by Auto Insurance
leave a comment
Car Insurance and It’s Political Storm
Car 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.”
by Auto Insurance
leave a comment
Car Insurance Gender Gap is Now Over
There 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.”