Fraud costs insurers '£4m a day'
Insurance fraud costs UK insurers some £4 million a day, new research has indicated.A survey by the Association of British Insurers (ABI) found that one in ten adults had admitted to filing a fraudulent insurance claim.The trade body said that their dishonesty was adding an average of almost £40 to the annual premiums of other policyholders and costing the industry £1.6 billion a year.Policyholders were most likely to lie about insurance claims related to their properties, the ABI survey of almost 7,000 people found.About half the total cost of dishonest claims each year relate to home contents and building insurance, the association confirmed.Meanwhile opportunistic fraud, where a claimant increases the true price of an item that has been damaged, is estimated to cost insurers more than £800 million annually.Commenting on the research, ABI's director of general insurance and health, Nick Starling, said: "Honest customers should not have to pay for the cheats."These figures highlight that greater deterrents, such as criminal prosecutions, are needed to discourage fraud. This is why we are calling for police forces to be given more resources so that fraud can be treated with the seriousness it deserves," he added, stressing that the recently established Insurance Fraud Bureau (IFB) was already having a "significant impact" on tackling organised insurance fraud.The IFB, launched by the insurance industry in July 2006, welcomed the government's response to the Fraud Review in March, but warned that greater police resources were needed on a national scale to maximise its own impact through a collaboration with law enforcement authorities.
Mortgage arrangement fees reach new high
The amount you pay to organise your mortgage has risen to a new high, despite the fact the Government has set up new schemes to make borrowing and getting on the property ladder easier. The average fee for the arrangement of a mortgage has now reached £1,522, making it the highest this figure has peaked to for 25 years, according to Moneyfacts. It is those looking to buy a home with the sm...Read More
Savings accounts underused by UK public
A report today by HSBC confirmed that 30% of adults in the UK have savings of less than £249 and indeed 19% have no savings whatsoever. While in some ways this is not necessarily a major surprise, bearing in mind the economic backdrop, the fact is that around 15 million people in the UK would struggle to get through the weekend if they lost their job tomorrow! HSBC believes that the UK populat...Read More
North-south house price divide widens
14/10/2014 New data from the Office of National Statistics (ONS) has shown the north-south house prices divide is at its biggest ever. The difference between the average house prices in London and in the North East has grown to its widest in history, with a £360,000 gap. An average house price in London is £514,000, while in the North East it stands at £154,000. London saw an increase of...Read More
Government announces public sector pay freeze
The UK government will tomorrow set out plans for a public sector pay freeze for those in the high earners bracket of the UK public sector. The move will not affect various three-year pay plans already agreed with nurses and other public sector workers, but will ultimately attempt to grab the limelight from an expected pay freeze announcement from the Conservative party this week.
UK inflation rate remains at 0%
14/04/2015 The UKs inflation rate stayed at 0% in March, according to official figures from the Office of National Statistics. The 0% inflation rate means that the cost of living is now roughly the same as it was in March 2014. The Consumer Price Index (CPI), which measures inflation, recorded an unchanged rate from February thanks to a rise in petrol prices. Food prices fell by 3.2% annual...Read More