UK insurance companies take a hit
Lloyd's of London has today confirmed that a number of natural disasters as well as the BP oil rig debacle in the Gulf of Mexico have resulted in significant losses for insurers around the world. UK insurance companies have taken their fair share of multimillion pound hits over the last 12 months although many believe that ultimately an increase in regulations and the need to tighten current insurance policies could result in more business for the UK insurance sector in due course.
When you take into account the economic downturn over the last three or four years, what seems to be natural disaster after natural disaster and a number of man-made disasters, there is no doubt that the insurance sector has been under pressure. However, ultimately it is always the customer which bails out the insurance sector and this time will be no different with corporate premiums likely to increase significantly in the short to medium term.
Insurance premiums for UK consumers are also set to increase in the short to medium term, as the long-term trend continues, with car insurance one of the major issues amongst the UK public. It seems that legitimate and fully insured car drivers are paying the costs associated with uninsured drivers but is this really fair?
Lloyds bank agrees to stop PPI sales
Lloyds bank has today agreed to withdraw PPI, payment protection insurance, from the list of services provided by the group. Earlier this year we saw the regulators suggesting that the way in which PPI is sold to the general public should change in the future. A cooling off period and a more detailed analysis of the total cost of PPI, together with discussions regarding the fact that many consumer...Read More
Insurance industry 'can stay competitive'
Insurers can ride out the current difficulties facing the industry as costs rise, with the consumer set to benefit.That is the message from the Association of British Insurers (ABI), which says that soaring costs to the tune of 75 per cent in bodily injury claims since 2000 and 66 per cent in accidental damage claims can be negotiated.Speaking to BBC Radio 5 Live's Wake Up To Money,...Read More
Canoe fraudsters agree to pay back £600,000
Anne and John Darwin, the infamous canoe fraudsters, have agreed to pay back £600,000 from their ill gotten gains. However, as John Darwin effectively has no assets to his own name he has agreed to pay back a nominal one pound although he is wife, in whose name the couple's assets are held, will payback £363,700 to the victims of the crime and £228,138 under the terms of the proceeds of crime a...Read More
Royal Bank of Scotland caught between a rock and a hard place
The Royal Bank of Scotland is this evening looking at the possible sale of its prized insurance unit which has been one of the best performers over the last few years. While the timing of a possible sale could not be worse there are concerns that the group needs to increase its capital base for its traditional banking operations with 2009 expected to be as tough if not tougher than 2008.
AXA rewards safe motorists
Financial giant AXA has revealed a new car insurance policy which will see those with eight or more years no claims bonus receiving a 90% discount on their premiums. This compares to the average discount of 65% on a maximum five-year no claims bonus and will obviously further benefit the vast majority of drivers in the UK who do not claim on their car insurance. This comes at a time when the AA...Read More