I think you'll find that the requirement for this insurance comes from an EU Directive so if the CD is based on a European question bank it's probably been put in for this reason.
I think the Directive is implemented by not renewing the C of A unless an insurance certificate is available. A bit like it used to be when you went to get your car tax disc - if I'm right it's a bit ironic seeing as the car people have finally managed to check the insurance automatically!