Can I still drive my Cat N car? My car was hit by a police car while it was parked and after 4 months of trying to get them to repair it their insurance has now deemed it a Cat N write off after sending them photos of the damage. They're sending me a check for the value of the car, minus the salvage value, stating; "Please note it is your responsibility to dispose of the salvage accordingly".

This was a paragraph in the letter I received:

"In addition the vehicle details will be added to the Motor Insurance Anti-Fraud Theft Register. It
is the responsibility of the registered keeper to notify the DVLA. If this action is not taken, the
registered keeper will still be liable for the vehicle under the Continuous Registration
requirements of the Road Vehicles (Registration and Licensing) Regulations 2002 and could
incur a fine"

Does this mean i have to tell DVLA, and can I still drive the car on the road as long as it is taxed, MOTd and insured?

My plan is to use the money they give me and some of my own in order to get the damage repaired, but I'm not sure if I can legally do this or will I be pulled over or fined for driving the Cat N car on the road?