Car Insurance Industry Accepts the Help of the British Government

Car Insurance IndustryWith unstoppable car insurance premiums rising concurrently, it is just about time for the government to interfere and help ease out the situation for British drivers. However, Prime Minister David Cameron did not enter the picture because of the mere costs of car insurance coverages. After the UK was dubbed the ‘Whiplash Capital of Europe’, insurance company heads and pertinent people in office were called upon for a car insurance summit that will discuss and evaluate the overall situation regarding whiplash injury claims.

According to a recent release on 20 February, the car insurance summit took place at Downing Street. And aside from talks on issues regarding bogus whiplash claims, the rising costs of car insurance were also tackled. With a 30 % increase in car insurance payments over the last three years, it is just about time for the government to butt in.

One of the pertinent people in office who were present at the car insurance summit was Justine Greening, UK Transport Secretary. According to the secretary of transport, “With the excessive number of whiplash claims made on a daily basis, the UK is surely the whiplash capital of Europe”

PM David Cameron, on the other hand, has heatedly discussed the situation within the car insurance industry and had vowed to put a stop to all of these excessive bogus and trivial injury claims within the United Kingdom.

A lot of things were tackled during the car insurance summit at Downing Street. One of the most relevant topics was the issue of too many personal injury cases within the UK. The summit also tried to create solutions so that these numbers would be reduced. If this would be acted out appropriately, then there is a great possibility that the prices of car insurance coverages would then follow. One of the most promising solutions that the summit has come up with is the introduction or establishment of providing legitimate medical records to prove that an injury truly was gained from the collision. However, instead of only supplicating one medical record, two medical certificates were needed.

One particular car insurance expert was quoted saying, “I believe that this summit is a positive move. After all of these solutions would be introduced to the motoring public, it is most likely that ever inflating insurance premiums would eventually be lowered.”

Car Insurance Gender Gap is Now Over

Car Insurance Gender GapThere has been a lot of discussion regarding the EU ruling of gender discrimination when it comes to calculating car insurance premiums. Lately, a certain car insurance comparison site has questioned the overall impact of this ruling. This is due to the fact that car insurance premiums will start to look steeper for women, as compared to men. With the EU ruling being set in December 21, 2012; women can expect their next Christmas to be an expensive one.

In relation with this ruling, the car insurance comparison site has gathered all data regarding insurance pricing for women. With data gathered from two years ago, the comparison site doubts that women will just be slightly affected by the EU ruling.

The research that they have gone ahead with suggests that young female drivers getting cheap car insurance quotes will now be a thing of the past. In lieu with their research, they have analyzed profiles of a male and female driver, both at 20-years old. According to their research, the pricing gap between men and women is gradually closing.

Upon data analysis, it can be seen that a 20-year old driver is no longer expected to pay a considerable amount on their car insurance premium as compared to a female counterpart. During the first half of 2010, the difference between male and female insurance pricing was at 16%. And, by the last half of 2011, the difference between the two was only at 2%. This simply shows that the gap between car insurance calculations is now almost equal. Interestingly, it can also be seen that the majority of this gap was simply due to the gender pricing that car insurance companies used to follow

Another research seems to reinforce the initial results that have been revealed here. This is because of the year-after-year inflation that affects both male drivers and female drivers. However, whereas male drivers would be experiencing an increase of about 14 %, female drivers would be experiencing an increase of up to 24 %.

Based on what a car insurance expert said at the car insurance comparison site, “There have been a lot of debates and discussions when it comes to the EU ruling. Due to this ruling, cheap car insurance premiums for female drivers are finally put to an end. After analyzing thousands of driver profiles and car insurance quotes, our research seems to suggest that the gender pricing gap regarding car insurance payments is over.”

 

 
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