Auto Insurance Pricing Goes Way Up

 
Those drivers living in the United Kingdom are not especially thrilled with the offerings that their country has for them when it comes to auto insurance. According to the Automobile Association, Ltd. they have seen their auto insurance premiums increase drastically over the second quarter of the year. The average premium went up at least 12% over the previous year’s auto insurance rates.
 
According to the company, this is the fastest rate that auto insurance premiums have ever climbed – and says that it is in response to increasing auto insurance claim costs and low investment returns. They said that comprehensive auto insurance – which is for damage to insured’s car as well as damage to the other car – went up 12.1% to roughly $1,507 a month in US dollars. They said that the auto insurance companies have seen such a large amount of claims and they have gotten so little back from their investments that they had to pass on more of their expenses to their insureds.
 
They also said that third party, fire and theft cover went up 15.8% to 1,225 pounds. They said that much of this has to do with people who would never have submitted a claim before for a minor injury or damage – and now with “unscrupulous accident injury claim lawyers” pushing them to file auto insurance claims they are seeing many more than they have ever seen before. They said that these additional auto insurance claims are causing premiums to go up at a much higher rate than they have ever seen and unless something changes, the next quarter they will see another increase.






 

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