With the continuous increases in car insurance premiums, British motorists are gradually being forced off the road. It is because of this fact that the British government and various motoring committees have decided to place their heads together in order to find a solution.
As of a recent date, it has been decided that a cross government campaign is quite necessary in finding a solution to drive down the staggering costs of auto insurance premiums.
The Transport Select Committee chairwoman, Louise Ellman, has reiterated the fact that motorists are slowly forced from using their vehicles on the road because they can now no longer afford to do so.
Labor Members of Parliament have told the House of Commons that car insurance premiums continue to rise despite the fact that safety measures have been installed. One clear cause of blame was personal injury fraudsters and claim management firms that play a huge role in increasing costs for car insurance.
Louise Ellman has mentioned that, “One particular car insurance company has made widespread surveys throughout theUKand the quoted car insurance premiums have doubled compared to the premiums 5 years ago.”
The average premium that has been reviewed was seen to be at £ 920 while auto coverage premiums for young male drivers are at nearly £ 3,000.
One fact that was stressed on by the chairwoman of the Transport Select Committee was the rates that have been soaring forward despite the fact that there have been plenty of improvements in terms of the roads, car safety and other safety precautions.
Fraudulent claimants and claim management firms forcibly encourage motorists to make multiple claims. It is because of this that theUKgovernment has been looking into abolishing client referral fees that claim firms pay out to insurers.
According to statistics and extensive research for this governmental campaign, it has been made known that fraudsters and claim management firms have been causing an additional cost of around £ 80 to honest motorists. If this may go on, motorists who actually have an insurance coverage may be forced to cut their insurance policy and file their car as an ‘off-road vehicle”.
Also, to those drivers who will be caught driving without an insurance coverage, they will be receiving much more than just a measly fine.
Conservative MP, Karl McCartney, has demanded legal action to be enforced in regards with uninsured drivers. This is because of the fact that since they have only been shelling out low fines, they have not become inclined to apply for a car insurance policy. Hence, uninsured drivers will most likely expect a larger fine and heavier verdict.
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