Cats of any age ’should be covered by insurance”
August 31, 2007 by admin
Filed under News, News-Insurance
Cat owners have been advised that they should purchase insurance no matter how old their pet is. 
Maggie Roberts, head of veterinary services for feline welfare charity Cats Protection, argues that vets’ bills can “soon mount up” and that “even the most well looked after cats can develop unexpected illnesses”.
Ms Roberts also said that having a pet undergo treatment or surgery can be emotionally draining. She said that having to worry about treatment costs can be an “added burden” for cat owners who have an ill animal.
The head of veterinary services continued that costs can be generated in a number of areas, listing that pet owners could find that their animal has to undergo surgery, hospitalisation or be referred to a specialist.
In its latest report on pet insurance in the UK, market research consultancy Defaqto found that less than one in five cats (17 per cent) in the UK are covered by pet insurance.
Loans to family ‘may be counterproductive’
August 31, 2007 by admin
Filed under News, News-Loans
People who lend money to friends and family may only be a short-term fix for those in debt, according to one expert. 
Stephen Rose, the director of the not-for-profit information provider Debt Advice Bureau, argues that issuing loans to people who are in debt may only mask an underlying financial issue.
“We have seen a minority of cases where people have wracked up debts and – usually a parent – has bailed them out and paid off their credit cards.”
“And in no short space of time debts are being wracked up again,” he adds.
As such, Mr Rose argues that if someone is tempted to loan money to a loved one they could instead work with the person to establish where their money is going.
The directors’ comments follow research from DebtSmart found that out of the 59 per cent of people who had leant money to a friend, just over one in four had been repaid.
Gapyear travellers “don’t understand insurance”
August 31, 2007 by admin
Filed under News, News-Insurance
People taking a gap year do not understand travel insurance and see taking it out as an obligation, according to one industry figure. 
Tony Griffiths, the founder of gapyear.com, states that although gapyear travellers are becoming more aware of the importance of taking out insurance, they do not understand “what it is or what it does”.
Mr Griffiths also said that some travellers feed they are “indestructible”, particularly males who are aged between 18 and 24. He also added that many people have a “it won’t happen to me” attitude.
“The reality is most of the claims are for things like people falling off a curb. We had an example of someone who fell off a curb in Barcelona and broke their ankle.”
Gapyear.com is part of the Gapyear Company, which is an organisation that provides free information and advice to people considering taking a year out.
It states that 25 per cent of people on a gapyear have either no or inadequate insurance, and that the average spend of 18 to 24-year-olds while travelling is between £3,000 and £4,000.
Teenage drink-drivers a ‘deadly combination’
August 30, 2007 by admin
Filed under News, News-Insurance
One in five teenagers has driven after drinking alcohol and one in 14 has driven after taking drugs, a new survey claims.
The research was carried out by Break, a road safety charity, in conjunction with a leading car insurance provider, Cooperative Insurance.
It has prompted calls for immediate action to lower the drink drive limit for all drivers from the current 80mg per 100ml of blood to 50mg per 100ml of blood. This would bring the UK in line with EU recommendations.
Campaigners have also called for changes to driver testing, training and licensing.
“Every day young drivers kill and seriously injure themselves and others through a deadly combination of inexperience and taking risks like drink and drug driving,” Jools Townsend, head of education at Charity Brake, told the BBC.
Government figures reported by the BBC show that, on average, more than three people aged 17 or 18 are killed or badly injured in car crashes every day.
Car insurance premiums for teenage drivers have traditionally been high because of the significant likelihood of young motorists making claims.
CAB recommends teen finance lessons
August 30, 2007 by admin
Filed under News, News-Banking
Financial lessons for Britain’s teenagers have received strong support from the Citizen’s Advice Bureau (CAB).
With debt levels now outweighing national GDP, the bureau said that teaching young people how to budget more effectively was “fundamental”.
The CAB issued the statements in reaction to the government’s announcement last month that a new subject covering financial issues is to be introduced into the secondary school curriculum.
A spokesperson said: “We very much welcome the move to improve people’s skills in personal finance, because what we know that a lot of debt problems are caused, at least in part, by a lack of understanding and a lack of confidence in dealing with money matters.
“There are a whole variety of ways of engaging young people of that age with the issues,” they added. “There are many different methods, ranging from drama to a whole load of other things. So I think that there is no shortage of good ways of making this a subject that young people want to know more about.”
Also supporting the new lessons is recent research from the Institute for Public Policy Research, which suggested that a couple with two children could be as much as £32,000 wealthier due to sound decisions made stemming from an improved financial education.
New car loans figures from Halifax
August 30, 2007 by admin
Filed under News, News-Loans
New research from Halifax has shown that January and August are the most popular months for applying for a car loan.
According to Halifax Unsecured Personal Loans, the most popular age group for taking out such a loan – forming around half of total applicants – was the 30-49 group.
The figures also show that 67 per cent of loan applications were made by men
Neil Chandler, head of Halifax Unsecured Personal Loans, said: “Purchasing a new car takes a lot of time and thought as it is a big financial commitment.
“It is important to choose a finance deal which suits you best, leaving you free to sit back and enjoy your new car.”
More generally, the new report says that there are currently around 31 million vehicles on Britain’s roads, with 2.3 million purchased last year.
The research was undertaken by Halifax Unsecured Personal Loans in anticipation of the new 57 licence plates, which are to hit British forecourts next month.
ABI says younger drivers “should have year of lessons”
August 30, 2007 by admin
Filed under News, News-Insurance
Younger drivers – traditionally a higher risk when it comes to car insurance – have been recommended to take a full year of lessons before their test.
The advice, from the Association of British Insurers (ABI), would in effect raise the driving age limit in the UK
A one-year rule of sorts is already in place in other European countries, with the ABI citing Sweden in particular as a positive example for the UK to follow.
Association spokesperson Malcolm Tarling said: “We suggest a minimum of one year pre-test driving experience before you get to the stage of taking your test.
“The overall aim is to reduce the number of young newly qualified motorists and their passengers that die or are seriously injured on the road.”
He added: “The key thing is to ensure that young drivers, once they have passed their tests, are better equipped to be in control of a potentially lethal weapon.”
The ABI’s position is backed up by recent research from the House of Commons Transport Committee.
It reported last month that adoption of a one-year training programme prior to all UK driving tests would reduce the UK’s road accident rate.
Statistics from the Department for Transport show that 3,150 people were killed on roads in the UK during 2006.
Abbey launches credit card
August 30, 2007 by admin
Filed under News, News-Credit-Cards
Abbey has marked the launch of its new credit card with an eye-catching supermarket offer.
All customers will get five per cent cashback on the first £1,000 they spend in the stores while using the card.
Furthermore, every major supermarket has been signed up by the credit card provider as a participant in the scheme.
Abbey claims that, based on average spending figures, the offer will cover around five months of family shopping at supermarkets, assuming that the new credit card is used each time.
Roger Lovering, a managing director at Santander – the company which owns Abbey – said: “Our philosophy is all about offering real value for our customers. Supermarket cashback is the first example of that commitment.
“Once somebody becomes an Abbey credit card customer they can expect to see many more initiatives which offer similarly valuable benefits.”
The offer commences on September 3rd, and will apply until the end of January, 2008.
BTL “stabilises” prices
August 30, 2007 by admin
Filed under News, News-Mortgages
Although borrowing costs are rising due to the five separate interest rate rises in the past year – which some say could lead to house market turbulence – the continuing strength of the buy-to-let market is providing much-needed stability.
That is the contention of Paragon, whose Buy-to-Let index for July was released today.
According to the index, rents have risen by just over three per cent over the past three months, boosting the annualised growth rate to 12 per cent.
This comes at a time in which the general housing market is widely recognised by analysts to be slowing.
Chief executive of Paragon Group Nigel Terrington, commenting on the new index, said: “Buy-to-let provides housing for young people, who otherwise would be forced to buy and be stretched beyond their means. It would result in dramatically higher levels of repossessions in the housing market.
“As owner occupiers are increasingly struggling under the weight of higher borrowing costs, buy-to-let landlords can provide accommodation for the growing number of young people who want a flexible lifestyle or who aren’t yet ready to step on the property ladder.”
Figures covering the first half of the year from the Council of Mortgage Lenders (CML) have also recently revealed that the buy-to-let market took up 12 per cent of total mortgages in Britain – a record amount.
The importance of honesty for insurance customers
August 28, 2007 by admin
Filed under News, News-Insurance
Many consumers in the UK take out life insurance policies each year, and taking out this type of policy usually involves providing the insurance company with a variety of details about your health and lifestyle.
The cost of this type of insurance cover can vary depending on the company that you go through, as well as on the details that you provide to the insurance company with regards to your health and lifestyle. It is thought that a certain percentage of shoppers may miss out or change vital information in a bid to get cheaper premiums, but experts warn that this could end up being a waste of money as the information that they provide – or fail to provide – could invalidate their cover in the event that a claim needs to be made.
One independent financial adviser has warned that consumers must ensure that they provide up to date information that is accurate and honest when they are applying for life insurance to ensure that their premiums are not wasted altogether.
This includes providing accurate information on their lifestyle, such as their smoking and drinking habits and also any dangerous pastimes or hobbies that they may have. He added that if a claim is made and the insurance company discovers that important information was withheld, or that the applicant was not truthful, then the company is not obliged to make a payout despite receipt of insurance premiums.
He said: “All life insurance policies are underwritten at outset. So if you don’t partake in, say, climbing or mountaineering when you apply for your policy, but then subsequently you do, then that’s fine, nothing wrong with that. But whatever the situation is when you apply for your policy, you must be totally honest, otherwise you may invalidate your claim. The insurance company won’t pay your claim if they found out you lied to them when you filled the form in. People have got to be totally honest when they fill their applications in.”
Tom Smith
28th August 2007
