The Government is planning to investigate the lack of discount car insurance in the UK, and drivers that are struggling to stay afloat through the rocketing motor car insurance costs could stand to benefit, industry experts say.
In the face of further increases to car insurance rates in the UK, MPs have come forward with an announcement that they intend to reopen an inquiry in order to help financially strained motorists. The investigation, which was originally launched in March of this year, is now set for an exploration of the reasoning behind the rampant increases, in addition to the impact they have had on the vehicle owners of the nation.
Former foreign and home secretary Jack Straw will be giving evidence during the investigative process regarding how millions of motorists across the UK will be affected by the ongoing issue.
Loise Ellman, investigative committee chair, stated that the former home secretary’s research will contribute quite powerfully to the debate. The chair additionally said that the committee will seek to hold both the government and car insurance companies to account while they listen to what Mr Straw has to say.
The inquiry’s launch was spurred by new statistics recently published by the AA’s insurance arm which indicated that premium costs in 2010 rose by a factor 0f 29.9 per cent. Many insurers have laid the blame squarely on dishonest motorists, claiming that the number of uninsured motorists who cause accidents in the UK is simply too high.
Fraud has been another key issue for insurers as well, as official figures indicate that the number of yearly road traffic accidents is at a record low, while accident claim rates have rocketed.