The cost of car insurance has fallen sharply in the past year, according to figures published by the British Insurance Brokers’ Association( BIBA).
It said motor insurance premiums had fallen by 5.6pc, BIBA claim car insurance costs are 7pc less, in real terms. Car insurance costs are now reaching similar levels to early 2010.
The Ministry of Justice banned referral fees in 2013 for personal injury claims to tackle “ambulance-chasing” firms. Together with a crackdown on false car accident claims, this has led to a reduction in costs
A crack down on uninsured drivers means the number has fallen 40pc since the peak – another reason for falling costs. These are often young, inexperienced drivers, who account for a large percentage of car accident claims.
Motor insurers divided on proposals for whiplash ban
Insurers will be banned from settling whiplash claims without the “victim” undergoing a medical examination, under proposals published yesterday by MPs. Proposing the ban on whiplash payouts without medical evidence, the committee’s chairwoman, MP Louise Ellman, said: “Further action is still required to tackle fraud while protecting genuine car accident claims.”
The number of dishonest insurance car accident claims topped 59,000last year, according to the Association of British Insurers. In a damning report, the Commons Transport Select Committee said motor insurance was a “highly dysfunctional market” in which insurers push for profits had led to higher prices for consumers.
Organised gangs are behind half of all the fake motor injury claims Aviva
Insurer Aviva claims data shows that fraudulent car accident claims – accidents deliberately caused in order to claim for whiplash compensation – increased by 51 per cent in 2013.Organised gangs are behind half of all the fake motor injury claims Aviva uncovers. Tom Gardiner, head of claims fraud at the firm, said: “Fraudsters are prepared to put the safety of innocent motorists and their families and passengers at risk for their own personal gain.”
New fresh research published today suggests that “white van man” is becoming the main target of criminals causing car accidents, to gain fraudulent accident claim compensation. Vans have been involved in almost a third of all deliberate accident claims caused by the gangs in a trend that has emerged in the last 12 months, reported anti-fraud firm APU.
Fraudsters target professional vehicles like vans because they are most likely to be fully insured and their drivers are often working to a tight deadline and are therefore less likely to dispute a car accident claim.
Calls for drink-drive limit to be reduced
Tough new rules on drink driving could see UK drivers over the limit after just one pint.
The current limit in the UK – 80mg of alcohol per 100ml of blood – is one of the highest in Europe. The All-Party Parliamentary Group on Alcohol Misuse presented 10 recommendations to the House of Commons earlier this week.
As well as reducing the legal drink drive limit, the group also wants the introduction of health warnings on alcoholic drinks labels, a mandatory minimum price per unit for alcohol and tighter regulations around the marketing of alcoholic drinks.
Men in their 20s most likely to be disqualified from driving
Male drivers aged 25 make up the greatest number of disqualified drivers with over 3,400 serving a ban. In contrast, only 454 are female. Just over a third (31,688) of the total number of men disqualified during this period were between the ages of 20 and 30.
Overall, the results show male drivers considerably outnumber females when it comes to getting a driving ban – only 15% (13,481) of the overall total were female drivers.