Car Insurance Service

Proposed changes could result in lower car insurance premiums

 

Summary

Personal injury claims have made a huge contribution to the ( home insurance ) increase in car insurance premiums over the years. Proposed changes could end this practice, as this article explains.

 

Author: Anna Richardson

At the moment, the legal system in Britain forces all

Japanese Motor Car Import Insurance
If your car has not been manufactured for the uk you may as well have problems getting insured. But there are specialist policies available.
Car Insurance. How can you lower your premiums?
A wide range of aspects affect the cost of your car insurance some you can influence and some you cant. This article introduces the reader to 9 aspects within their control and recommeds the Internet as a way of getting an overall discount.
18 Tips for privately buying a second hand car
Avoid the pitfalls when you buy a second hand car in the UK. This article tells you how.
Car Insurance. Uninsured cars to be crushed
Uninsured drivers are having their cars confiscated and crushed. Harsh treatment? This article thinks not!
Car Insurance. Its getting increasingly expensive when youre elderly.
If youre an elderly driver or a member of your family is an elderly driver, this article explains the problems youll discover when trying to find car insurance and some useful advice on what to do.
Car Insurance. Bad eyesight threatens your insurance cover.
You're in trouble with the Law and your insurer if your eyesight isn't up to standard. This article explains.
Life Insurance News
personal injury claims to go through the courts and be judged on an individual basis. Many ( remortgages ) of these claims crawl through the courts at a leisurely pace, the result being expensive court costs. Even worse, for every £1 that is paid out in compensation, it has been estimated that the legal profession receives 40p for their legal work. This amounts to the British legal profession receiving an estimated £2 billion a year just from personal injury claims – unbelievable isn't it!

The insurance companies have to cover these costs, ( cheap car insurance ) and it's costing them so much that it has been estimated that for every car insurance premium, around £200 of it will be going towards paying these personal injury claim legal costs.

The Association of British Insurers has decided to step in and bring this practice to an end, and has made a proposal. The ABI wants ( best mortgages ) personal injury claims to be settled by an independent arbitration system, instead of by the courts. It would work by setting compensation payouts for set types of injuries, a system that has been operating successfully in Ireland since 2004. There, legal costs have been lowered by three quarters.

Click here for part 2