Motor insurance prices drop
Over the last few months insurance companies and their customers have seen a significant drop in the price of motoring cover as a result of new rules.
The rules which aim to tackle the culture of 'no win, no fee' claims firms are finally starting to take affect and customers are reaping the benefits. The cost of a fully comprehensive car insurance policy has dropped by almost 10 per cent, which is the biggest drop since the AA started recording premiums. Third party, fire and theft policies have also seen a decrease in price of nearly 5 per cent.
The 'no win, no fee' claims companies have steadily increased motor insurance prices through the sheer number of claims they put through, some of them fraudulent. Now with the stricter rules these companies are finding it more difficult to put through their claims. Also the introduction of the Gender Directive back in February; stopping discrimination between men and women drivers is also believed to have had an effect on premium prices.
Despite these falling prices though, car insurance is still twice the cost it was 6 years ago.
08.08.13 - MCE Insurance