February 23, 2009
Cash for crash
Story link: Cash for crash
This is a roundabout that is spiraling out of control. Insurance companies need to make their money, while motorists need cheaper insurance. Motorists expect to get cheaper premiums but they rise for no apparent reason while Insurance companies get bogus claims so have to put all customers’ policies up.
Incidents like this are nothing new, and if insurance companies charge so much, then what can they expect.
Swinton, the UK’s leading high street retailer of car insurance, is warning motorists about a new scam designed to defraud insurers out of thousands of pounds.
The scam involves criminal gangs intentionally staging road accidents, usually by slamming on their breaks causing an innocent driver behind to shunt into them, and then making dodgy insurance claims for personal injury and damage to their vehicle.
Car insurance – Up and Down
Story link: Car insurance – Up and Down
Insurance companies are constantly changing their pricing structure around to suit themselves; this is mainly due to the fact that they take into account not just total claims, but their current operating costs as well. If insurers want to stay ahead of the game this year, then they will want to start chopping their prices back slightly.
Recent figures have revealed that car insurance premiums fell by more than 3 per cent, in the last six months of 2008.
Car insurance provider, Sainsbury’s Car Insurance, found that the average motor insurance premium, in June 2008 was, £514.16, which is 3.1 per cent higher than the figure in December of the same year at £498.22.
Motorists cut back on Car Insurance
Story link: Motorists cut back on Car Insurance
Motorists are choosing the cheaper option of Third Party, Fire and Theft, rather than fully comprehensive. The third party option will not cover the drivers own care, but will cover damages to any other vehicle.
The last few months has created a huge financial struggle, which has made around 10% more people choose this option.
Motorists cut back on Car Insurance
Cash-strapped motorists are cutting back on comprehensive car insurance to drive down costs, it was revealed.
In the last 12 months, there has been a 10% increase in the number of drivers choosing third party, fire and theft cover rather than comprehensive when they renew policies, insurance company Swinton said.