When you are reported either by FPN, CO or Court Summons for an endorseable offence i.e. speeding in addition to fine etc you HAVE TO surrender your Licence for those magical points to be endorsed on the Driving Licence.
DVLA are informed of the endorsement so that the Driver's Record can be updated and a record of the conviction/points awarded made. They are also informed whether or not the Licence was surrendered or not.
If not then they can and do revoke a driving Licence and as I understand it send a letter to that effect. This action means that if stopped then one is not driving under the terms of a Licence - an offence which appears is the only one coming to light from the stop. .
The part about the revoked Licence cancelling the Insurance is BALONEY. If you look at your certificate it will state that the Insurance covers " A person who holds OR HAS HELD A LICENCE TO DRIVE." One must therefore have held a Licence for it to be revoked.
To renew a revoked Licence in these circumstances all that is required is to renew which DVLA have advised.
Hanging is for more serious crimes...
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