and what price they are available from if ordered at the beginning of the lease

20. Online film clips about Motability customers Lights, camera, action! We filmed four customers to find out about their experience of leasing a car through Motability The films show how different customers go about joining the Scheme and interacting with dealers Filmed in a simple format and easy to understand dialogue Each customer had a different story: Brian re-joined the Scheme when he found out the wear and tear policy had been changed so he didn’t have to worry about marks made on the car because of his wheelchair Lynne’s had five leases on the Scheme and has hand controls fitted through the Motability Managed Adaptations Programme Laura is on her first lease through Motability and joined the Scheme as a provisional driver and passed her test after going on an intensive driving course Leslie has had two leases on the Scheme and has recently ordered his next car, which is an automatic.

21. Customer initiatives: Rough Guide to Accessible Britain We’ve recently refreshed our online, days out guide – the Rough Guide to Accessible Britain - to inspire customers to get out and about in their cars and enjoy the UK • The Guide provides customers with the resource to take the next step in their Motability car and get out and about • Hosted online in e-book format and pdf download at accessibleguide.co.uk • Over 200 inspiring ideas with refreshed content for 2014 • Written by Rough Guides’ team of disabled reviewers • Features new reviews, including the Queen Elizabeth Olympic Park, Kensington Palace and The Making of Harry Potter Studio Tour • Contains details of accessibility features, as well as handy hints and tips about each venue • Features recommended Scenic Drive routes, allowing customers to experience great days out in the UK with their Motability car

22. Motability Events The Big Event and One Big Day

23. One Big Day 2013: A successful programme • The Big Event at Stoneleigh Park • 5,157 visitors Regional One Big Day events: • Glow, Bluewater • 2,056 visitors • Bath and West Showground • 1,680 visitors • Newcastle Racecourse • 1,555 visitors • Aintree Racecourse • 2,756(Largest ever attendance at a One Big Day Event)

24. One Big Day 2013: In numbers • 13,204 guests came along • 1,688 test drives were taken • 4,973 people entered the free prize draw • 68 different companies pledged their support • 526 products were displayed by 207 exhibitors

25. 2014 One Big Day Programme • Events increased to six this year • The Big Event in Manchester is our flagship event • First ever event in Northern Ireland in conjunction with Disability Action Exhibition

26. Working with British Polio Fellowship • How can we work together to continue to reassure our customers and update your members? • Is your website the best channel for sharing information? • What are the best ways to communicate with your advisors and employees? • Do you use advisor emails that we can contribute to? • On a practical level, we can also support your services and information teams with copies of publications, leaflets and factsheets – simply get in touch with us: marketing@motabilityoperations.co.uk