Press Release: AJAG research challenges insurance premium increase figures
Press release: immediate
AJAG RESEARCH CHALLENGES INSURANCE PREMIUM INCREASES FIGURES
In research published today, the Access to Justice Action Group (AJAG) challenges the figures that are frequently cited for increases in motor premiums.
Calculated on the ABI’s own statistics, AJAG have established that based on the premiums actually paid by motorists, as opposed to premiums quoted to them, the actual increase from 2003 to 2010 was only 4.8% in total for cars and motorcycles. If the figures for commercial and other vehicles are added, insurance costs actually fell by 3.3% (research, methodology and sources attached).
AJAG co-ordinator Andrew Dismore said:
“The ABI have long been pronouncing that insurance premiums have been sky- rocketing, as part of their campaign against those seeking compensation for road accidents. It now seems the true picture might be rather different. In fact, for three of the last seven years, premiums overall actually fell.
Of course, many people will have seen their insurance rise steeply, and unsurprisingly and understandably they complain about it. However that is not the whole picture. Others will have seen far less steep increases, some will pay the same and even others less.
Averaging the number of insured vehicles over the whole of insurance premium income paid (as opposed to quotes), we see a much clearer picture as to what has been going on.
The debate around the current Bill to restrict the rights of accident victims needs to be conducted with the most accurate and best evidence available, bearing in mind how important the issue is, rather than the ABI’s untested assertions”.