Car Insurance and It’s Political Storm

Car InsuranceCar insurance premiums have been on the rise for quite some time and as a result of this, political storms are now brewing all across theUnited Kingdom. With this in mind, it is wise for any motorist to scour the market and search for a deal that is not too incredulously exorbitant.

Lately, car insurance factors and costs have become the highlight in political debates and battles. In lieu with the information released by the Automobile Association, the cost of car insurance premiums has been on a steady rise, with no intention of backing down. Because of this, young drivers have been suffering with outrageously hefty costs.

Members of Parliament have placed a ban on the practice going on between car insurance companies and personal injury lawyers. This practice is referring to the exchange of referral fees for customer details. Personal injury lawyers offer referral fees to car insurance companies for customer details like the name, address, car accident details and other pertinent information. Once the personal injury lawyer has hold of this information, they will then force the customer to make a claim, whether or not they were truly inconvenienced by the accident. According to the MP’s, it has been this practice that has been the cause for excessive car insurance claims over the last few years. And, as a result, it has also been the cause for excessively high car insurance premiums.

Early this year, car insurance companies have entered the limelight of the Parliament because of their charges to the unemployed. According to several researches conducted for this matter, car insurance companies charge jobless drivers by more than 60% on top of their average car insurance premium. According to the parliament, this is an unfair ruling because unemployment in theUnited Kingdomis at its highest since 16 years ago. Now, more than ever, the unemployed need a break from this entire economic crisis.

In their defense, the Association of British Insurers said that the cause for rising up premiums for the jobless is because of the risk that they present while driving. Also, all of their data is based upon fact and actuarial data that they gathered and studied throughout the years.

As a representative for the Association said in an interview, “We really do understand that higher car insurance premiums for the jobless can cause complications or difficulties to drivers. However, we have based the premium on the risk that they present. And the fact that they are unemployed acts as a quantified factor in assessing their risk and car insurance premium.”

22% of Drivers Do Not Know What Their Dashboard Symbols Represent

Car Insurance RatesRecently, there have been a lot of surveys and debates going on in order to relieve British motorists of staggering car insurance costs. With the several government-mandated changes in car insurance regulations, it is not surprising to find car insurance providers stepping up to help the government find a solution to this increasing social problem.

One of the largest car insurance companies in theUnited Kingdomhas added themselves to the roster of car insurance companies searching for an answer. According to their latest research, almost ¼ of their 1000 survey participants admitted to have no idea on what the symbols on their dashboard are.

The survey surveyed if the 1000 car insurance policy-holders were capable of identifying the signals and symbols on their car’s dashboard. A whopping 220 participants or 22 % confessed to find dashboard symbols and signals mind boggling.

Some of the signals and symbols that were included in the survey were the electric power steering symbol, the engine overheat symbol and the tire pressure monitor.

Unsurprisingly, the majority of motorists that were unsure of the symbols were female drivers. Next to the women were young male drivers. The most knowledgeable drivers of dashboard symbols and signals turned out to be the older male motorists.

On another note, drivers who only used the main insured car from time to time were more likely to be incapable of identifying dashboard symbols in comparison with the main driver. Also, the car insurance company found out that about 10 % of motorists only investigate a dashboard signal one week after it had first flashed.

This car insurance survey was also able to bring to light the fact that some motorists have trouble deciding on which symbol is which. The percentage of motorists that were not able to identify the fog light was at 8 % while the drivers that were not able to identify the rear window heater were at 6 %.

A representative of the car insurance company has highlighted the fact that, “As vehicles become more and more complex, the number of hazard lights and other symbols that appear on the dashboard also increases. It is significant to have every driver recognize these symbols and understand what it represents. This way if ever a warning signal will ever appear, the driver will be able to check it out immediately. Driving about on British roads with a fault can cause a lot of long-term damage to the car, to property and to innocent people. This will simply lead to increased and unnecessary car insurance claims”.


Top 10 Locations that are Favored by Bogus Car insurance Claimants

Car insurance ClaimantsFraudsters who make false claims on their car insurance schemes have now become a huge issue because they are now hitting the rural areas as well. These schematic people who cause fake car accidents in order to make an insurance claim are not only an irritating actuality to car insurance providers, but they are also endangering the lives of other motorists.

In order to pull through their plan, the most common tactic that they use is to make unnecessary stops at busy round-abouts or slip roads. Hence, other motorists who are quietly making their way are being forced to crash into these schematic motorists.

Once the accident has been caused, these car insurance policy holders will then make bogus claims using fictitious information.

One online car insurance company has made an analysis to this recurring and progressing problem. And according to their research, they have now come up with the top 10 most preferred locations in theUnited Kingdomto carry out their fraudulent scams.

These are the top 10 car crash hot spots:

  1. North Orbital RdatLye Ln
  2. A406 Eastbound Junction nearAbbey Rd
  3. A5 Dunstable Rd Junction near B4540 Lynch Hill
  4. A40 Intersection or more popularly known as Hanger Ln Gyatory
  5. OldhamBypass &Manchester Rd
  6. BoltonM61 Junction Four
  7. Chester Rd,Birminghamnear the junctionHobs Hole Ln
  8. Woolston Grange Ave,Warrington
  9. A10 / A121 Roundabout
  10. A4177 Honiley Rdgoing towardsWarwick

The Head of Counter Fraud Operations at the car insurance company that held the analysis, Paul Hubbard, has mentioned that, “Fraudulent claims really do pose a huge risk to the public’s safety.”

“Apart from adding to car insurance costs, it is these fraudulent claimants that delay the pay-out on authentic claims because accidents need to undergo additional investigations.”

When further asked, he also said that “Our own investigation procedure lets us pinpoint the areas of concern and these top 10 rural areas are only a small; percentage of the data that represents the whole insurance industry.”

One main issue with false claims is that they do not only affect the car insurance company. They also affect honest motorists whose car insurance costs are going up because of these false claims.

According to the Insurance Fraud Bureau, they have estimated insurance companies to be paying out fraudulent car insurance claims at £ 350 million per year. If this is the case, honest customers have been shelling out £ 4 million per week to pay for these bogus claims.

Avoiding an Insurance Claim this Winter Season

Once the snowflakes start falling, winter is inevitable. However, as much as we may find a winter wonderland whimsical, this is the season to be careful. According to one of the largest insurance and financial organizations inCanada, snow-laden roads are a huge contributor that results in tragic accidents. Hence, if there is a soar in accidents, there will also be a huge increase in car insurance claims.

TD Insurance Company is one of the largest insurance and financial companies inCanada. And, according to their data, an increase in car insurance claims during the snowy season is not unusual.

While the best probable solution in avoiding car accidents during this season is to stop driving altogether, it isn’t quite an option. Many people brave the roads everyday to go to their jobs and they have started to get creative in their driving. When the windows start steaming up, they use their coats to clear up the windshield. However, are these creative driving tactics the best strategy?

The Vice-President and Chief Underwriter of TD Insurance, Henry Blumenthal, have given out some tips to motorists who constantly brave the chilling weather. With the awareness of how to weather the most piercing of winter storms, motorists can avoid making unwanted insurance claims.

According to Henry Blumenthal, there are three basic steps to follow. These are to prepare an emergency driving kit, purchasing winter tyres and to always be prepared.

Prepare an Emergency Kit – Since the winter season can bring down tons of snow, an emergency kit should be assembled. Part of this kit must be a snow shovel, snow brush, booster cables and window scraper. Also, candles, matches, blanket and an extra coat must be prepared. In addition to this, kitty litter is also a good alternative if ever there is a scarcity of road salt.

Winter Tyres are Vital – winter tyres may be expensive but high quality and well inflated winter tyres are capable of giving your car a better traction against snow-laden roads. Also, winter tyres can also help you be more fuel efficient. It is important to check the tyre pressure frequently especially before going for a drive.

Bracing up against the Season – Road conditions must always be checked and verified. This way when you are about to head out on the highway you would know which routes to avoid and which roads to utilize. With these three basic steps, you are ready for the worst the winter season has to offer. Not to mention saving on your insurance premium because of an unanticipated accident claim.

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