Manufacturers winning the war against car thieves

Posted on June 16, 2011 by Steve

With the news that vehicle manufacturers are at long last winning the battle against car thieves, prospective buyers may find getting a cheap car insurance quote on a brand new car is easier than on one that is a few years old. The soaring cost of car insurance over the last 12 months has been in the headlines for some time now and if car security items can bring the price down, many motorists will be interested.

Thieves shy away from new models

Of the 107,000 vehicles stolen in the UK last year the great majority of them were over 3 years old. The reason for this is simply that car manufacturers are making new vehicles tougher to steal. Industry experts now say that unless a thief manages to steal the key to a car they are almost impossible to be taken away without the owner’s consent. Tracking devices, immobilisers, alarms and toughened glass now protect the majority of new cars, thieves have realised what they are up against and have turned their attention to older models.

Drop in crimes dramatic

The drop in stolen car figures is dramatic. Twenty years ago over half a million cars were stolen each year, in 2008 the figure had dropped to less than 150,000 and guests at the 2011 British Insurance Vehicle Security Awards were told that last year’s figure of 107,000 was testament to the work modern technology had introduced to new vehicles.

Security levels good on most new cars

The awards also demonstrated that it is not just top of the range supercars that are secure against theft; award winners at the show included the new Audi A1, the Volvo C30 and the Citroen C5. Overall winner of the manufacturer’s award was Volkswagen with Audi and Volvo filling the runners up places. Vauxhall will have been delighted to win the award for most secure van manufacturer after their poor showing in the JD Power/What Car car of the year survey.

Onus on car owners to do their bit

Motor insurance research experts Thatcham say the investment by car manufacturers on security is now paying dividends and at the moment they are staying one step ahead of thief’s but it is an ongoing battle. They now say that car owners must play their part and if they do then car thefts may well drop below 100,000 in the next 12 months for the first time in many years.

Select Committee taken aback by the cost of motoring

Posted on March 24, 2011 by Steve

At long last the Government seem to have woken up to the fact that the motorists of the UK are facing motor insurance quotes that don’t just make them gulp, it takes their breath away.

MPs enter the real world

The Commons Select Committees foray into the exhaust fumed fog of the motor insurance business produced a report called the Cost of Motor Insurance, and believe it or not they have discovered what most motorists have known for a long time, that insurance premiums for drivers are rocketing upwards.

A step in the wrong direction

According to the report the average cost of a car insurance policy has gone up 30% in the last 12 months and now stands at an incredible £792. It is well documented that young drivers, and in particular young men, face insurance charges that are frankly absurd, the report quotes an average of £2,457 for males aged between 17 and 22 with an average for females of the same age coming in at £1,423. At least the select committee’s counterparts in Europe have done something about the ridiculous charges young women are charged, they have introduced a bill that will see them pay the same as young men, there’s democracy at work for you!

Why is insurance going up?

The MPs on the committee did ask some pertinent questions though. They wondered why charges were going up while accidents and injuries were reported to be coming down. The committee was also told that fewer drivers were now driving around the roads of the UK without insurance. One would imagine that this would contribute to bringing the cost of insurance down.

However, according to insurance companies, they are now paying out 20% more in claims then they are bringing in through the collection of monies via premiums. They do obviously benefit from motorists willing to pay interest on their premiums to stretch the cost over 12 months and pay by monthly debits. It is also suggested that referral fees from accident management companies prove to be a lucrative source of income.

How can I find low cost car insurance?

It seems as though drivers must look around to get the best car insurance deals they can and not settle for just paying out on their renewal quote. It is well worthwhile sitting down at a computer for five minutes and filling in a form that can easily save you hundreds of pounds.

Car makers plan power play for the future

Posted on March 8, 2011 by Steve

Car manufactures are about to start a power play with a difference and one which they are confident will help drivers to cope with the soaring cost of fuel at the pumps and give them something to smile about when getting motor insurance quotes for another year of driving.

Oil prices speeding up new technology

As the ongoing crisis in the Middle East threatens to send fuel prices through the roof or even higher, a new breed of engines is coming and they will be packing plenty of performance while at the same time getting the most out of every gallon of fuel. Korean manufacturer Kia started the trend by revealing their new Rio hatchback will use a three cylinder, 1.1 litre diesel engine which will easily be able to achieve nearly 90mpg in everyday use. Lightweight construction, high pressure fuel injection systems and turbo chargers all mean that conventional engines will soon be delivering excellent economy without any loss of enjoyment for the driver.

Far Eastern manufacturers ready for change

Mazda have already stated they are bringing in the first of its SKYACTIV engines before this year ends. The engines will be up to 20% more fuel efficient as well as generating a similar cut in CO2 emissions. Nissan are going down a similar route with a supercharged one litre Micra which will slash emissions to 95g/km.

Honda has trail blazed hybrid systems but now has its sights set on hydrogen as the fuel of the future. The motor manufacturer best known for its partiality to innovative design and technology see the electrification of cars as a journey that started with their hybrid car of almost yesteryear, progress to plug-in vehicles will end with the arrival of fuel cell vehicles such as the company’s hydrogen-fuelled FC-X Clarity model.”

Motor insurance and Government help?

Nevertheless, the road to zero emissions is likely to be a very long one and while the cars may currently exist in experimental form there is still a lot of work to be done. In the meantime drivers in the UK will be looking for the cheapest car insurance they can find and hoping the Government introduce the much vaunted sliding scale on fuel duty in this month’s budget.

Fuel price beyond a joke

Posted on January 27, 2011 by Steve

As the price of fuel rises inexorably, the call for the Government to postpone the next rise in fuel duty and actually freeze the levy, continues apace. Motoring organisations unanimously have called for the April fuel hike to be abandoned, and the poor motorist who is still coming to grips with his latest car insurance quotes hardly knows where to turn as his motoring costs escalate.

SMMT ask Government to think again

The latest organisation to weigh in with an opinion is the Society of Motor Manufacturers and Traders (SMMT) but they are not alone. The Chief Executive of the SMMT, Paul Everitt, spends an enormous amount of his time “bigging up” the motor industry in the UK and he feels the fuel duty rise planned for April could well undo all the hard work the industry has put in over the last 12 months to keep its place in the market.

The SMMT called for the Government to adopt a measured approach in implementing taxes on the consumer but most motorists will feel a measured approach is not exactly what they are experiencing. Petrol and diesel prices are nudging up almost daily and drivers are now past the point of driving around a little to see where the best prices are, it is simply too expensive.

Insurance for drivers going through the roof!

On top of fuel prices, the AA announced last week that the average price a motorist is paying to get car insurance cover is now over £800.

Not exactly the scenario then for hitting the open road and just enjoying the thrill of driving for the sake of it. In fact, thinking about it, when did you last just get in the car and go somewhere to enjoy the drive. Of course living anywhere in the South-east you would actually have to set off in the middle of the night to get anywhere, which would somewhat diminish the view, but joking apart, has the Government forever taken away the last remaining shreds of joy anyone got out of driving.

There is now talk that in the far flung reaches of Scotland the hike in fuel duty may well take the price of a gallon of petrol over £8, and one can imagine the look of anguish on motorists faces up there when they can see the oil pipeline bringing petroleum back to shore from the North Sea as they fill their car up at a petrol station and watch the £ signs flash by.

Drivers must play their part

Posted on December 22, 2010 by Steve

With no let up in the vice like grip winter has on the UK, Britain’s motorists are still getting warnings of the possibly fatal conditions on many of our roads.

With significant snowfall in Ireland, Scotland, Wales and various regions of England over the last few days, the traditional return home for people all over the UK is turning into a nightmare. Not for a long time has travel chaos in the week before Christmas been so widespread, and the thought that motorists could abandon their cars on the M25 because of snow in the middle of the day takes some believing. As the most used piece of tarmac in Britain it really is difficult to imagine snow having the time to settle underneath the thousands of car wheels ploughing along it every second.

For the main part, the motorway system has held up well, and although we have seen bad delays on the M25, M5 and M6 at times, once the initial fall of snow has ceased the traffic authorities do seem to have got transport moving to some degree.

There is, however, a part to be played by the motorist. Despite repeated pleas by local authorities to keep off the roads unless the journey is absolutely necessary it is clear this warning is not being heeded by many. Traffic regulators suspect many inexperienced owners of 4×4 vehicles are going in search of bad weather just to see how their vehicle copes. The answer in many cases is not so well and often because of the driver.

The other piece of advice being given to motorists is that if you must undertake a journey, then make sure you are prepared. Road breakdown organisations are reporting many roads re-opened due to sterling work from appropriate authorities are then becoming clogged with traffic due to drivers pulling up because their windscreens have frozen or because they have run out of windscreen wash and de-icer. Roads that are just about passable then become impassable and traffic chaos ensues. How many times in the last week have you seen drivers pulled over to the hard shoulder and throwing fresh snow on their windscreen in an attempt to clear it?

At least one set of drivers are heeding the warnings given out by the motoring organisations. There is not much sign of the driver who has just got a motor insurance quote for his brand new vehicle sliding about on the roads. There cannot be any worse weather than ice to deter new car owners from taking their pride and joy out for a spin.

Prius the latest Toyota to encounter problems

Posted on November 30, 2010 by Steve

Once more motorists around the world are being faced with a product recall as the much vaunted Toyota Prius is reportedly having problems with its cooling system.

The hybrid Prius has been the focus of many motor insurance quotes around the world as car drivers have been keen to embrace the technology of a new vehicle that offers the best of both worlds. The Prius can run on both electric and carbon fuel and as such has been very popular with motorists keen to cut their carbon footprint.

The problem with the Prius, thankfully, is not a safety issue and Toyota in fact is saying it is not a recall. They are however, inviting almost half a million Prius owners to take their car back to a Toyota garage and have the cooling system modified.

Although it has only affected about two dozen cars worldwide apparently the electric water pump that cools the hybrid system is not functioning fully, leading to a lack of efficient circulation to the cooling system. When the malfunction occurs it basically makes the car overheat, the vehicle then goes into safe mode which means the driver still gets power but only sufficient to get the vehicle to crawl home.

Thankfully the glitch won’t affect too many Prius drivers in the UK as Toyota believe the condition will occur on cars driven in a warm climate.

The latest problems add to a very difficult couple of years for Toyota in which something like 8 million Toyota and Lexus models have been recalled and the company received a record fine in the United States. The fine of $16 million was centred on a problem with the accelerator pedal in Toyota cars that had caused many accidents in the United States. Toyota was fined for hiding the defects and the company are still said to be facing private actions by some motorists on the other side of the Atlantic.

The new recall could well be a sign of Toyota being proactive in getting to the bottom of glitches and little niggles with its cars, as it faces the prospect of being knocked off the pedestal of being the World’s number one car manufacturer.

Car insurance premiums out of control

Posted on October 14, 2010 by Steve

With the cost of car insurance soaring motorists in the UK must be left wondering if honesty is the best policy.

Figures from the latest car insurance price index (CIPI) survey suggest that the average price of a policy is £650, a rise of over one third compared to last October. So where should motorists start looking when they hunt around for a motor insurance quote. There doesn’t appear to be an easy answer to that question. The CIPI is made up of three major players in the market, EMB, The Consultancy and Confused.com. Between them they should have a finger on the pulse of the market and so should not be too far out with their figures.

Young male drivers seem to be faring worse with an average 11% increase in the last three months, enough to push the average policy for a 17-20 year old male up by £280+. Young female drivers fare slightly better but no-one is getting off lightly.

Many motorists often consider insuring a second family car, third party fire and theft (TPFT) to save money but that avenue now seems more like a one way street now. TPFT premiums have risen over 11% in the last quarter and over 50% in the last year making it barely worth taking the risk. And that is the crux of the matter.

More and more drivers don’t bother getting insurance and prefer to take a chance on not being caught, which in turn means higher costs for Honest John. Further to this the National Fraud Authority suggests that false motor insurance claims amount to over £2 billion. The claims for bodily injury claims have metaphorically almost gone through the roof and are literally a pain the neck for many of the big insurance companies.

With the cost of car insurance seemingly on a never ending upward curve, perhaps one way to save cash is to ditch the second car and opt for an any driver car insurance policy, but beware. Insurers are already hiking the premiums on insured plus one policy faster than any others. According to the report these policies have risen 65% for men and 60% for women. Possibly because insurers believe families are using this method to cover young adults in the family home.

Unfortunately the story doesn’t end there. New tough EU solvency rules mean that financial institutions must abide with the new Capital Adequacy Ratios, which basically means they will have to keep more money in the bank. And where do we anticipate that cash will come from?

Motoring body warns the stars

Posted on September 10, 2010 by Steve

The bosses of Formula 1 racing are attempting to extend their power of influence even further, with some controversial ideas that will affect professional drivers when driving on the open road. The results of which could see famous names such as Jensen Button getting a motor insurance quote just like any other member of the public.

Federation Internationale de L’automobile (FIA), the governing body of motor sport, is proposing to change its sporting code in such a way that the rulers of the sport can penalise professional motor sport drivers for motoring offences committed on public roads. It is thought the high profile arrest of Louis Hamilton in Australia earlier this year for a motoring offence could have precipitated the decision.

The proposals will include the requirement of all super licence holders to have a road driving licence and offences on the public highway could result in the loss of the super licence.

A statement issued by the FIA said “Competitors at FIA events must act as ambassadors for the sport, be aware their conduct on the road must be exemplary and respect road safety rules. A proposal to amend the international sporting code will be submitted to the FIA General Assembly to clarify that any holder of an International Super Licence must also be in possession of a current road driving licence. Additionally, the Code will be amended to clarify that if an International Super Licence holder is involved in a serious road traffic offence recognised by a national police authority, the FIA, depending on the severity of the case, may issue a warning or refer the matter to the International Disciplinary Tribunal, which may temporarily or indefinitely withdraw the competitor’s International Super Licence.”

Fury Grows As Young Sports Car Drivers Feel The Heat Of The New Insurance Premium Hike!

Posted on June 10, 2009 by Steve

“Sports car owners under 25’s in an uproar about new insurance changes.”

June 10th 2009
Wimbledon, Greater London, United Kingdom.

Young sports car drivers are to feel the brunt of sweeping changes that were made across the car insurance industry in late May which see’s sports car owners that are under the age of 25 to receive higher premiums for their car insurance policies.

The impact of the changes see’s sports car owners under 25 now facing premiums upwards of £7000 a year, based on recent trends on sports car modifications.

In a claim from Uswitch.com, the speed modifications that were typically sought by the owners of sports vehicles increased the risk probability of claims against insurers. In an extract from the Insurance Times, it found that:

“

Go-fast extras add an average of £2,682
A spoiler hikes the premium by almost £700
A young driver’s car insurance could cost up to 223%of the value of the car
Adding GTI to a Peugeot 206 could push the cost of insurance up by £6,485
17-21 year olds represent just 7% of all drivers but they pay 32% of UK annual car insurance bill
The average car insurance premium for a young driver is £1,730 – more than three times the national average premium of £512
Insurance premiums fall by an average of £4,002 between the ages of 17 and 27
All drivers have seen their car insurance premiums rise by almost 10% in the last 12 months. ”

Insurance times

26th May 2009

In light of these claims, MotorQuoteDirect has reacted to attempt to curtail the new increase in expenses by providing online awareness and savings advice to young drivers with the launch of the MotorQuoteDirect Car insurance blog and offering free quote comparisons on sports car insurance at their website www.motorquotedirect.co.uk.

Source: http://www.insurancetimes.co.uk/story.asp?sectioncode=13&storycode=378568

Reference

MotorQuoteDirect are one of the UK’s leading insurance intermediaries based in Wimbledon. Established in 1965, we have over 40 years experience of providing quality car insurancecover at very competitive prices, covering all risks from young drivers to classic car owners and through our association with a large panel of UK leading insurers. To find out more information on their car insurance services, visit them today at http://www.motorquotedirect.co.uk.

©2009 Motor Quote Direct. All rights reserved. W E Bedford Insurance Services (Wimbledon) Ltd, 267-269 Kingston Road, Wimbledon, London, SW19 3FW is authorised and regulated by the Financial Services Authority. Our FSA Register number is 305737

Young Driver Car Insurance Guide

Posted on June 5, 2009 by Steve

If you’re a young driver and/or inexperienced, looking for car insurance can be a rather frustrating experience. Some insurers will quote very high premiums; others may not even insure you on a particular vehicle, it can sometimes feel like you’re banging your head against a brick wall.

What can you do?

Motor Quote Direct has put together some helpful tips on how you can lower your insurance premiums if you’re any of the following:

A new driver.
A young driver.
A driver in their early 20’s.

Why are premiums so high for new drivers?

Firstly it’s important to understand why insurance companies are quoting you high premiums.

New or younger drivers are statistically more likely to be involved in an accident.
Around 30% of deaths on UK roads are caused by young drivers in the 17 – 25 age bracket.
Young drivers are likelier to have their cars broken into or to be victims of vandalism.

How can younger drivers get cheaper car insurance?

Your insurance premium is based on your risk. So if you are less likely to be involved in an accident, be the victim of theft or vandalism then you’ll find your insurance premiums will naturally be lower. As a new young driver there’s nothing you can do about being in the risky age bracket nor can you do anything about being less experienced.

The only bits you can focus on to reduce your premiums are things like:

Pass plus scheme. Some insurers offer discounts to young or new drivers that have achieved the pass plus certificate.
The type of car you drive. Cars with large size engine, turbo charged or sports cars, modified cars are all going to make your premiums go through the roof. It’s important to think conservative, 1.1 litre 3 door hatchbacks with no modifications, that’s more like it!
Where you park your car. If you park your car on the street it’s more likely to be broken into than a car parked in a drive or a locked garage.
When you use your car. Think about when you need to use your car, some insurers offer lower premiums to young drivers who agree to use their cars during the day and not between the hours of say 8pm and 5am.
How you drive. Remember to drive carefully and try not to get any points on your license as this will cause your premiums to increase whatever your age.
Getting insured under your own policy – In the long run it’s best to get your car insurance in your own name rather than be added to your parent’s. This means you will start to build up your own no claims bonus and in the future your premiums should be a lot cheaper.