It seems I can’t go half way round the world without ending up in a conversation about insurance. I was in Canada recently, Ontario specifically, visiting some friends who as it happens, had an accident. There are some crazy motoring laws in Canada such as being able to turn right at a red light. That is the equivalent of us being able to turn left at a set of lights even if it shows red, providing nothing is coming obviously. On this occasion in Canada something was coming… it was my friend who the other driver had clearly not seen. The police where called (it seems rare to have a traffic collision that they do not attend there) and details exchanged.
Following this incident I was chatting to him about insurance. His wife, a 31 year old Canadian national with a number of years no claims proof. She has had no accidents and no motoring convictions yet her insurance for a mid-range family Mazda costs $1800. At present this equates to about £1200. The same car and details in this country would probably set you back between £400 and £800. The difference is not due to bear attacks or low flying moose its the extreme winter weather. The huge amounts of snow and ice cause accidents galore and costs the Canadian insurance market a ridiculous amount of money. If this was solely charged to those who had those accidents insurers would be repossessing belongings left right and centre because people couldn’t afford to pay the premium and so it is shared (although those with the accidents have a heavier cost to bear).
It is the same in this country. Unfortunately the millions of pounds worth of damage done to London during the riots will cost innocent London shop owners money moving forward. The rise in personal injury claims (some dubious) has also cost the insurance industry vast sums which have to be passed on by way of rate increases. Perhaps the governments decision to ban referral fees for passing contact details to personal injury solicitors (more on that later) will go some way to improving the situation for motorists?
The simple fact is that even with the dominance of the internet for car insurance it is always worth talking to a broker who can provide you with frank and objective advice, guidance and all being well, a competitive and perhaps most importantly peace of mind.
