Auto insurance: will you have for that nasty surprise?
When your car or truck insurance renewal letter next hits your step, you might be in for a nasty shock.
Costs have risen even to another high, using the Association of British Insurers (ABI), which says average premiums now stand at 481, up 9% around the previous year.
Meanwhile, the AA now stated that, as outlined by its study of “shop-around prices”, premiums rose 2% during 2017 and today stand at an average of 666.
The ABI said the figures it quotes, depend on the very last three months of 2017. It was the eighth successive quarter in which premiums have risen. The AA is warning they seem set to keep this holiday season.
The price disparity backward and forward reports is that the ABI discusses what people actually pay, although the AA blogs about the prices quoted, which, as an average, will often be higher.
One thing is certain: a lot of people shall be paying more in 2018.
The AA says young drivers (aged 17-22) keep face the highest premiums C typically, 1,625.
Young men still pay higher premiums than younger ladies, reflecting differences in car choice, mileage and occupation, it says.
The north-west would be the costliest region to insure C average quoted car premiums now are 916. That is pursued by Northern Ireland at 885, while London comes third at 833. Scotland would be the cheapest place.
Overall, the blames a series of rises in insurance premium tax C which now stands at 12% C plus government changes to your so-called “Ogden” discount rate which affects the volume of compensation insurers spend following big crashes, though these have not yet be given force.
The Secretary of state for Justice has additionally announced numerous reforms to whiplash-related claims in an attempt to reduce fraud.
Rob Cummings, the ABI’s assistant director, says: “The rising expense of car insurance policy shows no indication of abating.
“Changes to how compensation payouts are calculated, insurance premium tax, more whiplash-style claims and rising repair bills, are piling within the pressure for cash-strapped drivers.
“The government must urgently bring forward relief for motorists. It’s time cash-strapped motorists have a break.”
He adds most insurers are currently generating a loss on motor policies.
