Sep12

Crackdown on car insurance referral fees could raise premiums higher!

by admin on September 12th, 2011 at 9:42 pm
Posted In: Driving News, Insurance

Motorists face even higher insurance premiums if the Government presses ahead with a ban on controversial injury ‘referral fees’, the head of insurer Admiral has warned. Shares in the company plunged seven per cent after the clampdown was announced on Friday, wiping more than £260million off its value. Justice Secretary Ken Clarke announced the end of ‘referral fees’ – a cynical scam in which insurers trade details of accident victims with claims-shark lawyers. The racket is blamed for the soaring cost of car insurance – the average comprehensive policy is now nearly £1,000 and has risen 40 per cent in a year. The price rise has also been blamed for many driving without insurance.  More

See also:

  1. Personal Injury Lawyers push up car insurance premiums!
  2. OFT to investigate high insurance costs!
  3. Premiums inflated by £2billion a year in referral fees!
  4. Car insurance up 40% in last year!
  5. Hidden insurance fees add to car premiums!