Cheaper Motor Insurance

Motor insurance is very likely to become to become cheaper very soon under changes which have been put forward. This will affect the way that personal injury claims are settled.

In the past, motor insurance companies would usually settle these personal injury claims in court. This would cost an average of £1.5 to £2 million every year in legal fees and more with other connecting costs.

There has been a scheme in Ireland which is quite similar to this. This has enabled the cutting down of claims costs by 75 per cent. In addition to these cuts, there has been a huge reduction in court battles which can stretch for months. Lawyer fees have also been of the decrease.

Claims for personal injuries cost the motor insurance industry around £10 billion every year. The growth of these claims has meant that some car insurance companies have had to rise up the cost of their premiums in recent years. Companies such as Insure Your Motor have been level headed about this.

For every £1 of compensation, motor insurance firms now pay 40p in legal bills.

There isn't much doubt that the towering cost of personal injury claims has been a momentous contributor to motor insurance quote price rises. Working towards getting these under control, premiums of car insurance could be cut significantly. Such as the many deals to be had at Insure your motor.

Date - 21/09/2006