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Vehide insurance levy is threatened

6th April 1989, Page 8
6th April 1989
Page 8
Page 8, 6th April 1989 — Vehide insurance levy is threatened
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Which of the following most accurately describes the problem?

• Vehicle insurance policies could cost more if the Lord Chancellor gives the go-ahead for a proposed levy to compensate for minor injuries sustained in road accidents.

The levy, designed to meet the cost of legal actions, would also speed up settlements, say its backers. A ceiling of £1,000 on pay-outs has been suggested which will avoid affecting the cost of insurance premiums too much.