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News in Car Insurance
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Highways Agency warns over icy conditions
The Highways Agency has warned motorists about the dangers of icy conditions, with temperatures falling across the UK. More »
By Tom Farley, Car Insurance - Fri 3 Feb 2012
Land Rover drivers are biggest speeders
Land Rover drivers have been named as the biggest speeders on public roads, according to research by car insurance company Confused.com.
The website found that 26 per cent of motorists that drove a Land Rover Discovery had broken the speed limit on a public road whilst the company's Range Rover Sport model was top of the list for breaking speed laws on the motorway.
Ford Galaxy Zetec was found to be the top vehicle in which motorists would use a handheld device whilst driving; the survey revealed that 1.94 per cent of people were guilty of this offence.
Land Rover recently unveiled a range of six new models with the latest Sport vehicle retailing at £48,795.
Gareth Kloet, head of car insurance at Confused.com says: "The rules of the road are designed to help shape our driving habits and to maximise road safety. Keeping on the right side of the law will obviously help to not only minimise the cost of your insurance but also help keep you on the road and keep the roads safe". More »
By Tom Farley, Car Insurance - Thu 2 Feb 2012
TomTom releases two new Simpson's sat nav voices
Motorists can now be given a hand by two more of their favourite characters from The Simpsons, after TomTom released voice packs for Mr Burns and Marge. More »
By Tom Farley, Car Insurance - Wed 1 Feb 2012
High petrol prices could force drivers off the road
Rising petrol prices could discourage drivers from using their car as motorists reveal worries about increasing bills.
Car insurance company Hastings Direct found that 78 per cent of drivers were put off using their car by the rising cost of owning a vehicle. The company's survey also revealed that one in five (12 per cent) motorists would give up their car completely if petrol prices hit the £2 mark.
The average price for a tank of unleaded petrol currently stands at 134.38p per litre but it is a major hike compared to the beginning of the century when prices stood at 77p. Hastings' survey found that 74 per cent of people had decided to cut back on the amount of time they use their car in order to save money.
Tobias van der Meer, managing director of the company, said: "Taking the right actions, reducing mileage and driving safely, can help motorists cut the cost of their insurance and their fuel bills, but ultimately motorists cannot and will not be able to keep on paying higher and higher petrol prices." More »
By Tom Farley, Car Insurance - Tue 31 Jan 2012
Rush hour slowed to 15mph due to delays
British commuters are seeing their drive to work slowed to 15mph thanks to delays on the roads.
Research by Direct Line car insurance found that drivers in Manchester suffered the worst, with average commutes on busy roads taking an hour and 55 minutes to complete a 25-mile journey.
Other cities such as Birmingham and Bradford also fared badly, with drivers hitting an average speed of just 14mph. In contrast, motorists in Glasgow faced the least amount of bottlenecks, managing a speed of 18.7mph even in congested areas.
Steve Price, head of the insurer, said: "Checking your route before leaving home, pre-warning your boss when you know traffic is bad or having a flexible working agreement in place can all help to reduce the stresses and strains of driving to work."
With the Olympics fast-approaching, Transport for London organisation has launched a new "live traffic" website as well as a Twitter feed to warn drivers of possible delays in the city. More »
By Tom Farley, Car Insurance - Mon 30 Jan 2012
Brits: Life is too complicated
Over half the population believe that their life is too complicated, according to research by car insurance firm Admiral.
The company found that 52 per cent of people thought that there was too much going on in their lives. Many have highlighted the strains of managing money and not being able to strike a balance between work and social life. More »
By Tom Farley, Car Insurance - Thu 26 Jan 2012
Drivers urged to be aware of what is covered by insurance policies
Motorists are being advised to check what is covered by their "fully comprehensive" car insurance policy.
The comparison site Moneysupermarket.com has urged drivers to read their protection plan carefully and check the small print for what they are covered for. Officials at the company have said that different policies have varying levels of insurance and motorists need to be fully aware of this.
Research by the AA's British Index Premium Index found that the cost of car insurance premiums had increased by a total of 15.3 per cent for the entirety of 2011 and warned that many companies could raise their prices in the coming year.
Moneysupermarket.com found that insurers may not cover against occurrences such as medical treatment, car replacement or emergency accommodation. It was also found that many do not cover legal fees but it could be added for £25 to £30.
Pete Harrison, car insurance expert at Moneysupermarket, said: "For those drivers looking to take out a new car insurance policy and seeking peace of mind, checking the small print is essential to ensure they opt for a policy that ticks all the necessary boxes." More »
By Tom Farley, Car Insurance - Tue 24 Jan 2012
Unemployed punished with higher car insurance premiums
Unemployed motorists are being charged higher car insurance premiums, according to new research carried out by the BBC.
The organisation asked three major brokers, via the Association of British Insurers (ABI) to conduct research into the high prices of insurance and found that average rates for the unemployed were 30 per cent higher but could rise to 63 per cent.
Officials at the ABI believed that people without a job were viewed as not being able to keep up with the maintenance on their vehicle and therefore were deemed to be a high risk customer.
Graeme Trudgill, from the ABI, told the source: "Our insurance brokers tell us that when they look around, they see some insurance companies don't charge anything if you lose your job, whereas others can charge up to 63 per cent more."
It comes after the AA's British Insurance Premium Index found that car insurance rates rose by 5.4 per cent over the last three months of 2011 adding to an overall 15.3 per cent increase for the entire year. More »
By Tom Farley, Car Insurance - Mon 23 Jan 2012
Car insurance claims of £20m after accidents 'not unusual'
Car insurance claims of £20 million for a single accident are "not unusual", according to a key industry figure at the Association of British Insurers (ABI).
The accidents, that usually involve young drivers, can invoke claims of £20 million the ABI director general told the House of Commons Transport Committee. The organisation said that as many as one in five young drivers have had an accident.
It also claimed that 18 young drivers or passengers die or have a serious accident on the UK roads each day.
Nick Starling, director of general insurance at the ABI, said: "This is a nettle which the government has failed to grasp. They see the young driver merely as a voter. Claims of up to £20 million have been made. It's not unusual to have three or four people injured in a car crash who will need care for life."
The AA recently revealed that car insurance premiums rose again in the final quarter of 2011 with the company's British Insurance Premium Index finding a 5.4 per cent increase over the last three months of 2011. More »
By Tom Farley, Car Insurance - Fri 20 Jan 2012
Car insurance rates rose by the end of 2011
Car insurance rates rose again in the last quarter of 2011 following a brief stall, according to new research by the AA.
The company's British Insurance Premium Index found that there was a 5.4 per cent increase over the last three months of last year. This rise added to an annual increase of 15.3 per cent for 2011.
Simon Douglas, director of AA Insurance, said: "I expected a much smaller rise, especially following the small fall in premiums during the third quarter of 2011. The difference shows that the cheaper deals are disappearing. Young drivers seem to be the biggest losers with a higher than average increase for them."
It was recently found that people were attempting to make fraudulent whiplash claims in order to receive compensation following car accidents.
The Transport Committee called on the government to scrutinise the system within the country in a bid to stop this culture from continuing. More »
By Tom Farley, Car Insurance - Thu 19 Jan 2012
Drivers warned of misleading car insurance
Young drivers are being warned to be extra vigilant when they are buying car insurance after a number of complaints were made about an online motor cover company.
Leicester County Council's Trading Standards highlighted Aston Midshires Insurance, based in Enderby, for selling invalid car insurance policies via the internet. The company had been targeting young drivers looking for a cheap deal.
Motorists with these policies found that when they were pulled over by the police their insurance was worthless. Car owners with this cover also run the risk of prosecution for driving without valid protection.
David Bull, head of Leicestershire County Council's Trading Standards service, said: "Trading Standards has worked with Leicestershire Police to stop consumers being conned into buying invalid and illegal motor vehicle insurance from this business."
Motorists who bought cover from Aston Midshires are being advised not to drive until after they have checked the insurance is valid.
Elsewhere, a recent study by Confused.com found that drivers in Bradford faced the biggest increase in car insurance premiums with policies rising by 17.1 per cent. More »
By Tom Farley, Car Insurance - Tue 17 Jan 2012
Small businesses urged to lease commercial vans
Small business owners are being urged to lease commercial vans as a more "cost effective" option during economic uncertainty.
With the precarious financial situation the country is in business owners are being extra vigilant in how they spend their budgets and van insurance is one of the key concerns.
Officials at the British Vehicle Rental and Leasing Association (BVRLA) believe that company bosses are "confident enough" to rent vehicles if they anticipate new work.
Toby Poston, head of communications at the organisation, said that many firms were apprehensive to invest thousands of pounds on a van but would be open to leasing the vehicle. More »
By Tom Farley, Car Insurance - Mon 16 Jan 2012
Whiplash claims increase car insurance costs
Rising whiplash claims are driving up the cost of car insurance, an investigation by the Transport Committee found.
Members of the organisation are now calling upon the government to raise the threshold of compensation in whiplash cases and crack down on the "no win, no fee" culture in the UK.
Bosses at the Transport Committee criticised the "ambulance-chasing" texts, emails and automated voice messages that two-thirds of Brits receive which encourage people to claim compensation at every opportunity.
Injuries such as whiplash are very costly for insurers to challenge because the diagnosis is often subjective. Despite collision rates in the UK decreasing over 2011 the AA revealed that personal injury claims continued to rise with 70 per cent of those being for whiplash.
Louise Ellman, chair of the cross-party Transport Committee, said: "Insurers, solicitors and claims management companies are driving up motor premiums by encouraging people caught up in road accidents to claim for personal injury, car hire and other legal costs."
The AA recently found that car insurance claims increased by 28 per cent for January 2012 from the previous year. More »
By Tom Farley, Car Insurance - Mon 16 Jan 2012
Rise in fraudulent claims on car insurance
Doctors have reported a rise in people attempting to claim compensation on their car insurance from exaggerated or invented injuries.
Research by LV= found that almost two-thirds of GPs (60 per cent) saw an increase in the last two years of people feigning injuries to claim a fraudulent pay out on their insurance policy.
Nearly nine out of ten (87 per cent) GPs say at some point they have seen someone who was completely making an injury up and almost all doctors interviewed (96 per cent) said they have been visited by someone they thought was exaggerating an injury.
In the past three years, LV= car insurance has seen an increase in the number of whiplash claims where the circumstances were deemed to be suspicious and estimates that 15 per cent of whiplash claims received in 2011 were potentially fraudulent.
John O'Roarke, managing director of LV= car insurance, said: "Attempting to make a compensation claim when you do not have an injury is against the law and could lead to a hefty fine or prison sentence."
The AA recently reported that car insurance claims have increased by 28 per cent for January 2012 from the previous yea More »
By Tom Farley, Car Insurance - Fri 13 Jan 2012
Bradford motorists face car insurance hike
Motorists in Bradford are facing the biggest increase in car insurance, according to new research by Confused.com.
A survey carried out by the website along with professional services company Towers Watson found that drivers in the Yorkshire town were subject to a 17.1 per cent increase on their comprehensive car insurance premiums in 2011.
Results showed that nationally premiums went up by 4.9 per cent, with the average cost of a comprehensive policy at the end of 2011 standing at £844.
Whilst prices in Bradford increased motorists in Scotland saw their premiums drop with the biggest fall being in Falkirk where insurance rates decreased by 4.6 per cent.
Gareth Kloet, Confused.com car insurance head, said: "In 2012 we can expect to see new factors affecting car insurance prices, such as the introduction of EU legislation due at the end of this year, meaning that insurance cannot be priced according to gender."
After storms hit the country in the New Year car insurance claims have increased by 28 per cent for January 2012 from the previous year, according to the AA. More »
By Tom Farley, Car Insurance - Thu 12 Jan 2012
Car insurance claims up by 28%
Car insurance claims have increased by 28 per cent for January 2012 from the previous year, according to the AA.
The company has highlighted the severe storms that hit the country as the main reason for the surge in claims. Officials at the broker recorded 991 claims over the first five days of January and have said that scaled up, the equivalent of over 5,600 car insurance claims nationally could be related to the weather.
Scotland was the worst hit as gales of over 90mph were recorded in the region and resulted in a 65 per cent rise in claims between January 1st and January 5th. The number of claims is also higher than the first five days of 2010 when the country was blanketed by snow.
Simon Douglas, director of AA Insurance, said: "Several customers had their car door whipped out of their hand by a gust of wind, breaking hinge mechanisms, smashing glass or damaging a vehicle parked in the next space." More »
By Tom Farley, Car Insurance - Tue 10 Jan 2012
Motorists told to 'shop around' for best monthly car insurance
Last year saw the cost of running a vehicle become more expensive than ever before and now drivers that want to pay for their car insurance monthly are being urged to shop around.
Many motorists that want to keep their budgets manageable by paying monthly are being told by Moneysupermarket.com that failure to identify the best option could prove as costly as a normal premium.
A survey by the company found that out of 10,000 respondents 42 per cent of people blamed high petrol prices for spiralling running costs.
Pete Harrison, car insurance expert at the price comparison site, said: "Running a car isn't cheap, made worse by the rising fuel costs we have all had to find the money to cover. Paying a high premium upfront for car insurance can be another huge strain on your finances so paying it monthly in smaller, more manageable amounts is a good way of making your insurance easier to afford."
The AA recently reported that due to the storms that are currently battering the UK there has been a surge in car insurance claims. More »
By Tom Farley, Car Insurance - Tue 10 Jan 2012
Brits live in fear of car theft
British motorists are living in fear of having their car stolen or broken into despite vehicle crime dropping over the years.
According to a poll by car insurance company Admiral, commissioned by YouGov, 74 per cent of people surveyed were worried about their car being subject to crime. It found that drivers in the East Midlands and Yorkshire were the most concerned with 80 per cent of motorists being in fear of vehicle theft.
However, Admiral also found that the number of cars that were stolen or broken into fell in the past decade. In 2011 0.16 per cent of motorists insured by Admiral had their car stolen compared to 0.54 per cent in 2001.
Dave Halliday, Admiral managing director, said, "This anxiety could be linked to a general sense of unease about the state of the country and the economy in particular, our cars are after all, one of the most valuable things we own.
Derbyshire police has urged people to be extra vigilant after a driver had his vehicle stolen whilst he was delivering packages to nearby homes recently. More »
By Tom Farley, Car Insurance - Mon 9 Jan 2012
Drivers urged to check their breakdown cover
Drivers are being urged to check breakdown cover on their car insurance during the unsettled winter weather.
In the past weeks the UK has been subject to severe gales and a number of localised flooding alerts and insurers are advising motorists to make sure they have adequate protection should the worst happen.
The Met Office has issued prolonged weather warnings across the country with the uncertainty set to continue.
Confused.com is urging drivers to consider putting breakdown cover in place, as the winter get colder and road conditions deteriorate. Breaking down without cover could cost a driver hundreds of pounds to be rescued.
Gareth Kloet, head of Confused.com car insurance said: "Extreme weather can make any car journey difficult, so it's always best to be prepared. Colder winters and more extreme weather makes getting breakdown cover beneficial. The consequences of going without cover include facing a long wait in the cold; and could be a very expensive and inconvenient alternative." More »
By Tom Farley, Car Insurance - Mon 9 Jan 2012
