Body part insurance ‘relatively uncommon’

It is “relatively uncommon” for an everyday consumer to insure a body part that their livelihood may depend on, one insurance expert has claimed.

The British Insurance Brokers’ Association (BIBA) said it is a very limited market and that those who want this sort of product would have to go to a specialist insurer.

Peter Staddon, head of technical services for the BIBA, said that insurance in this field usually covers a person for any scarring and disfigurement that may prevent an individual from working, such as a hand disfigurement preventing a carpenter or sculptor from earning a living.

He said: “If you get somebody who’s got an annual income, of, say, a quarter of a million pounds, you can justify them insuring themselves for one or two million.

“If you’ve got somebody who’s annual income is £10,000, it’s difficult to justify a £2 million life policy.”

Meanwhile, the Telegraph reported that many celebrities have various parts of their body insured as that is their livelihood.

Pop star Bruce Springsteen recently took out cover for his voice worth $3 million (£1.5 million).

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Number of uninsured drivers on the roads gone down

The number of uninsured drivers on the road has gone down over the past two years, claim industry experts.

The British Insurance Brokers’ Association (BIBA) said that “things have changed a lot” with rates going down in excess of ten per cent.

Graeme Trudgill, technical and corporate affairs executive for BIBA, said: “In 2007, approximately 150,000 were seized by the police and in 2006 this number was 78,000.

“So it’s practically doubled in the last year and we’re expecting it to be much higher again this year,” he continued.

The police have now got access to the motor insurance database and the power to seize uninsured vehicles as well as “automatic number plate reading cameras” which are helping catch uninsured drivers.

According to the Motor Insurer Bureau, uninsured driving cost law-abiding motorists in excess of £500 million each year or around £30 on their insurance premium.

The body also said that up to 160 deaths on the roads each year in the UK are caused by uninsured drivers.

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‘Review home insurance after wedding’

The British Insurance Brokers’ Association (Biba) has today revealed that re-thinking home insurance after a wedding is vital.

According to Biba, couples are putting many items at risk by not ensuring that they are properly covered and that newlyweds should consider getting in touch with an independent financial advisor.

Wedding presents are becoming more and more valuable and friends and family lavish gifts on their loved ones – making it all the more vital to ensure items have home insurance policies.

Graeme Trudgill, manager of technical services at Biba, said: “The key thing here is to make sure that all your items are covered.

“Before you got married, you probably had £20,000 worth of stuff and one toaster. But after you get married you receive lots of wedding presents, jewellery, and seven toasters, so it’s very likely that you’ll just need to review what cover you have.”

His comment come as research from Direct Line Home Insurance has revealed that same-sex couples have paid out more than £62 million on civil partnership ceremonies in the UK since they became available in December 2005.

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Travel insurance shake-up receives backing

A proposed shake-up in the way that travel insurance is sold to holidaymakers is being backed by a large majority of us.

That is according to the British Insurance Brokers’ Association (Biba), which published a survey on the subject.

Government proposals to revolutionise the market will focus on protecting consumers from travel agents who fail to explain the full details of the policies they sell.

According to the survey, 72 per cent of travel insurance customers were not advised whether terrorism cover was included in their policy.

It is situations like this that have led to widespread support for the government’s plans, with 97 per cent of those asked saying that they agree completely with the proposed crackdown.

“It is essential that consumers are fully protected,” said Biba chief executive Eric Galbraith.

“Travel insurance is vital when we jet off on our holidays and it is the role of the provider to ensure that consumers are both fully covered and understand the limits of their policies.

“Biba brokers and the rest of the regulated industry have been fulfilling this commitment for years and the government’s proposals would ensure that travel agents and tour operators fall into line,” he added.

The research also found that 56 per cent of agents failed to inform customers of how to make a complaint, while only 47 per cent of customers said that they read the small print on their policies.

If you are taking out travel insurance make sure that you take the time to read the small print and ask for clarification on anything which you are unsure of.

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