Your car insurance could be about to get even more expensive again, despite data proving premiums fell in the final quarter of 2012.
Cover costs are set to increase due to the rising price of “insurers’ insurance” – the premiums motor cover companies have to pay to secure themselves against payouts
This re-insurance, as it’s also known, has resulted from escalating fraudulent whiplash claims proving a slow drain on resources, as well as the increasing frequency of genuine payouts for individuals with life changing injuries following a crash.
One such case – the largest recorded in the UK – occurred last year when a 17-year-old girl was awarded a £7.25 million lump sum, supplemented by £270,000 per year for the rest of her life.
Court judgements such as these have meant insurance companies’ cover has increased, passing the inflated cost onto the consumer in the form of elevated premium prices.
With a new EU gender equality insurance ruling coming into force in December last year bringing female insurance prices into line with those for male drivers, it could be more bad news for women drivers.
Insurance broker Wills Re is predicting the UK motor insurance sector will be the hardest hit from this re-insurance rise, with up to a 10% increase in cover costs likely for car owners.
Do you have an opinion on the rising cost of car insurance in the UK? Why not let us know below?
NEARLY 6,000 DRIVERS DISQUALIFIED FOR POOR EYESIGHT
Close to 6,000 drivers had their driving licences rescinded in 2011 as a result of poor eyesight, according to new Department for Transport figures.
5,285 permits for car and motorbike pilots, and 685 for lorry and bus drivers were cancelled over the 12-month period, marking a 10% jump over 2010’s figures of 4,906 and 493 respectively.
Drivers are required by law to be able to read a standard UK number plate from 20 metres away with corrective spectacles or contact lenses, but despite this mandatory part of the driving test in Britain there are no follow up eye examinations.
Thankfully, the majority of the 5,970 total voluntarily gave up their licences to the Driver and Vehicle Licencing Agency, informing the organisation that they thought they were no longer fit to drive due to poor eyesight.
It’s feared that as the UK population becomes more skewed towards the older end of the scale – with more people living and driving for longer – that driving standards and road safety could be affected detrimentally.
However, the police do have the power to stop a vehicle and perform an on-the-spot driver sight test if the officer in question believes limited vision is causing erratic driving.
Do you think there should be a mandatory eye test for all UK drivers? We want to hear your thoughts below.