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No rise in CV premiums
Page 13
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A HAULAGE insurance firm has played down suggestions that premiums will rise following Norwich. Union's decision to increase charges for car insurance.
Norwich Union. one of the country's largest insurers, has warned that car insurance will rise by an average of 16% because of the soaring cost of claims, and it has urged other motor insurers to follow suit.
Direct Line has already stated that it thinks that current car insurance prices are "unsustainable".
But Alan Burley, who owns the truck insurer Burley ciroup,says it is unlikely that prices will increase for operators. He points out that car insurers regularly operate at a loss, which is not the case for transport insurers.
The Association of British Insurers says the price hikes are inevitable for car drivers because of the increasing number of road traffic accidents combined with a rise in the number of uninsured drivers as well as insurance scams in which criminals force accidents to happen in an effort to extract personal injury payouts from insurers.
• Sec page 30 for a CM investigation MI° these scams.