F&I Management & Training

Car insurance is set to rise sharply because of the summer floods. Insurance companies face an estimated £3.3 billion claims from customers whose homes were inundated. This means they cannot afford to follow the usual practice of subsidising motor insurance with profits from property insurance. As a result the cost of motor premiums must rise by as much as 10%, says Europe's largest firm of non-life actuaries, EMB. Its annual review shows that for every £100 insurers received in motor insurance premiums, they paid out £106.

DATED: 23.08.07

FEED: AW