Criminal Convictions: Car Insurance

Driving a vehicle without adequate insurance makes headlines often enough. What do we understand about it?

 

The cost to the motor insurance industry for uninsured drivers and fraud runs into the billions. The rising cost of whiplash claims increases by 30% per year and as a result this is adding around £100 to each and every policy according to actuary reports.

 

The rapid rise in motor insurance premiums generated by insurers to help pay for the rising cost of claims, which are inflated by around 30% by the use of claims management companies (CMC’s) are at risk of pricing out certain groups of motorists, especially those with motoring criminal convictions. In Scotland on the other hand the number of personal injury claims is around half of that south of the border, as the use of CMC’s is restricted.

 

The government and industry are developing programmes to heighten awareness for third party cover and looking to improve the time taken to uplift information to the Motorist Insurance Database (MID). 

 

Lord Justice Jackson has produced a report labeling referral fees as “abhorrent” and one of the main reasons people are put through the personal injury process. The Jackson Report has suggested ways in which the government can legislate and tackle the issues head on.

 

BIBA and the ABI have responded by endorsing many of the proposals including heavier fines and penalties for driving without car insurance. 

 

On behalf of our customers, SIS Insurance urges the government to cap the increasing cost of insurance with effective legislation to control the legal system and the many, many so called “ambulance chasers” encouraging insured and sometimes uninsured drivers to pursue low velocity injury claims.

 

 

We also offer specialist home and liability insurance for ex-offenders.  Please make your selection from the links below, call us on 0161 969 6040 or fill out our contact form and we will get back to you with a quote.