How to buy travel insurance that suits your individual needs?

The word holiday conjures images of exotic destinations complete with golden beaches, glorious sunshine, hours of relaxation and quality time with your partner. It should be a truly tranquil experience. It is probably the biggest investment you will make in a year and something that you will have been looking forward to for many months. The last thing that you would want is for your peace of mind to be shattered, but, in the event of untoward circumstances, it is great to know that you are covered for any eventuality. With adequate insurance in place, you can truly relax, knowing that your luggage, health and even the holiday itself are protected. Taking a trip without adequate insurance is a one-way ticket to worry and could end up ruining your precious holiday.

If you fall seriously ill abroad and need hospital treatment, the average cost is now £2,040, up 6.25% year on year, according to research by Sainsbury’s Finance.

Travel insurance: do you really need it for a European … (n.d.). Retrieved from http://www.guardian.co.uk/money/2010/sep/11/travel-insurance-european-holiday

If any of the following incidents occur, you will be glad that you have adequate cover.

• The airline decides to cancel your flight.
• Due to illness you need to cancel the trip.
• Your day pack with your passport and wallet are stolen. You need to obtain emergency cash and replace the passport.
• You have a medical emergency whilst on holiday.
• A terrorist incident occurs at your destination and you wish to cancel the trip.

Annual travel insurance can cover all these events, as well as a few of you have never considered.

Cover for medical emergencies is probably the most vital element here. Circumstances may conspire for you to miss your flight, or lose belongings, but this pales in comparison to concerns about your health. It is hard to imagine a worse situation than being stuck in a foreign country, unable to repatriate yourself and at the mercy of inadequate medical care.

The bills for certain medical emergencies, for example, an air ambulance transfer can be truly astronomical.

The most expensive country for inpatient treatment is the US, with the average hospital visit costing £6,000

Travel insurance: do you really need it for a European … (n.d.). Retrieved from http://www.guardian.co.uk/money/2010/sep/11/travel-insurance-european-holiday

If travelling in Europe a European Health Insurance Card (EHIC) will cover basic medical care, and is a requirement to validate most travel insurance. As a UK resident, the EHIC gives access to state provided medical care at a reduced cost, or sometimes for free, when travelling in EU countries. You will receive the same care as a resident of the country you are visiting. It will not cover costs for repatriations and routine monitoring of existing conditions. When engaging in dangerous sports, insurance becomes even more vital, as the likelihood of an accident is highly increased. A skiing holiday can become extremely expensive if you need rescuing from the top of the mountain.

As we become older our insurance needs change. Pensioners travel insurance can be more expensive as the risks a well involved are greater for the insurer. It is exciting to know that you can still scratch the travel itch and enjoy an active retirement. There is a host of reputable insurance brokers, like Columbus Direct, who can present a range of policies and advise on what is best for you.

Tags: cover, Insurance, mind, Member state of the European Union, worse situation, eu countries, inpatient treatment

Homeowners advised to check insurance cover is adequate

Officials are warning consumers to make sure that they have adequate insurance cover in place as the cold weather sets in. The cold snap across the UK has already caused chaos, and with weather conditions set to get worse many people could find that it affects their homes as well as causing problems such as traffic issues.

Officials have warned that as the winter sets in homeowners need to make sure that they have the right insurance cover and the right level of cover in place in order to protect themselves against the damage that can be caused by freezing temperatures and heavy snow. Claims are said to shoot up at this time of year, and for those that find their cover is not adequate – or who have no cover in place – the financial implications can be huge.

Frozen pipes and broker down boilers are amongst the more common problems that can affect households at this time of the year. If homeowners do not have any insurance, do not have the right cover, or do not have an adequate level of cover, in place then getting these problems sorted out could be extremely costly. However, with the right cover homeowners can simply arrange for repairs to be carried out through their insurance provider.

Another thing that winter brings with it is the dark nights, making it easier for thieves to gain entry to houses without being spotted. Homeowners should therefore also ensure that they have the right level of cover in place to protect them in the event of damage and theft caused by burglars.

With Christmas coming up many thieves will be on the lookout for expensive gifts that households have received or have bought to give to others. Make sure that if you have valuable gifts in the home you are adequately insured, as otherwise you may not be able to claim for them.

Tags: cold weather, United Kingdom, officials, right cover, chaos, pipes, traffic issues, Insurance

Cost of smart phone insurance cover rising

Over the past year or two a rising number of high tech smart phones have hit the shelves in the UK, and these days more and more people are sporting these expensive gadgets. Smart phones are also high on the list of things to steal amongst thieves, and many people find themselves victims of phone theft when taking their high tech phones out with them. Many others end up losing their smart phones or causing damage to them by accident.

The smart phones of today can do all sorts of things, and are packed with apps and features. However, these phones are also very expensive, and this can cause a problem when it comes to insuring them. Recent data has shown that some mobile network operators are now hiking up the excess charges on iPhone insurance, and some will only provide reconditioned second hand phones to replace the one that has been lost, damaged, or stolen.

Consumers are advised to shop around for insurance cover for their smart phones, as the cost can vary from one provider to another. Some people may have mobile phone insurance built into their benefits package if they have a packaged bank account, but should check to make sure that the cover also applied to high end smart phones. Officials have said that another option for consumers is to consider adding it to the home insurance policy. Consumers also need to check the details of any policy to see what the phone is covered against and what the excess charges are.

One industry official stated: ‘Insurers across the board are seeing claims rise, be it because of fraud or just because new phones are more attractive to thieves. Insurers that will cover older phones are the hardest hit.’

Tags: expensive gadgets, home insurance policy, industry official, high tech phones, bank, Insurance, Network

Many fail to take out travel insurance cover

It has been reported that many people who are setting off on their travels do not bother to take out any form of travel insurance cover, putting themselves at risk of crippling financial costs in the event of accidents, illness, theft, loss or theft of belongings. Figures were released by the travel association ABTA, showing just how many people do not bother about taking out travel insurance.

The company claims that nearly 20 percent of travellers do not take out travel insurance cover, with nearly one in five British travellers said to have not bothered with this important cover. The company also said that many travellers have real misconceptions when it comes to travel insurance cover.

The travel firm carried out a survey and found that around 16 percent of those polled thought that in the event of a medical emergency the government would pick up the tab if there was no travel insurance cover in place. The results showed that 26 percent of younger travellers thought that any medical and related expenses would be funded by the Foreign Office if there was no medical cover in place.

The number of people failing to take out any insurance cover whilst holidaying in the UK was particularly high, coming in at 55 percent. The survey also found that 17 percent of consumers did not consider travel insurance to be important. However, officials have said that this sort of cover is vital for travellers, as it covers things such as medical expenses, treatment, replacement of lost cash, cancellations, delays, damage to belongings, theft, and a myriad of other things.

One industry official said: “It’s amazing how many people go off on their travels without taking any insurance out. However, it’s only when something bad happens that they realise just how expensive a mistake this can be, and how avoiding paying a few pounds for cover can end up potentially costing them hundreds or even thousands of pounds.”

Tags: office, travel insurance, uk, Insurance, foreign, sort, abta, finance

Pet lovers should not assume cheapest deal is the best

With Britain being a nation of animal lovers it is little surprise that so many people decide to take out pet insurance in order to protect their pets in the events of sickness, injury, of even if the pet goes missing. However, in the current financial climate many people are looking to cut back on their outgoings, and are looking for the cheapest services and products possible.

Whilst most people don’t want to leave their precious pets without any protection in the event of a problem most now have to be careful about how much they spend on their cover. However, pet owners are being warned to ensure that they don’t sell themselves and their pets short by opting for the cheapest cover only to find that it is not adequate for their needs.

An official from the animal charity Blue Cross said that many people are tempted to choose the cheapest cover, and rather than finding out more about the policy simply choose a policy based on price along. However, he warned that this could be a big mistake and in the event of a problem with the pet the policyholder could end up paying out a fortune despite having cover in place.

Mandy Jones, head of re-homing services at animal care organisation Blue Cross, said: “Don’t just go for the cheapest quote, with pet insurance you do tend to get what you pay for.”

She added that having the cheapest pet insurance plan available could end up being a false economy, as the cover provided with the cheaper policies would be nowhere near as comprehensive as with slightly more expensive policies. The savings, should any issue arise with the pet, could be huge with a more comprehensive policy, as the cost of treatment can run into thousands.

Tags: Pets, pet insurance, cheapest pet insurance plan, Blue Cross, Insurance

Insurance hikes hit over 50s

The results of a recent survey have revealed that vehicle insurance hikes have been hitting people aged fifty and over in the UK. A number of surveys that have been released recently have shown that the cost of insurance cover has rocketed for younger drivers but it seems that the price of insuring a vehicle is also resulting in older drivers struggling.

Figures released recently have shown that over the past twelve months motorists aged fifty and over have seen a huge hike in the cost of car insurance, leaving many struggling to keep their vehicles on the road. In the space of just twelve months the cost of motor insurance for those aged fifty and over is said to have increased by a massive 26 percent.

The survey was carried out by the firm ConsumerIntelligence.com, and involved polling more than six hundred thousand people. The results of the study showed that for motorists aged fifty and over the cost of insurance increased from just over £355 in June of last year to just under £450 in June of this year.

It was also revealed that there was a vast different in prices being quoted by insurance firms that specialised in motor insurance for those aged fifty and over, with the cheapest being £378 and the most expensive being £563, which reflected a different of 49 percent.

It is thought that part of the reason why motor insurance firms are upping the cost of cover for this age group is because many do not expect older drivers to remain loyal. This is reflected in the number of older people that are prepared to switch motor insurance providers, with 81 percent of drivers in this age group shopping around for more competitive quotes when it comes time to renew their cover.

Tags: June, Insurance, massive 26 percent, insurance cover, fifty, firm consumerintelligence.com

Is it time to switch your insurance provider?

A number of recent reports have shown how the cost of vehicle insurance in the UK has soared over the past year, and whilst the increase in cost is said to have slowed down it is still rising nevertheless. The cost of cover now is considerably higher than it was a year ago, and with petrol prices also sky high it has become very difficult for some drivers to keep their vehicles on the road due to the cost.

With this in mind it is important for anyone whose insurance is due for renewal to consider whether they should look for another provider –even those whose insurance cover is not yet up for renewal may find that they are better off paying any cancellation fees to their existing insurer and switching to another company that offers cheaper cover.

Whilst the cost of cover in general has been increasing it is important to remember that the cost of insurance can still vary from one provider to another. Therefore, it is vital to make sure that you look at cover from a number of different companies to see which one can offer the best value for money. The amount that you can save can be considerable, so this would be time well spent if you want to cut back on your outgoings.

In addition to switching your cover you may also want to consider whether it is worth downgrading the cover in order to save money. Obviously, if you have a pricey, new vehicle then it’s not worth taking the risk of downgrading. However, if you have an older vehicle and the cost of a downgraded policy is considerably lower then it may be something that you want to consider.

One thing to remember is that the world of vehicle insurance is still highly competitive, and your insurance company will want to retain your custom if possible. It is therefore worth speaking to your existing insurance firm and informing them that you are thinking of switching for financial reasons. In some cases the insurance firm will find a way to reduce the cost of your cover – sometimes without even changing or downgrading your policy.

Fortunately the internet makes it far easier to compare and find vehicle insurance cover, so if you do want to switch and save some money you won’t have to go to any undue hassle, and you could even use of the various insurance comparison sites in operation to speed things up.

Tags: vehicle insurance cover, Vehicle insurance, General, Insurance, insurance comparison sites, new vehicle

Finding PPI to suit your pocket and needs

Many people have heard of Payment Protection Insurance, or PPI, these days, and not necessarily for the right reasons. This is a type of insurance typically taken out with various forms of credit such as credit cards and loans, but has been hitting the headlines with alarming regularity over the past couple of years due to claims that it has been widely mis-sold by banks and financial institutions.

PPI is a type of insurance that is designed to cover repayments on credit for a specified period of time if the policyholder cannot work due to sickness, accident, or redundancy, and the cover provides many people with peace of mind. However, the controversy has arisen because in many cases in the past the cover was sold to those that could not claim on it, was added to credit agreements without the prior knowledge or consent of the borrower, and was sold to consumers by giving them the impression that they had to take it out with the lender in order to get the finance that they needed.

However, it has now been announced that the Competition Commission in the UK is placing a ban on the sale of PPI at the same time as financial products by banks, and this means that consumers will no longer have to face the uncomfortable feeling of trying to squirm out of taking out the cover whilst the lender is trying to push it onto them relentlessly.

For those that do want to take out the cover for their own peace of mind it is important to shop around, as you can get this type of cover from a number of providers and the cost can vary from one provider to another. In addition to this it is also worth working out whether this is the best type of cover for you, or whether you might be better off with an alternative, such as income protection, which would cover your income as opposed to certain debts.

In addition to hunting around for the best price on PPI – which can be a costly form of cover – by comparing different policies and providers consumers should also ensure that they read the policy terms and conditions carefully to ensure that they are eligible to claim and familiarise themselves with any restrictions that are in place on the policy that they are considering.

Tags: credit, ppi, finance, Insurance, Competition Commission

Slowdown in insurance price increases

Over the past year many drivers in the UK have been hit hard by the rising cost of petrol, and to add to their misery huge increases in vehicle insurance have also been put into place as motor insurance firms struggle to recoup losses resulting from increased claims and investment losses. This has made it increasingly difficult for drivers to keep their vehicles on the road.

However, it has been reported recently that whilst the cost of vehicle insurance is still on the up the price increases have started to slow down, which will come as a relief to many drivers who are due to renew their policies and have been concerned about how much more this will cost.

In the third quarter of this year the cost of insurance is said to have increased by 8.6 percent, taking the average cost of comprehensive cover to £650. The increase during the previous quarter came to 14.2 percent, which was much higher than the increase for the three months to the end of September. However, whilst the increase in the cost of cover has slowed down the average cost of cover is still around 37.5 percent higher than a year ago, with the increase for younger drivers taking out third party, fire, and theft cover coming in at over 54 percent.

One official involved in the research into price increases on motor insurance stated: “The price corrections that have been taking place over the past year or so have been essential to getting many private motor insurers back on an even keel after poor 2009 results. However, the level of increases is starting to slow down, with each month in the quarter showing flatter price rises than the previous one.”

Tags: Auto insurance risk selection, previous quarter, Insurance, Vehicle insurance, motor insurance firms, price, struggle, road

Increase in insurance claims from gap year students

According to a recent report there has been a marked increase in the number of insurance claims being made by gap year students. One insurance firm has reported that the number of claims that are being made by gap year students on their travel insurance policies has leapt by more than half compared to a year earlier.

EssentialTravel.co.uk. which provides travel insurance, said that from December of last year and May of this year the number of claims on its backpacker insurance policy had increased by over 61 percent compared to the same period a year earlier. Just over 52 percent of claims were down to medical expenses, and over 18 percent were for personal effects according to the insurance firm’s figures.

More than half of the claims that were made originated in Asia and Australia, and officials said that this was due to the fact that regulations in these destinations regarding dangerous sports was more relaxed than in many other destinations. The higher claims for personal effects were put down to backpackers often travelling with costly items such as cameras, laptops, and similar high value gadgets.

The group also pointed out that the value of the claims being made by gap year travellers had increased over the past year, rocketing from £77 per claim to £584 per claim, which reflected an increase of 658 percent.

Stuart Bensusan, of EssentialTravel.co.uk, said: “It is unnerving, particularly for parents, to hear that claims from backpackers encountering mishaps abroad are on the rise, but it goes to show how important it is for them to take out adequate insurance before they leave. Preparing for a gap year abroad is arguably the most exciting time in a young person’s life and nobody wants to think about the potential pitfalls.”

Tags: travel insurance, group, Insurance, dangerous sports, fact, insurance claims, gap year, finance

More sneaky charges from car insurers over last six years

A recent report has shown how more and more vehicle insurance companies in the UK have started applying sneaky charges to the policies of consumers, contributing to the soaring cost of vehicle insurance. Over the past six years the number of insurers applying these so called sneaky charges has soared, making it costly for consumers to take out and maintain their vehicle insurance policy.

Research was carried out to show how an increasing number of insurance firms were applying these charges. Since 2004 the average cost of making changes to policies has risen steeply, and the number of insurance firms that make these charges has rocketed since this time.

The figures show that six years ago around 22 percent of insurance firms charged a fee for an early cancellation, but this has now increased to 70 percent. In 2004 only 17 percent of insurance firms made a charge to change details on a policy but this has now leapt to 67 percent.

The cost of making charges to policies or cancelling them early can be very high these days, with some average fees thought to have doubled based on the figures, which were compiled by Defaqto. Some insurance firms now even charge set up fees and renewal fees to customers that want to take out cover.

Mike Powell, insight analyst for general insurance at Defaqto, said: ‘There has been a noticeable and significant trend for motor insurance policies to charge administration fees for features that were in many cases previously standard services. Many consumers will be unaware that they may actually be paying a set-up fee or a renewal fee for their motor insurance. Such fees will be detailed in the accompanying documentation or in the renewal quote.’

Tags: finance, Vehicle insurance, fee, Insurance, insurance firms

Insurance premiums could soar for flood victims

It has been revealed in a recent report that consumers who live in flood risk areas in the UK could be hit with huge insurance premiums as a result of insurance companies getting tougher. Over recent years insurance companies have had to pay out a fortune as a result of severe flooding in certain areas, which has devastated homes, and it now appears that the industry is determined to clamp down.

According to a recent report some homeowners could be hit with insurance hikes of 500 percent, and may be forced to pay the first £6000 of any claim themselves. The claims come from a report from the consumer charity the National Flood Forum, and is being prepared for a summit that will take place this month between a number of parties, including government officials, insurance industry officials, local authority officials, and representatives from the charity.

The summit will take place to try and determine how flood insurance can still be available to consumers on a widespread basis. The consumer charity surveyed three hundred flood victims, and found that the average increased that they had seen on their premiums was a massive 500 percent. One tenth of those surveyed also had flooding excluded from their policies when they came to renew their cover following a flood claim.

An official from the National Flood Forum said: ‘There’s no consistency in the treatment of flood victims by insurers. And you can’t simply move to another insurer, as they don’t want you. We found Axa, Aviva and Halifax were worst for raising premiums and excesses. The biggest danger is what happens after 2013. If you can’t get insurance, no one will give you a mortgage and you can’t sell your home.’

Tags: Forum, Insurance, insurance industry officials, insurance hikes, health insurance, home insurance, Flood insurance, aviva

Consumers want warmer approach from insurance firms

According to a recent report insurance customers in the UK are looking for a warmer, friendlier approach from insurance companies, with many stating that they would show more loyalty to insurance firms who demonstrated that they knew who they were and knew something of their insurance related history.

The survey was carried out by YouGov and was performed on behalf of Pegasystems. A number of areas of insurance were looked at as part of the survey including how consumers felt about their insurance companies and how consumers tended to contact insurance firms. The results of the survey showed that many insurance customers were looking for what was described as a ‘corner shop’ approach from their insurance providers, making them feel more like a valued customer rather than another number on a long list of clients.

The results also showed that the most common and popular way for consumers to contact their insurance firm was to contact them by telephone. The figures showed that 42 percent contacted their insurance providers by telephone. The survey also showed that there appeared to be growing confidence in using the internet to make contact with such firms, with 22 percent stating that they used email to contact their insurance provider, making this the second most popular method of contact.

The third popular means of contacting an insurance company amongst consumers in the UK was to go and see someone at the insurance firm face to face, but the results showed that most people prefer phone or email to communicate with these companies.

Jeremy Payne, senior director of international marketing at Pegasystems, said: “The Pegasystems research confirms the view that, in a world of increasing commoditisation and mass marketing, many consumers want a return to a ‘corner shop’ approach in which the provider knows who they are, the challenges they face and can provide an individualised solution that demonstrably meets their needs.”

Tags: Insurance, consumers, insurance customers, view, Pegasystems, Business and Economy, insurance providers

Consumers advised to think carefully about their holiday insurance

Whilst the summer holidays are pretty much over there may still be many people that are looking to book a winter holiday or even book their break for spring of next year. However, for many holidaymakers the various horror stories about airlines and holiday firms going bust has made them nervous about who they book with.

Over the course of 2009 over fifty airlines and travel companies went bust, and this has continued into 2010. For travellers that were not ATOL protected this meant losing money hand over first, losing their holiday, and even being stranded abroad unable to get back for lengthy periods.

Whilst many travellers and holidaymakers would never have dreamt about going abroad without any form of travel insurance anyway there are now many that may be reconsidering which policy they take out. This is because many travel insurance policies in the past have not covered policyholders in the event that their airline or travel firm goes bust, and this is something that is now making people more nervous than ever.

Given the number of travel firms and airlines that have gone bust over the past couple of years a number of insurance firms are now offering more comprehensive policies that will cover travellers in the event of the airline or travel firm going bust. Whilst these policies may be more expensive that standard policies it is likely to be well worth the peace of mind for many travellers.

A number of travel insurance firms are now adding this clause to their policies, and consumers that are planning to travel are advised to check the policies carefully to ensure that they are actually covered if there are problems such as the airline or holiday firm going under.

Tags: travel firms, travel insurance, airline, Insurance, travel insurance firms

RBS to close many insurance offices

It has been announced that Royal Bank of Scotland is being forced to close half of its insurance offices. This comes after the taxpayer bailout that resulted in the company being forced to sell its Churchill and Direct Line insurance divisions. Under the plans there will be two thousand jobs axed at the division, as the lender prepares to sell its insurance business.

Glasgow will see two offices being closed, causing the loss of over six hundred jobs. There are also closures expected in Peterborough and Bristol, which will see another six hundred jobs go. Union officials are angry about the measures because they blame the loss of hundreds of jobs on the failures of the bank, which was one of those that had to be bailed out using taxpayer’s money.

The global credit crisis caused the near collapse of the banking system in the UK, and whilst the troubled Northern Rock was the first major victim of the financial crisis in the UK, and had to be nationalised after it became the first victim of a run on a British bank in a century and a half, a number of other big name High Street banks ended up following its footsteps.

Whilst it is taxpayer’s money that has resulted in the bank being bailed out lenders are still being very cautious when it comes to providing finance to consumers and businesses, which has already caused a lot of controversy. The loss of jobs resulting from these RBS closures will now cause more controversy, as the blame has been laid squarely at the feet of the bank itself by union officials.

Union Unite official Rob MacGregor said: ‘RBS staff are continuing to pay the price for the bank’s failure with their jobs.’

Tags: British bank, insurance divisions, Royal Bank of Scotland Group, rob macgregor, Insurance, direct, finance

Zurich insurance fined over customer data loss

Insurance giant Zurich has received a hefty fine from the UK’s financial regulator, the Financial Services Authority. The fine has been imposed because of a serious breach of security relating to the loss of customer data files. The insurance company is said to have lost the confidential data files of forty six thousand customers.

According to reports the fine that has been imposed by the Financial Services Authority comes to over £2.27 million, even though there was no evidence to indicate that the data in the confidential files had been misused. A range of data was included in the files and this included identity information, details of bank accounts, credit card details, and more.

The FSA said that some of the data work had been outsourced by Zurich to its South African unit, which then went on to lose a back up tape back in August 2008 that was not encrypted. However, the FSA also said that it was a year later when the loss of the data was actually discovered.

Zurich was accused by the FSA of failing to oversee its outsourcing arrangements effectively, and had inadequate control over the data that was being processed. The incident was described as being unacceptable by the FSA, which said that the matter was made worse by the loss being undiscovered for a year,

An official from the FSA said: “Zurich U.K. let its customers down badly. To make matters worse, Zurich U.K. was oblivious to the data loss incident until a year later. Firms across the financial sector would do well to look at the details of this case and learn from the mistakes that Zurich U.K. made.”

Tags: regulator, data, credit card details, Insurance, Zurich Financial Services, fsa

Cut back on your vehicle insurance costs

It was recently reported that the cost of car insurance in the UK has soared recently, with industry groups claiming that there has been a 14 percent rise in vehicle insurance related cost in the second quarter of this year. These increases are something that most drivers can ill afford, particularly considering the financial strains that most people are under due to the difficult financial climate, the after-effects of the recession, and the high price of essentials such as petrol and food.

Of course, having insurance cover in place is a legal requirement for drivers, and no driver should be on the road without having some form of cover in place. However, it is important to remember that there are different levels of insurance cover to choose from, and you may find that the vehicle that you have does not require the more comprehensive and costly cover.

If you have an older car that is not worth much in terms of monetary value there is little point opting for the fully comprehensive cover, as this will work out more expensive and you will get very little back for your car in the event that it is written off in an accident because of its low value. On the other hand if you have a newer, higher value vehicle it is best to opt for comprehensive cover as otherwise you would be shelling out a fortune in the event that you had an accident that was your fault.

It is also important to remember that the excess levels that you choose will affect the cost of your cover. This is the amount that you have to pay from your own pocket in the event of a claim, and insurance firms tend to offer a number of choices. If you go for the lower excess then you will not pay as much yourself in the event of a claim, but with the higher excess you can take a risk and cut the cost of the cover.

Comparing deals is vital in order to reduce the cost of your vehicle insurance, and this is something that can be quickly and easily done these days using the various comparison websites available online. You will be surprised at how much you can save simply by comparing deals. In some cases you can even reduce your insurance costs by phoning your insurance company and stating that you are considering going elsewhere. The competition amongst insurers is stiff, and many will negotiate a discount in order to keep your custom.

Tags: Vehicle insurance, Insurance, car insurance, insurance costs, insurance cover

Many Welsh travellers fail to take out travel insurance

Research has recently been released by the Foreign Office, with the data suggesting that Welsh people are more likely to be hospitalised when they go abroad than others people in the UK. However, despite this many fail to take out travel insurance cover, potentially causing themselves a great deal of financial harm.

The figures showed that nearly one third of Welsh people had found themselves in some sort of trouble whilst abroad, and this included being arrested, being involved in road accidents, or ending up in hospital. However, around 16 percent of Welsh travellers do not take out any travel insurance cover when they head abroad.

With the summer holiday season just around the corner the Foreign Office is now appealing to consumers to use their common sense and arrange adequate travel insurance cover if they are heading abroad so that they are protected against mishaps such as those outlined above.

The research also found that Welsh travellers spent an average of nearly £12 on magazines, snacks, and drinks whilst at the airport, which is twice the cost of basic single trip travel insurance cover. Welsh travellers were also found to spend the least time arranging travel insurance cover, with the average time being spent doing this standing at twenty one minutes.

Jeremy Brown, the Foreign Office Minister, said: “This report shines a light on the number of Britons who get into difficulty abroad each year. The worrying fact is that so many of these situations are preventable. Helping out Britons in trouble abroad is part of our job, but we can’t get you out of jail or pay your hospital bills. A bit of preparation before you go, such as arranging travel insurance and checking our website, will ensure you get the most out of your trip without bad memories and big bills.”

Tags: Wales, travel insurance cover, travel insurance, Insurance, Welsh

Vehicle insurance related costs soar

It has been revealed in a recent report that costs relating to insuring cars and other vehicles have soared in the UK over recent months, resulting in many drivers who may already be struggling financially due to the cost of living and petrol prices finding it even more difficult to keep their vehicles on the road.

According to the report the costs associated with insuring a car or vehicle in the UK have increased by more than 14 percent in the second quarter of this year. The figures have come from the EMB Car Insurance Price Index and the online insurance comparison site Confused.

The rise in costs associated with insuring a car are much higher than the increases that were seen in the final quarter of last year and the first quarter of this year. In the last three months of 2009 costs relating to insuring a car increased by 4.3 percent, and in the first three months of this year the costs relating to insuring a car increased by 6.3 percent.

The massive increase in costs of over 14 percent seen in the second quarter of this year has resulted in around £74 being added to the average cost of car insurance for drivers. This reflects a total increase of 31 percent according to figures, and brings the average annual cost of car insurance to £599.

Some areas saw costs relating to car insurance rise more than others, and amongst those to be hardest hit were inner London and Manchester. Insurance officials have also said that this is not the end of the bad news for drivers, as many believe that the cost of vehicle insurance could continue to increase, which would mean even higher premiums for many cash strapped drivers.

Tags: second quarter, Insurance, premiums, United Kingdom, end, Vehicle insurance, quarter, car insurance

Cyclists should ensure their bikes

Most of us would never dream of driving or even owning a car without insurance cover due to the risk of accidents, damage, or theft. However, many people who have bicycles fail to get their bikes insured, and this can prove to be a problem in the event that the bike is stolen.

A survey was carried out recently by M& S Money, and according to the results over twenty five percent of cyclists have had at least one bike stolen in the past two years, reflecting the high risk of theft for cyclists. The figures show that over three quarters of adults in the UK have a bike in the home, whether it belongs to them personally or to a member of the family.

The research indicated that the average value of these bikes was around £240. According to officials this makes these bikes a prime target for thieves, and with more and more people getting health conscious and more aware of the environment the number of people that own and use bikes could increase steadily over time.

Officials are now urging consumers to ensure that their bikes are insured so that they do not suffer financially in the event that their bikes are stolen. In many cases this can be done under a home insurance policy, and some policies also cover bikes as standard as long as they are within a certain value.

However, cyclists also need to ensure that they have cover that protects them if their bike is damaged or stolen whilst outside the home, and whilst this may come at an additional cost it will be well worth it in the event that something does happen to the bike.

Andrew Ferguson from M&S said: ‘Cycling can certainly be a popular activity, particularly as the evenings are lighter and the weather is warmer. It is important that if people have a bicycle already, or are considering making a new purchase, they make sure it is covered adequately by their home insurance policy.’

Tags: bicycle, Insurance, bikes, Cycling, insurance cover

Keeping insurance costs down

For most people having insurance cover in place is a way to provide a financial safeguard against a plethora of possibilities, from the chances of having a car accident to the chances of being burgled or falling ill. There are many different types of insurance policy available these days, with cover to protect against a wide range of events and possibilities, and having this cover in place can provide consumers with real peace of mind.

 The cost of cover can vary depending on a number of factors, such as the type of cover being taken out, the level of cover, and any past claims made, amongst other things. However, the insurance market has become incredibly competitive with a wide range of companies vying for the business of consumers, and this has resulted in some very competitive deals being made available for consumers.

 In this day and age, with many people still reeling from the recession and the global credit crisis, it is vital to try and keep costs down, and therefore it is important to ensure that you get the best deal on your insurance cover no matter what type of policy you are looking for. There are plenty of deals available these days offering all sorts of incentives from cut price protection to several months of free cover.

 Some people have decided to cut back by cancelling their insurance policies altogether, but this can work out to be very costly in the long run if something goes wrong. An alternative is to try and reduce the level of cover to one that you can comfortably afford, although you should make sure that you do not under-insure yourself otherwise you may still face financial difficulties if something goes wrong.

 Another important thing to consider is the importance of comparing policies from a wide range of providers, as there can be a big difference in price and you could find that you are paying far less with one company for the same level of cover than with another. There are various price comparison sites now available that will allow you to compare different insurance policies and companies with ease and speed, and you can really save time by using these. However, do bear in mind that not all insurance firms operate through these price comparison sites, so it may be worth checking on individual insurance firms’ sites to try and get the best deal.

Tags: insurance firms, insurance policy, Types of insurance, insurance policies, Insurance

Norwich residents urged to ensure home insurance up to date

Residents in the Norwich area of the UK are being urged by officials to make sure that their home insurance is up to date and adequate. The warning comes after several break-ins in the area, which took place at the end of May and the beginning of June.

Whilst most people are well aware of the importance of having home insurance in place many forget to get their policies renewed or fail to ensure that the policy is amended to provide adequate coverage. This can cause big problems in the event of a break in, as the homeowner may find that he or she is unable to make a claim because of lack of coverage.

Residents in the area are being warned to check both their buildings and contents insurance to make sure that it is all up to date and provides adequate coverage. Officials are now stressing the importance of having home insurance policies in place for residents in Norwich, particularly given the spate of break ins that has been seen over recent weeks.

Police are still appealing for information with regards to the break ins, and in the meantime are warning residents in the area to be on their guard and do as much to protect themselves and their homes as they can.

Consumers that are looking for affordable home insurance coverage are able to choose from a range of options these days, and it is therefore possible to get a low cost policy that provides adequate protection. Police have confirmed that a number of high value gadgets and cash were taken in the recent break-ins, so consumers could save themselves a fortune in the cost of having to buy replacement simply by ensuring that they have insurance cover in place.

Tags: norwich, insurance cover, Insurance, home insurance, police, claim, business, protection

England fans need to sort out travel cover

A huge number of lucky England football fans will be looking forward to jetting off to South Africa over the coming weeks to enjoy the excitement of the World Cup, which kicks off in June. Many will already have sorted out their hotels, travel money, flights, and even itineraries.

However, many excited England fans may have forgotten about one very important element of their travel arrangements in the form of their travel insurance cover. With the possibility of things going wrong even before the trip has started, as well as the risk of something happening whilst they are away, World Cup ticket holders are being advised to ensure that they get their travel insurance sorted out sooner rather than later.

High Street retail giant Marks & Spencer, which also deals with financial products including insurance, has said that travellers heading off to South Africa for the football should ensure that they prioritise on getting travel insurance cover if they do not have any in place already.

Officials from M&S said that some travellers may find that they have to make a claim on their cover before they have even travelled, and with people having paid out huge sums of money for their trip to see the football those that do not have cover in place could end up losing out big time.

One insurance industry official said: “People get really excited about trips like this, and they spend aged getting their flights and hotels sorted out. However, many overlook the fact that they need travel insurance cover or tend to leave it till the last minute, and this can cause a real problem if a claim has to be made prior to travel.”

Tags: Insurance, travel insurance cover, travel insurance, form, time one, the World Cup, place, insurance cover

Women fail to cover themselves for critical illness or death

For many people having critical illness insurance cover and life insurance cover is vital so that they can be certain that their loved ones are protected in the event that the worst should happen. Critical illness insurance and life cover provides peace of mind and stability for those that have the cover as well as for their loved ones, and there are many different policies available from a range of providers these days.

However, according to a recent report women in the UK do not seem to be as concerned about covering themselves with critical illness and life cover as they perhaps should be, and this has caused concern amongst some industry officials. A study that was recently carried out by leading life insurance firm Axa Life showed that many women in the UK had no life or critical illness cover in place.

According to the results of the study more than 30 percent of women did not think that they needed life insurance or critical illness cover. The figures showed that only one third of women actually had any life insurance cover in place, and when it came to critical illness cover only 20 percent of women had any cover in place.

Furthermore the results indicated that of those women that did take out life insurance cover and critical illness cover many were underinsuring themselves, which could prove to be problematic for them or their loved ones in the event of critical illness or death.

An official from Axa Life said that women had become more independent over recent years in many ways, including financially, and that they needed to be more aware of possible health problems and take steps to protect themselves financially against unexpected health problems that could seriously affect them and their families.

Tags: Insurance, Critical illness insurance, women, AXA, life insurance

PPI mis-selling results in compensation of millions for consumers

Consumers in the UK have won back millions of pounds from banks and insurance companies as a result of being mis-sold insurance or becoming victims of administrative errors. According to figures the total amount won back by consumers who were mis-sold insurance or experienced errors in the last six months of last year was £284 million.

The reports show that the majority of these cases related to consumers that had been sold payment protection insurance, also known as PPI. This was a type of insurance sold alongside credit such as loans and credit cards, but came under fire several years ago after investigations found that it was being widely mis-sold by many providers of financial products and services.

The Financial Services Authority, the UK’s financial regulator, made these figures public recently, and also revealed that banks had received over 1.1 million complaints relating to unauthorised overdraft charges. Banks are now dealing with a huge backlog of these complaints following the removal of a ban on addressing the complaints, which were frozen as the bank charge case went through the High Court and then the Supreme Court.

Banks and insurance firms were said to have received 2.7 million complaints between July and December of last year, which compared to 1.6 million in the six months previous. The figures also showed that of these 45 percent were upheld in favour of the consumer.

The Financial Services Authority has, in the meantime, said that it will be coming down hard on banks that are found to be failing to deal with customer complaints effectively, and has warned that there are some banks that are trying to force customers to buy financial products that they do not want or need to shore up their own finances.

Tags: finance, financial products, Insurance, Financial institutions, bank

Car insurance premiums experience unexpected fall

It has been reported by a motoring industry group that car insurance premiums have experienced an unexpected fall, although this is said to be a short term reduction, with prices expected to increase again. The data was released by the motoring group the AA, which claims that in the first three months of this year car insurance premiums fell by 3.2 percent.

The fall in car insurance premiums was said to be a very unexpected one, particularly given that over the course of last year car insurance prices increased by 18.7 percent in total, resulting in further financial misery for the many drivers who were already experiencing problems due to other motoring costs. The fall means that the average cost of full comprehensive insurance is now £968.

However, whilst the temporary respite may come as good news to driver, particularly given the soaring price of petrol and diesel at the pumps, the lower prices are not expected to last. The report claims that over the rest of this year drivers are set to be hit with rising insurance premiums once again, and this is likely to continue for the foreseeable future.

It is thought that insurance companies at the more expensive end of the market have been reining in their prices, and this is what has caused the temporary drop in premiums seen during the first quarter of this year. However, the rest of the year will see insurance premiums increase once again, causing more financial problems for motorists.

Those that feel that they are paying over the odds for their cover are advised to shop around and compare prices in order to get a better deal. It is also worth contacting the current insurance company as the firm may be prepared to do a better deal if they think that the customer is going to move elsewhere.

Tags: finance, car insurance premiums, insurance premiums, driver, Insurance

Holidaymakers slate insurance firms over volcanic disruption

Thousands of UK holidaymakers and business travellers have had their plans disrupted following the volcanic ash cloud that has swept across from Iceland, affecting both the UK and neighbouring European destinations. For the first time British air space was effectively closed down due to the risk of damage to plane engines.

However, this left many people stranded in airports and unable to travel, and for many a major concern was being able to get their money back. Whilst airlines have been offering refunds to those that cannot travel because of the natural disaster, there is no compensation available for those that booked DIY holidays in terms of accommodation costs and car hire.

DIY holidaymakers could now end up getting a very raw deal, as although they will get their flight money back they could stand to lose a fortune in accommodation and car hire costs, as well as other related costs such as any excursions that they may have pre-booked.

Many are now turning on their insurance firms, accusing them of hiding behind the defence that the volcano eruption was an ‘act of God’ in order to avoid having to pay compensation to those that have been unable to travel. It is thought that personal losses from the disaster could amount to £20 million, and this is something that insurers will naturally want to avoid paying if they can.

One holidaymaker who was stranded at the airport because of the volcanic disruption said that her insurance company had already said that they would not be paying for her financial losses.

The customer said: ‘We rang our insurance company and they said it was an “act of God”, so they won’t cover us – we’re stuffed.’

Tags: holiday, Insurance, insurance firms, disaster, travel

Packages bank accounts could be mis-sold

Over recent years many people in the UK have upgraded their current accounts with their banks, and have signed up to a packages bank account. Read more

Tags: Insurance, packages bank account, regular bank account, packaged bank accounts, Financial Services Authority

Elderly not always getting best deal on insurance cover

Many older consumers in the UK opt for insurance services that cater specifically for the elderly, and in most cases they believe that they are getting a great deal on their cover. Read more

Tags: insurance services, Insurance, Types of insurance, British Insurance Brokers Association, insurance cover, cheaper motor insurance cover

What to consider when you take out home insurance

Every year many people renew or take out new home insurance policies to protect their belongings against theft and damage, but a recent report has highlighted how many of these people overlook necessities when taking out home insurance cover and forget to take into consideration basic needs that could end up costing them big time in terms of their finances. Read more

Tags: home insurance policies, Insurance, home insurance cover, Garden furniture, home insurance, garden tools, Types of insurance

Elderly women suffer most with car insurance costs

According to a recent report the demographic group that suffers most when it comes to the cost of car insurance is elderly women. Data from the insurance industry, which was recently released, has shown that from an insurance point of view elderly women are considered more dangerous behind the wheel than young men, and the higher risk is reflected in the cost of premiums charged to older female drivers. Read more

Tags: car insurance, Insurance, finance, insurance premiums, insurance point of view elderly women

Stick to your New Year’s resolution to save money on your insurance costs

At the start of every year millions of people make New Year’s resolutions, which at the time they fully intend to stick to. Of course, as most of us know these resolutions simply melt away into nothing within a few weeks for many of us but there are the determine few that are able to stick out their resolutions. Read more

Tags: health insurance, new year resolution, Insurance, life insurance, finance

Green insurance on offer from M&S

High Street giant Mars & Spencer has branched out into a number of different areas over the years, including financial services and insurance. It has been reported recently that those thinking of taking out cover with M&S insurance services will be able to do their bit for the environment as the retail giant is now offering green insurance cover. Read more

Tags: energy saving, Financial services, energy efficiency rating, Mars & Spencer, Types of insurance

Skiers need to remember their travel insurance

Industry experts are warning skiing enthusiasts not to skimp on their travel insurance of they are planning to head to the slopes over the coming months. Figures were compiled by the Ski Club of Great Britain recently, and officials from the group claim that more than one million people from Britain will be heading to the slopes in the months to come. However, the group also claims that worryingly nearly 50 percent of these people will fail to take out ski travel insurance. Read more

Tags: Skiing, snowboarding, Types of insurance, winter sports, Ski Club of Great Britain, travel insurance, ski travel insurance cover, ski travel insurance

Bill for losses from floods could be more than £100 million

It has been estimated that the bill for the losses that were suffered in the recent and devastating floods in Cumbria could come to more than £100 million, according to a recent report. Hundred and homes and businesses were affected after flood defences failed to provide protection when rivers burst their banks in Cumbria, Dumfries, and Southern Scotland, causing devastating levels of damage and huge losses. Read more

Tags: weather, finance, Insurance, environment, Disaster_Accident, scotland, flood, insurance providers, Association of British Insurers

Burglars’ activity rife during recession

On the back of the recent huge robbery at a London Jewellery store, where £40 million worth of loot was taken, industry officials are now warning consumers to be on their guard. Read more

Tags: August, company, Insurance, burglary, hassle

Brits try and make ends meet by taking in lodgers

In the ongoing difficult financial climate many households in Britain have been struggling to make ends meet, and this situation has been made worse by the ongoing recession, which has resulted in soaring unemployment levels leaving many households with a vastly reduced income. Read more

Tags: twelve months, lodgers, Household, recent report, rent room

Understanding the Truth About Insurance

Insurance is very complicated and many people do not understand their policies, partly because of the terminology and partly because of some of the myths surrounding insurance policies. Read more

Tags: consumption, premiums, Insurance, glass, insurance tips, act, insurance myths, MYTH 2

Consumers warned over belongings in care homes

Consumers have been warned to be careful about belongings that are in care homes, as they may not be automatically insured against theft, loss, and damage. Read more

Tags: expensive jewellery, protection, damage, care homes, addition

Drinkers being penalised by insurance firms

Anyone that life or health insurance cover will know that there are a number of factors that can affect the amount that you have to pay for your cover, such as your age, your medical history, your smoking habits, and weight, and various other factors. Read more

Tags: middle class, insurance industry official, telling lies, drink, Insurance, alcohol, health insurance cover, life insurance

Progress with PPI not fast enough

Senior officials from the UK’s financial regulator, the Financial Services Authority, have said that progress is not being made quickly enough in the crackdown on the mis-selling of PPI. Payment Protection Insurance has been at the centre of investigations and controversy for some time after investigations revealed that it was commonly mis-sold by lenders and providers. Read more

Tags: fsa, consumers, relation, mystery, Insurance, lenders

Is wedding insurance cover a good idea?

As a nation we Brits love to feel secure and safe with total peace of mind that we have done all we can to protect ourselves and our loved ones from a range of eventualities. This is why the insurance industry has become so huge, with Brits taking out all sorts of insurance policies to cover all sorts of circumstances. From travel insurance and home insurance to insurance for our pets, cars, mobile phones, health, and even our lives, insurance is something that gives us a sense of security – and often helps us to avoid the huge financial losses that we may otherwise have faced without it. Read more

Tags: security, wedding insurance, Marriage, reception, total peace, Insurance

Is wedding insurance cover a good idea?

As a nation we Brits love to feel secure and safe with total peace of mind that we have done all we can to protect ourselves and our loved ones from a range of eventualities. This is why the insurance industry has become so huge, with Brits taking out all sorts of insurance policies to cover all sorts of circumstances. From travel insurance and home insurance to insurance for our pets, cars, mobile phones, health, and even our lives, insurance is something that gives us a sense of security – and often helps us to avoid the huge financial losses that we may otherwise have faced without it. Read more

Tags: specialist, whole lot, Insurance, outfits, store, wedding insurance, getting hitched

Massive fine for insurance broker over cancelled policies

A well known insurance company has been accused of treating customers unfairly, and as a result has been fined £735,000 by the Financial Services Authority, the UK’s financial regulatory body. The insurance firm, Hastings Insurance Services Ltd, was found to have cancelled the policies of customers after finding that the cover had been sold to the customers too cheaply due to a computer error. Read more

Tags: new car, watchdog, finance, industry watchdog, insurance firm, Hastings Insurance Services Ltd

Consumers looking to remortgage could experience problems

With lenders raising the borrowing costs on their standard variable rate interest mortgages, and many people due to come of cheap mortgage deals, there are many homeowners that may be thinking about remortgaging in order to ensure a more affordable deal as their existing mortgage deal draws to an end. However, some industry officials have said that many of those looking to remortgage could experience real difficulties. Read more

Tags: interest mortgages, bank, Insurance, remortgage, uncertainty

Banks make huge profits from overdraft fees

A recent report has suggested that banks are making huge profits from the controversial overdraft fees, which have been in the financial headlines lately having been at the centre of a high court test case with regards to their fairness, with some banks charging close to £40 per fee even though the cost to the bank is often just a few pounds. Read more

Tags: overdraft limits, cut, court test, interest, conclusion, centre, Insurance

Increasing number of first time buyers look to brokers for assistance

Officials have claimed in a recent report that an increasing number of first time buyers are now looking to mortgage brokers for advice and assistance in finding a mortgage. It is thought that this is something to do with the tighter credit conditions stemming from the global credit crunch, and with the increased difficulties that many first time buyers are experiencing when it comes to getting a mortgage many are hoping that an experienced broker can help them to find the right mortgage. Read more

Tags: put, recent months, plunge, credit conditions, industry professional, remortgage, year, Insurance

Unions angry over insurance job cuts

Officials from unions have been angered by a decision by insurance giant Aviva to cut eighteen hundred jobs around the country. Just two years ago the company moved part of its operation to India, and ended up cutting around four thousand people from the workforce. This latest announcement has further angered union officials. Officials from Aviva say that the move is designed to improve service and cut costs, but this has not impressed unions. Read more

Tags: Insurance, Product Issues, number, unemployment, job cuts, aviva, union officials

Insurance firms could face huge losses

According to a recent report the insurance industry could be facing huge losses as a result of the global credit crunch, with tighter household finances forcing many consumers to either downgrade or cancel their insurance cover in order to make ends meet each month. A survey was carried out by officials at Deloitte, and showed that around one if every four consumers were planning to either cut or cancel insurance cover in order to save money at what has become a very financially turbulent time. Read more

Tags: level, party, global credit crunch, housing, poll, Insurance, savings insurance, payment

Drivers ‘failing to check cover for Europe’

More than 4.3 million Britons plan to drive their vehicles to Europe this summer but many fail to inform their insurer, a report has revealed.

Research published by car insurance supplier Sheila’s Wheels shows almost half of motorists now take their cars when holidaying in Europe, rather than choosing to catch an aeroplane.

Furthermore, 15 per cent of drivers admit simply assuming they are covered for driving overseas and would take their cars to Europe without checking.

It discovered that 18 per cent of people would check their documents before taking their cars abroad and only ten per cent would phone their insurance providers to check their cover was valid.

Jacky Brown at Sheila’s Wheels car insurance said: “When planning to take a car to Europe, it is crucial for motorists to call their insurer and tell them that they want to extend their level of cover for driving abroad.”

Sainsbury’s Bank also published research this week suggesting that 17 per cent of people plan to take their motors abroad during the next year.

Tags: planning, Automobile, published research, checking, plan, britons

Summer tennis may see ‘more home insurance claims’

Home insurance claims involving broken windows may increase in the run-up to the Wimbledon tennis championships, it is claimed.

The number of claims made in June last year for broken windows and other glass breakages was almost a fifth higher than the number of claims made in January of the same year, according to the Halifax.

People in Birmingham and Solihull made more home insurance claims in 2007 than anyone else for incidents involving broken glass, the data suggests.

Head of underwriting for Halifax Home Insurance David Rochester said that there is often an increase in these types of claims during the summer months.

He commented: “We’d advise any budding Murrays and Sharapovas to take care when playing ball sports close to home, and check they are insured for accidental damage should a mishap occur.”

Separate research revealed last week by Tesco personal finance suggests that messing around or horseplay results in damage worth £325 million to British homes each year.

Tags: solihull, personal finance, tennis, underwriting, care, summer, wimbledon, Insurance

Brits’ love of horseplay costs £325m to damage to homes

The biggest cause of damage to homes has been found to be ‘horseplay’, which results in a total bill of £325 million each year, a new report has found.

Research from Tescocompare.com has revealed that one in four accidents in the home is caused by Brits ‘messing around’.

A further £95 million pounds worth of damage is the result of people having a little too much to drink and causing an accident, the most common type being a spillage, according to the study.

More than one in three say they have damaged carpets, curtain or furniture by spilling something on them.

Commenting on the research, Paul Baxter from Tescocompare.com, said: “As the saying goes accidents do happen – and this research suggests many of us suffer financial loses on an annual basis. You can insure against accidental damage.”

In related news, the website recently revealed that 64 per cent of Brits stayed with the same home insurer last year even though 44 per cent saw a price hike.

Tags: love, Insurance, hike, home insurer, Lloyd's of London, Paul Baxter, biggest cause

Don’t take your gadgets travelling if you ‘can’t bear’ to lose them

Backpackers heading off for their summer holidays have been warned by Lonely Planet that they should not take expensive technological gadgets with them if they “can’t bear to lose [them]“.

Tom Hall, travel editor at Lonely Planet, commented that although holidaymakers are increasingly packing their iPods, cameras and mobile phones when going abroad, they should not do so if they are afraid of losing them.

Mr Hall noted that the trend towards taking expensive devices on holiday highlights the importance of having the right travel insurance policy.

“There are very good reasons why people might want to take all of those items with them but I think that it once again underlines the need for people to have travel insurance,” he commented.

In related news, esure has advised travellers to check the small print on their insurance documents if they are planning an adventurous holiday to make sure they provide proper cover in the event of an accident.

Tags: Insurance, Esure, summer holidays, MerchantCircle, Planet, summer, print, editor

Gap insurance ‘more relevant’ for new cars

Guaranteed Asset Protection (Gap) insurance is more “relevant” for people who are buying a new car as opposed to a second-hand one, Auto Trader magazine has said.

Tom White, a spokesperson for the magazine, said that people considering buying a new car should look around for the most competitive Gap insurance deal.

“We’d always recommend some element of price comparison, but also benefits comparison – there are a number of different Gap type products so cover will vary considerably,” he commented.

Mr White noted that this type of insurance is more important for new and expensive cars, adding that it is therefore not an important consideration for all drivers.

According to the AA, the average car loses around 40 per cent of its value by the end of the first year.

By the end of the third year the average car will have lost around 60 per cent of its value if its owner drives about 10,000 miles a year.

Tags: Insurance, owner, new cars, auto trader magazine, car, Gap, Asset Protection, different gap type

‘Be open’ with your car hire company

Tourists travelling abroad this summer and planning on renting a car should be honest with the hire company, particularly if they are thinking of doing anything “slightly out of the ordinary” such as driving across the border to another country.

Neil Greig, the director of the IAM motoring trust, has said that drivers taking their hire car into another country risk invalidating their car insurance.

However, he noted that this is not always the case and holidaymakers can safely drive from Spain to Gibraltar without negating their insurance.

“It is always worth checking the fine print because if you do end up having an accident you may not have breakdown cover [or] you may not have insurance cover if you actually damage the vehicle,” Mr Greig warned.

According to Which? people are often unaware that there is often a large excess, sometimes more than £1,000, when hiring a car abroad.

Tags: United States, breakdown, tourists, breakdown cover, border, Insurance

It’s ‘risky’ not to take out life insurance with your mortgage, says expert

Although people are trying to save money as they find their finances increasingly squeezed by the credit crunch, neglecting to take out life insurance along with a mortgage can be “risky” an expert has advised. Read more

Tags: provider, Plan Insure, economics, critical illness cover, plan, Insurance, life insurance, assurance

Getting a great deal on insurance

In the UK there are many different types of insurance cover available, and this is designed to provide us with protection and peace of mind against a myriad of possible situations and eventualities. You can get insurance to cover everything from your car and your home to your pets and your life, and there are many different companies offering insurance deals to suit a wide range of needs and circumstances. Read more

Tags: doesn, hassle, different types, Admiral Group, financial losses, level, Insurance, peace

Insure yourself even for a short trip, says expert

Anyone planning on booking a last minute getaway this summer should make sure they are properly covered by their travel insurance policy, even if they are only going away for a few days, Norwich Union has said.

Sally Leeman, the media relations manager at the company, said that the cost of paying for medical emergencies when in another country, particularly if they are serious and warrant a hospital stay or being taken back to the UK, can run into thousands of pounds.

Despite these risks, Sainsbury’s Travel Insurance found that not everyone who booked a trip last summer made the effort to get the right travel insurance.

Nearly one in five people who bought their holiday at the last minute last year travelled without insurance.

“If you are likely to travel a few times a year consider taking out annual insurance – it can save you money and mean you are covered for the whole year which is ideal for those ’spur of the minute’ trips away,” Ms Leeman advised travellers.

Tags: minute getaway, short trip, Insurance, Hospitality Recreation, few days, Travellers, Anyone planning, country

RIAS: Get covered if you’re driving abroad this summer

People thinking about going on a road trip round the continent in their cars this summer need to make sure they have the right kind of cover, insurance specialist RIAS has warned.

The company has advised drivers hopping across the channel during the holidays for a scenic tour of Europe to make sure they have their paperwork in order before they go and to take their UK driving licences, vehicle registration documents and certificates of motor insurance with them.

Managing director Janet Connor said: “Getting the correct insurance in place should be as essential a part of a pre-holiday to-do list as remembering to pack your toothbrush.”

Forgetting about insurance can prove costly – getting towed home can cost more than £1,000, according to RIAS.

The news comes just after AA Ireland advised people driving to the Emerald Isle this summer to check their insurance covers them to the same level as in the UK.

Tags: Admiral Group, Managing director, Janet Connor, vehicle registration, Insurance, vehicle registration documents

Brits spend over £200 replacing damaged contents

A quarter of Brits are spending in excess of £200 annually replacing damaged items in their homes, it has emerged.

Research conducted by Direct Line highlights that more than 30 per cent of accident-prone individuals have spilt red wine on their carpets, while more than a third admit to breaking ornaments, vases and photo frames.

Furthermore, 40 per cent of respondents said they had damaged furniture as the result of an accident.

Andrew Lowe, head of home insurance at Direct Line, says: “We all accidentally damage contents in our homes at some point. While these items are often small objects such as crockery or ornaments, the cost and inconvenience of damaging something with sentimental and material value is extremely frustrating.”

The insurer asserts that accidental damage cover can give homeowners “peace of mind” as they will know they are covered for spills and breakages.

In related news, the British Insurance Brokers’ Association recently urged people to seek advice from a broker before taking out a policy.

The association advised that this will help avoid over insuring and wasting money.

Tags: policy.The association, furniture, excess, Business Finance, Insurance, policy, accident, damaged items

Check your insurance if you’re heading to Ireland, says AA

Holidaymakers travelling to Ireland this summer need to make sure that their car insurance policy covers them for driving abroad, AA Ireland has advised.

Thomas Brosnan, spokesperson for the insurer, said that people planning a road trip to the Gaelic nation need to check that if they have comprehensive cover in the UK, they also have the same terms in other countries, otherwise they could be caught out and have a hefty bill to pay in the event of an accident.

Last year, nearly five million Brits visited the Emerald Isle, with most of them staying in Dublin (63 per cent), according to figures from Tourism Ireland.

For those thinking of taking their cars to discover the country by car, Mr Brosnan offered the following advice: “If a person is bringing their own vehicle here, certainly they should check with their own insurance company the level of cover they will have while here.”

Tags: Types of insurance, Tourism, hefty bill, planning a road trip, trip

On yer bike for cheap insurance, says AA

AA Insurance has said that people can save money on their insurance premiums by switching from cars to motorbikes.

The insurer went on to say that using a motorbike “makes sense” for other reasons, such as being able to get around inner city areas more easily.

Bikers can also benefit from not having to pay the congestion charge in London and bikes are easier to park as well as being “somewhat cheaper to insure” than cars, according to AA Insurance public relations manager Ian Crowder.

The idea has already crossed some people’s minds, as 14 per cent of women have said they would consider swapping their car for a motorbike to save money, according to statistics released by the Post Office this month.

Almost a third of people (29 per cent) who ride motorcycles said they did so because it was cheaper than keeping a car.

However, Mr Crowder said he did not think there would be a vast increase in the number of bikes on the roads

“People aren’t abandoning cars in favour of bikes, what they are doing is perhaps getting a bike so they can commute because riding a motorbike is a solitary occupation.”

Tags: public relations, Insurance, number, cars, london

Holidaymakers incur charges by using plastic abroad

Holidaymakers are being warned that using debit and credit cards abroad could prove costly due to the charges implemented by providers.

Moneyfacts claims that the majority of travellers opt to use their plastic overseas as travellers cheques are seen as old fashioned, but added that these individuals need to be aware of hidden charges.

The site claims that some credit card providers charge up to three per cent for both purchases and cash transactions when using the card in a foreign country.

“This charge is applied each time the card is used and can soon mount up to a significant amount,” states a spokesperson for the site.

Methods for minimising the effects of these costs include taking out cash in larger lump sums to avoid a number of payments.

“Customers could find their balance much lower than expected when they get home if they are not careful”, concluded the spokesperson.

Meanwhile, in related news, the Association of Independent Tour Operators recently stated that do-it-yourself holidays are often a false economy as booking in this manner can mean that people are not covered by insurance.

Tags: card, Insurance, travellers cheques, independent tour operators, Business Finance, larger lump sums, lump sums, balance

ID fraud insurance policies increasing

The number of ID fraud insurance policies has been growing in recent years as ID theft has become more prevalent, but many people still have not considered taking out this kind of insurance, Equifax has said.

According to the company, many people do not think they will be affected by ID fraud and therefore do not take out an insurance policy against it.

The UK’s fraud prevention service CIFAS said that 77,500 cases of ID fraud were reported last year.

In February 2008, research from the insurance company CPP found that London is the worst place for credit and debit card fraud and theft, with 20 per cent of Londoners reporting that they have had credit cards stolen and 28 per cent saying they have been a victim of credit card fraud in the past.

Neil Munroe, external affairs director of Equifax, said: “There are more policies out there and they are quite varied in what they cover, from basic support to more involved support, but they do vary in terms of what they will offer you.”

Tags: UK's fraud prevention, ID fraud, Insurance, Ethics, external affairs

Smokers face double the life insurance premium

Smokers may be faced with life insurance premiums that are twice as high as those for non-smokers, says an expert.

In particular, older people who smoke can expect a large reduction in the price of their life insurance if they quit, according to Life Direct.

Kieran Platt, director of the insurance information provider, said: “If you smoke it can double your premium quite easily. Smoking massively affects life cover premiums and that affects our lifestyle.”

A survey by Norwich Union from March 2008 found that 37 per cent of people without life insurance said that they either had not considered it or were intending to buy it eventually.

Ten per cent of respondents said they had no dependents and therefore felt no need for insurance, while as many as 44 per cent decided to buy cover after they bought their first home.

Mr Platt also said that taking part in clinical trials may impact the cost of life insurance, particularly if they are for an untested drug as companies are unlikely to be willing to pay insurance in that situation.

Tags: director, lifestyle."A survey, information, home.mr platt, life, cost, Insurance, insurance information provider

Greener cars mean lower tax and insurance, says expert

Drivers of greener vehicles can take advantage of lower tax and insurance costs, which may be especially beneficial under the current credit crisis, the British Insurance Brokers’ Association (BIBA) has said.

Since road tax is based on emissions, owners of green cars will save money compared to other car owners, particularly those who have four-wheel drives.

Insurance is based on risk-based pricing, which is made up of several factors, including a person’s age, experience, the type of car, and the value of the car.

According to Articlesbase, the recent budget introduced an increase in car tax and a 2p rise in fuel costs to come in effect from October 2008, although critics are unsure whether the tax cuts for greener cars will encourage drivers to consider cleaner transport.

However, Graeme Trudgill, technical and corporate affairs executive for BIBA, says: “People recognise that the large four-wheel drive vehicles aren’t so popular and therefore people are now thinking more about buying more environmentally friendly cars like the Toyota Prius.”

Tags: insurance costs, lower tax, fuel costs, effect, four-wheel drives.Insurance, executive

Number of people driving with no insurance “extremely worrying”

Motorists driving without insurance should face stiffer penalties, states an expert website.

Statistics from Moneysupermarket.com revealed that up to one in seven motorists have driven their vehicles without any insurance coverage.

Further figures from the Motor Insurers’ Bureau (MIB) last year calculated that drivers without insurance were more likely to have been charged with drink driving by up to ten times.

Vehicles in the control of uninsured drivers were 6 times more likely to be deemed unsafe.

Deborah Williams, managing director of Confused.com, said the statistics were “extremely worrying”.

She is calling for more effective deterrents such as those introduced to combat mobile phone use while at the wheel.

“Perhaps more rigid penalties and greater education should be pursued for similarly dangerous offences such as speeding, driving without due care and attention, and for driving without insurance which is in essence, fraud,” added Mrs Williams.

Driving uninsured causes up to 160 deaths per year reveal MIB statistics.

Tags: driving without insurance, Insurance, Drunk driving, moneysupermarket, Technology Internet, rigid penalties, use, Moneysupermarket.com

How younger drivers can save money on their car insurance cover

For many years younger drivers have been penalised because of their age and inexperience when it comes to getting car insurance, and for many younger drivers the cost of cover can be crippling. Read more

Tags: Insurance, young person car insurance, sporty design, car insurance market, insurance cover, driver’s lack, insurance companies, car insurance

Congestion charge behind increase in motorcycle registrations

The increase in motorcycle and moped registrations could be attributed to commuters leaving the car at home in a bid to avoid the congestion charge, one insurance expert has claimed.

According to a spokesperson for insurance provider Churchill, the driving force behind the
increase in moped and motorcycle registrations during 2007 could be “due to people commuting by bike rather than car and congestion charging.”

Motorbike insurance policies can vary from insurer to insurer in terms of what factors they take into account and may depend on personal circumstances such as driving history and area postcode, said the firm.

Although people can buy motorbike insurance specifically for women, as with cars, Churchill said it offers the same insurance for both male and female motorists.

According to the Motorcycle Industry Association SMART guide, scooters cut journey times in London by an average of 48 per cent.

New figures also show that more than 3.5 million people are now licensed to ride a bike.

Tags: 5 million, commuters, congestion, provider, smart guide, insurer, insurance provider, Insurance

One in seven drivers admit to getting behind the wheel with no insurance

Up to 15 per cent of motorists admit to driving a car without being covered by insurance, according to new research.

The findings from moneysupermarket.com show that nine per cent broke the law while behind the wheel of someone else’s vehicle and a further six per cent said they had driven their own cars without having any cover in place.

Richard Mason, director of insurance at moneysupermarket.com, said that anyone who drives without insurance, no matter the length of the distance and whether it is their car or not, is breaking the law.

“Not only that, but it costs the insurance industry over £500 million each year in claims, which drives up the cost of insurance for responsible motorists,” he continued.

Men are more than twice as likely as women to drive while uninsured, with 21 per cent admitting doing so according to the results of the study.

Meanwhile, a study conducted by confused.com revealed that men are officially worse drivers than women.

Tags: insurance industry, distance, research, cover, Business Finance

Drivers urged to tell the truth when applying for insurance

Despite car insurance being at highest recorded levels, drivers need to avoid the temptation to lie to acquire cheaper premiums, one financial expert has urged.

According to Gocompare.com, some drivers will look to cut insurance costs by withholding information to insurers which, if they get caught out, could increase costs later on.

Providing incorrect information is a “false economy” as it can invalidate a policy and mean it is more difficult to get insurance in the future.

Hayley Parsons, Gocompare’s managing director, said that insurance represents a large proportion of the money drivers spend on their vehicles so they are always on the lookout for savings.

“One of the best ways to save money on your insurance is not to just accept your renewal quote, the best company for you 12 months ago, may not be the best today,” she added.

Meanwhile, research from uSwitch revealed that UK motorists pay £333 million per year in fees to car insurers to make changes to amendments to their policy.

Tags: uswitch, GBP, Insurance, research, finance, renewal, business, Vehicle insurance

Stag and hen parties should remember travel insurance this weekend

Those embarking on a stag and hen party this weekend need to remember to book travel insurance, one financial expert has warned.

Fairinvestment.co.uk says many brides and grooms-to-be celebrate this weekend due to the Bank Holidays – but revellers travelling abroad need to remember their insurance as the chances of illness and accidents are high.

According to the company, new statistics from Egg reveal that one in five travellers will lose valuable items and without travel insurance these items will not be replaced.

James Caldwell, director of Fairinvestment.co.uk, said that travelling anywhere without insurance “is a risky business”, never mind on a hen or stag do.

“I strongly advise the best man or bridesmaid in charge to make insurance a priority,” he continued.

According to the company, it could cost up to £3,000 to be returned to the UK in an emergency from any of the most popular stag and hen destinations such as, Spain, the Netherlands or France.

Meanwhile, further research from Sainsbury’s Bank said that up to one in ten of Easter holiday makers are expected to travel without insurance.

Tags: Bank Holidays, hen, company, further research, travel

Over a million ‘lie’ to insurers

Over a million people have knowingly given false information to insurers, new research suggests, meaning that their policies could be invalidated.

An even greater proportion admit to guessing at certain details because they do not have the time to find out the necessary information, according to research from Sainsbury’s Bank.

Extrapolating the results of the survey to the population at large, Sainsbury’s Bank’s findings suggest that 1.12 million people have deliberately lied on insurance forms and 12.59 million have estimated figures.

Home insurance was the area provoking the greatest levels of dishonesty, with 18 per cent of respondents admitting to lying. Car insurance was second, with 15 per cent.

Nevertheless, it was those guessing at crucial figures that caused Steve Johnson, head of Insurance at Sainsbury’s Finance, greatest concern.

“It really is quite concerning that so many people seem to think it doesn’t matter if they take a guess at the information requested at the point of taking out cover. Although it may seem like a good idea in an effort to save time, it could become a real headache later when they find they have invalidated their claim,” he warned.

“We would encourage people to always take the time to go back and check any details.”

Tags: headache, head, false information, crucial figures, Extrapolating, home

Highest number of insurance calls since 2007 floods

The recent storms and bad weather have generated the highest number of calls since the floods of last summer, according to one insurer.

Abbey stated that call volume doubled by half with people enquiring about their insurance cover while claims increased by over 55 per cent.

Findings from the financial expert said that the average claim total for 2007 storm damage stood at £913 while the average claim total for flood damage is £15,350.

The Association of British Insurers (ABI) said that some of its members will already have started contacting policy holders in the hardest hit areas.

Speaking to the Guardian, spokesman for the ABI, said: “Insurers will be contacting customers and saying that they know they are in the eye of the storm, as it were, and offering them help with their claim.”

Abbey insurance advised homeowners to keep all insurance and important documents in a water tight container and ensure you have a copy of your insurance hotline telephone number in the event of an emergency.

Tags: Insurance, insurance hotline, Association of British Insurers, event, container

Insurer gives storm advice

As storms and high tides continue to affect several areas of the UK, Halifax has offered some advice to homeowners about dealing with the inclement weather.

Those who are at risk from flooding are advised to place sandbags outside doors and windows to minimise the amount of water that gets inside, move furniture upstairs and turn off the main supplies of water, gas and electricity.

Meanwhile, to protect a home from windstorm damage, Halifax recommends that owners secure outside items such as garden furniture, cut back low-hanging branches and clear drainpipes of debris to decrease the chance of blocks.

Martyn Foulds, senior claims manager at Halifax Home Insurance, claimed that the insurer is “well-prepared” for the current storms and is ready to serve customers.

“We anticipate more calls coming in as the storm worsens and we are fully prepared for this,” he added.

The average cost of damage from gales each year in the UK is £300 million, according to the Met Office.

Tags: Insurance, chance, inclement, flooding, storm, home

What to look for with car insurance

Car insurance is a compulsory form of insurance cover for drivers in the UK that are taking their vehicles out on the road. Read more

Tags: breakdown, cover, site, car insurance, Insurance, installments

Car insurance premiums rise by 5%

Car insurance premiums have risen by five per cent over the course of the past year, according to new research.

Findings from Sainsbury’s Bank revealed that the average premium was £497.26 in December 2007, compared with £472.52 in December 2006 which saw an increase of 5.24 per cent.

Joanne Mallon, Sainsbury’s Car insurance manager, said: “Car insurance premiums continue to rise which makes it all the more important for motorists to shop around for competitive insurance.”

She added that “the trick” is cutting your costs without cutting your cover.

Those motorists aged between 40 and 50 saw an average rise of seven per cent, which was the highest of any age group, higher even than the under 25s who had rises of just 6.59 per cent.

According to bank’s figures, men continue to pay more for their car insurance than women on average – £525.35 compared with £453.38.

Meanwhile, the bank has also warned drivers to be wary of ‘frosting’, a technique thieves use to take advantage of drivers who leave their cars unattended while warming up the engine.

Tags: sainsburys, Insurance, car, car insurance premiums, age, course, trick, Sainsbury

Single consumers better off than those in a couple

Single consumers are richer than those spenders in relationships to the tune of almost £4 million according to new research.

Findings from Fool.co.uk show that the average single Brit is better off by £255.42 per month.

The average Brit not in a couple spends £281 a month on rent and bills, compared with the £500 paid out by someone in a relationship – meaning £2,600 saving per year on rent alone.

David Kuo, head of personal finance at Fool.co.uk, said: ” Money can’t buy you love, but it can help to ease the burden as pay day gets further away and the bills start rolling in.”

He added that the firm were not suggesting that money will ever replace the warm glow felt from loved ones, “but if you can’t be with the one you love, then learn to love your wallet”.

The average Brit in a relationship spends £39.50 per month when dining with friends – compared with just £22.85 forked out by singletons.

Meanwhile, UK payments association APACS has said that changes to processes on cashing cheques mean they offer “more certainty” than before.

Tags: Numismatics, couple, Insurance, Relationships, rent, wallet".the average brit, burden, United Kingdom

Pet insurance ‘can save owners money’

Pet insurance is an important consideration for any pet owner regardless of whether an animal is healthy or not, a leading pet charity claims.

Jenny Davies, press officer for pet charity PDSA, pointed that insurance can provide cover for unexpected veterinary fees and an owner’s peace of mind.

“It is also an important consideration when thinking about the owner’s liability for their pet’s actions, such as damage to a person or property,” she said.

According to the charity, it is also important for pet owners to find out as much as possible about the breed of animal they have as this can play an important factor in how much vet’s fees come to.

Ms Davies said this was important as certain pets are more susceptible to certain conditions.

Meanwhile, recent research from the PDSA showed that one in three dogs and one in four cats are overweight

The data was collected from over 5,000 dogs assessed on the charity’s PetCheck vehicle and over 500 pets assessed in PDSA’s PetAid hospitals.

Tags: jenny davies, Pets, Personal life, PDSA, four cats, person, Insurance, certain conditions

Insurance can play ‘important role’ in protecting finances

Insurance can play an important role in helping consumer meet their financial commitments, one expert has claimed.

The Association of British Insurers (ABI) has said that taking out insurance can significantly improve a situation when household experiences financial difficulties due to unemployment, illness or loss of life.

Nick Starling, the ABI’s Director of General Insurance and Health said: “It is important when people are taking out a loan or a mortgage that they think about how they would meet repayments should they fall ill or become unemployed.”

Statistics show that 23 per cent of people will be jobless at one stage in their lives while more than one in three could be out of work for more than a year.

The most vulnerable groups who have no insurance or coping strategies in place include single income families, single parent families, larger families and single women aged between 18 and 35.

Meanwhile, earlier in the month the ABI has made a commitment to ensure claims are assessed fairly and paid “without fuss”.

Tags: single income families, commitment, director, financial difficulties, Insurance, Association, Single-parent, place

Homeowners ‘do not have adequate insurance’

Up to one in five of Brits have no home insurance while a quarter do not know what their policy covers, according to a recent poll.

Findings from the Nationwide showed that many respondents are at the risk of being underinsured with 14 per cent of people admit to not have any contents insurance.

This is despite the average homeowner having home contents worth between £14,000 and £21,000.

Nationwide’s insurance director, Robin Bailey, said: “It is surprising that so many people are prepared to take such a gamble on their homes and personal belongings when you consider how much time and money we all invest in our homes.

He added that as consumers never know “what is round the corner”, they would benefit from being prepared by having adequate insurance.

However, the survey also showed that those aged 45 and over are more likely to have both buildings and contents insurance and claim to possess full knowledge of what is covered.

Meanwhile increasing numbers of homes are at risk from dangerous weather, Abbey Home Insurance has stated.

Tags: home contents, Insurance, Financial services, contents insurance, quarter, Brits

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.

Tags: insurance premium, uninsured driving cost, Graeme Trudgill, motorists, Insurance, Oceania, uninsured vehicles, british insurance

Insurance claimants to have sincerity tested by new technology

Insurance providers are to test the sincerity of claimants by using Voice Risk Analysis (VRA) software, according to new reports.

The software measures the level of stress in a caller’s voice sending messages such as ’stress’, ‘excitement’, and ‘high tension’ to diagnose the truth of a claim.

Digilog, the company behind the technology, has 16 insurance clients, including esure, Halifax, Provident and Highway, but has been criticised by human rights group Liberty for being unreliable.

Speaking to the Observer, Gareth Crossman, Liberty’s policy director, said: “It assumes that stress is indicative of fraudulent behaviour [but it] should only be used to indicate where further questioning might be appropriate.”

The Association of British Insurers (ABI) has also been sceptical about the new technology being able to cure insurance fraud.

According to the ABI it costs £1.6 billion a year and adds an extra five per cent to premiums.

ABI spokesman Malcolm Tarling said that no insurers are going to rely on it solely because it measures stress patterns – and “when you claim, you have a certain degree of stress anyway”.

Tags: caller, Insurance, Liberty's policy director, sincerity, crossman, tension, group, tarling

Using life insurance to pay inheritance tax is too expensive

Attempting to use life insurance to cover inheritance tax (IHT) bills is risky and expensive, according to financial experts.

Calculis said that the type of IHT the company offers is all about preserving an estate while, with life insurance, a premium is paid to take advantage of benefits.

Alex Pegley, director for Calculis, said: “If you can, through the use of trusts and specific types of investments actually reduce the inheritance tax bill, why use life insurance?

He added: “I don’t like life insurance for inheritance tax planning; it’s just pouring money down the drain.”

Mr Pegley also stated that the “nature of life insurance contracts” is that as one gets older and closer to needing to claim on them, the premiums go up.

Inheritance tax is paid on death at 40 per cent on all individual estates worth more than £300,000.

On 9 October 2007 the Chancellor of the Exchequer Alistair Darling raised the tax-free threshold to £600,000 for spouses and civil partners.

Tags: Insurance, finance, Alex Pegley, IHT, company, Social Issues, law, 9 october

Life insurance prices offer savings

Life insurance policy holders are wasting millions of pounds by not shopping around or sticking with their old providers, it was claimed this week.

The price of life insurance has been dropping steadily in recent years, but many of these benefits have not been passed on to existing customers who do not review their policies, according to LifeSearch.

With average premiums down 40 per cent compared to five years ago, there are big savings to be made, while the price of critical illness insurance also began to fall during 2007.

Matt Morris, LifeSearch Policy Adviser, said: “There are a number of actions that customers can take in the new year to freshen up their finances and save a bit of money. The main thing is to take action. Don’t wait until New Year’s Day 2009 comes round before you start thinking about this again.

“However, it is important to remember that price should not be the only consideration when choosing a protection product and customers should look at the policy that offers the best value for money. This means looking at the product which most suits individual circumstances and offers additional benefits.”

Tags: Health care reform in the United States, Insurance, old providers, Life insurance policy holders, round

Frost increases theft as cars left unattended

“When the icy mornings start” theft claims increase, as drivers leave their cars unattended while defrosting, say insurance experts.

The British Insurance Brokers’ Association (BIBA) says that car owners should stay with their vehicles to avoid becoming victims of this new type of car theft – “frosting”.

Graeme Trudgill, technical and corporate affairs executive at BIBA, said: “Unfortunately, gone are the days when you can leave your door open…and the same goes with your car. You do need to take security measures there.”

He added that drivers are being sensible by defrosting in the first place, as it would be dangerous to drive with only a small gap in the windscreen through which to see.

However, it could be contentious when making an insurance claim in a situation where a driver has left a vehicle unattended as insurers will argue “you haven’t taken reasonable care,” warned Mr Trudgill.

In January 2007, Sainsbury’s Bank estimated that between 2000 and 2005 as many as 121,730 households may have become victims of “frosting”.

Tags: Financial services, Insurance, January, theft claims, theft

Winter is a good time to make improvements to home insurance

“Winter is an ideal time to consider making improvements to home security”, claim leading insurance experts.

Halifax Home Insurance has said burglars are more likely to target those properties which are easiest to get into and has issued a series of tips to help deter any potential thieves.

David Rochester, head of underwriting for Halifax Home Insurance, said: “Darker nights provide cover for criminals looking to break into homes, and the rich pickings available to burglars in the form of presents under the tree can prove all too tempting for the opportunist burglar.”

The advice includes fitting visible key-operated locks to the windows, especially on the ground floor, and security lights

He also said that expensive items such as mp3 players, jewellery, mobile phones and car keys can act as an “open invitation to burglars” if left on full view near a window.

Recent research by Liverpool Victoria revealed that burglary and theft accounts for 36 per cent of crime in the UK and costs the nation an estimated £2.8 billion a year.

Tags: lightsHe, home, insurance experts.halifax home, Mp3 players, expensive items, invitation, ground floor

Low levels of fraud with life insurance

“There are very low levels of fraud in the life insurance arena,” according to the Association of British Insurers (ABI).

Jonathan French, spokesperson for ABI, said: “Life insurance companies have a number of checks and balances in place to minimise fraud and there are very low levels of fraud in the life insurance arena.”

He added that the ABI have yet to make any official comments on the circumstances surrounding the Anne and John Darwin case, but it is “safe to say it is very unusual”.

In large scale incidents or natural disasters some insurance companies will pay out for life insurance policies even when there was neither a body nor formal death certificate.

This would occur when there was sufficient and substantial evidence for the presence of the individual in an area that was very badly affected, said Mr French.

According to research from the ABI, 40 per cent of households have life insurance. In 2006, the UK insurance industry paid out £17 million per day in death benefits.

Tags: area, Ethics, Life insurance companies, Financial economics, Insurance, life insurance arena, finance, insurance fraud

Parents should encourage children to save

Parents should highlight the costs of raising a family and encourage children to begin saving from an early age, claims an insurance company.

Liverpool Victoria (LV) said that pocket money – which on average currently amounts to £5,469 from the age of five to 18 – could turn into “quite a nice sum” if invested into a savings account as the child grows up.

Lucy Pope, media relations manager for Liverpool Victoria, said: “It’s really good for the child to actually see how things are growing, and obviously with the onset of technology children can be more savvy with online savings.”

“I think actually being able to see their money grow and things like that is a really nice way of bringing it all to life,” she concluded.

According to the most recent LV annual Cost of a Child survey, the average cost of raising a child up to the age of 21 is £186,000.

The most expensive costs are estimated as over £47,000 spent

Tags: Insurance, Social Issues, child, cost of raising a child, nice sum, average cost of raising a child, savings account, lv annual cost

Do you need additional insurance for your Christmas gifts?

With consumers across the UK clamouring to the shops to get their Christmas shopping sorted out, retailers are raking in the money despite the apparent slowdown in the economy and in consumer confidence.

Many retailers are also looking at ways to increase profits at the busiest time of the year, peddling everything from high interest rate store cards to costly insurance policies. Most people are aware of the dangers of store cards, which charge a fortune in interest if the balance is not repaid in full each month. But what about insurance cover on the gifts that you buy?

Most people will be familiar with the patter that sales employees give when purchasing certain items such as electrical gadgets. This is where the employee tries to persuade you to take out additional cover to get the item replaced if it breaks down or gets damaged within the first three years. However, this cover can be expensive, often coming to a third of the price of the actual item, and many retailers try and push this cover on items as cheap as a fiver, which could be easily replaced by the consumer in the event that anything happened.

However, experts are warning that even with more expensive items consumers should think carefully before shelling out on cover, as in many cases this cover may be unnecessary. Industry experts state that consumers already enjoy a high level of protection without having to take out additional cover, with the manufacturer’s warranty, credit card purchase guarantees under Section 75 of the Consumer Credit Act, and the Sale of Goods Act.

Those that do wish to benefit from additional protection on the gifts and items that they purchase over the Christmas period may fare better by looking into specialist stand alone policies that provide cover for several items rather than a specific item. In addition, consumers should remember that many of the items may be covered under their home insurance policy.

Tom Smith
10th December 2007

Tags: protect, purchases, cost, payments, christmas, interest, shopping

People need to review life insurance requirements

Many people “are running around uninsured” as a result of neglecting to change their insurance policies to reflect changes in their circumstances, says an industry expert.

Life Direct said it is “extremely important” for people to review their life insurance policy whenever their circumstances change.

Keiran Platt, director and financial adviser at the broker, said that people should not be put off by looking at life cover options, as it need not be that expensive.

He said: “The cost of life cover has been reducing a lot over the last few years – so it may be that they can cover their new circumstances and not be paying much more.”

Mr Platt added that a lot of people cover their mortgage but do not think about protecting their family as well.

According to estimates from the Association of British Insurers, one in three Britons maybe underinsured as a result of not renewing their life insurance cover in five years.

Tags: broker, Association of British Insurers, Insurance, expert, financial adviser, director

Insurance policies ‘will increase value of items over Xmas’

Many insurance policies covering home contents will automatically raise the sum of the items insured both during and after the Christmas holidays, the Association of British Insurers (ABI) has warned.

This automatic increase will take place in order to account for the number of valuable gifts that people receive over the holidays.

A spokes person for the ABI, Malcolm Tarling, also issued a warning to students to make sure and check their policies’ stance on items which are in unoccupied property.

He said: “The value of items in homes tends to go up over the Christmas period, [but also] in the months after Christmas as well.

“I would imagine there is an above average number of iPods and digital TVs and camcorders and technical gadgets and all the rest of it.”

A recent survey from Liverpool Victoria found that the average home in the UK has over £25,000 worth of content.

Tags: Insurance, Xmas, technical gadgets, Christmas period, order

Consumers advised to increase contents cover at Christmas

Generous Brits are reminded that, over Christmas, a significant increase in the value of their home contents will impact upon their insurance.

Rural insurer NFU Mutual reported that a recent online poll found 39 per cent of Brits reporting they would spend between £150 and £300 on presents over the festive season this year.

Meanwhile, 20 per cent said they would be spending in excess of £500 pounds on gifts for friends and family at Christmas.

A spokesperson for NFU Mutual, Laura Wood, said, “People do not consider the cumulative value of the gifts which they store or bring into their home during the festive season and it is vital that they remember that the value of these presents will impact on their home contents insurance.”

NFU Mutual set out a series of precautions that could help people prevent thefts at this time of year.

It states that, rather than hiding presents in cupboards, they should be stored in the loft, gifts should not be on display by an open or exposed window and radio and lighting timers could be set to create the appearance of occupancy while residents are out of the house.

Tags: Insurance, spokesperson, window, Generous Brits, series, consumers

Payment Protection Insurance Cover

Anyone that takes out finance likes to have the peace of mind that they are protected against situations that could render them unable to make repayments, and payment protection insurance cover is an effective way to do this. Read more

Tags: cover, credit, payment, Loans, finance, cards, Insurance, cost

Do tenants need home insurance?

Home insurance is a vital form of protective cover for homeowners, as it provides valuable protection against the financial losses related to damage to the home, or damage, theft, or loss of belongings. Read more

Tags: belongings, possessions, tenant, rented, cover, damage, theft

Credit card protection ‘important’

Consumers who use credit cards on a regular basis should look to take out payment protection insurance (PPI), it has been advised.

Shane Craig, managing director of Paymentcare.co.uk, has suggested that PPI can be as important for credit cards as it is for personal loans.

He acknowledged that currently more people were taking out PPI for loans because the amounts were often higher than the average credit card balance.

However Mr Craig advised: “For people who tend to max up their credit cards, protection is just as important.”

“With credit cards being the most expensive way of borrowing money, the cumulative effects of not being able to make your repayments are punitive,” he added.

Mr Craig went on to confirm that payment protection on any borrowing was something to consider because events such as job loss and illness can come completely out of the blue.

In December 2005, 47 per cent of consumers had unsecured borrowing of £10,000 or more. The average household owes £7,650 and the overall British consumer debt is £1.3 trillion not counting mortgages.

Tags: borrowing money, repayments, credit, december, borrowing, cumulative effects, payment protection insurance, Insurance

Non-disclosure ‘more common in paper applications’

The tendency not to disclose information about one’s medical history and lifestyle is more common among those filling out paper insurance applications than those who submit them over the phone or computer, according to AXA.

With paper applications, non-disclosure accounts for 5.78 per cent being declined, whereas non-disclosure only affects 3.4 per cent of electronic applications and 1.23 per cent of phone applications, the insurer found.

In electronic applications, non-disclosure is less common because certain answers prompt more questions.

Mike Taylor, Chief Underwriter for AXA, said: “What this research shows us is that tele-underwriters’ knowledge combined with our expert underwriting system allows the relevant questions to be asked and hugely reduces the risk of non-disclosure.

“All these cases of non-disclosure were found at underwriting stage, so we were able to correct the applications and underwrite accordingly to make sure the consumer was properly covered.”

Meanwhile, a recent AXA survey found that employees use approximately five and a half days per year sending text messages.

Tags: paper, non-disclosure, Insurance, insurance applications, underwriting stage, electronic applications, lifestyle

Competition Commission still investigating PPI

The controversy over payment protection insurance has been going on for some time now, and regulators have been investigating the problems surrounding the sale of PPI after it was found that many consumers were being mis-sold this insurance, and that in some cases the cost of PPI was higher than the interest costs on a loan.

The Competition Commission has stated that its investigation into PPI is still ongoing as no conclusions have yet been reached.

The Competition Commission has stated that the issues that are being considered are complex and therefore more time and consideration is required. The Competition Commission plans to publish its provisional findings in May of next year. The chairman of the inquiry stated that the Competition Commission had already reviewed a substantial amount of evidence, but added that there were areas that needed to be looked into further.

The chairman stated: “We are far from making up our minds. But we are focussing on the amount of competition for PPI that distributors face at the retail level.”

He added that the Competition Commission was aiming to complete the inquiry as soon as possible but had to take into consideration areas that needed to be looked at further. He said: “…we are also conscious that the issues we are deciding upon are by no means simple and it is vital that we carry out our work thoroughly, ensuring that all parties receive a fair hearing.”

A number of issues relating to PPI are being looked into by the Competition Commission. This form of cover is designed to protect against falling behind on repayments on loans, credit cards, and other forms of finance.

Alan Wright
13th November 2007

Tags: Mortgages, finance, credit, cards, Insurance

Switching and saving is easier than ever

There are many different ways to try and save money on your monthly outgoings these days. You can go through your income and expenditure, and try and cut back on luxuries and money spent on social events. You can also go through and cancel any unused subscriptions, such as gym or magazine subscriptions that you don’t really make use of. Read more

Tags: cards, credit, Insurance, electricity, pet, home, Loans, gas, car, Utilities

‘Simple steps’ to save money on premiums

There are simple ways of reducing the money paid out on insurance premiums, an industry expert has explained.

According to LifeSearch, there are five principal steps in cutting back on unnecessary spending on life cover.

It lists these as, shopping around, switching existing insurer, acting early, quitting smoking and considering family income benefit.

LifeSearch suggests that now is an excellent time to buy life insurance, as premiums are at their lowest for several years, with the price of cover falling by over 40 per cent in the past five years.

“If you can decide which product you should have on the grounds of one factor, such as price, then websites which compare that factor must be a good thing…So if you know exactly what you want, and you are right, comparison sites and aggregators can be useful, ” said Tom Baigrie, managing director of LifeSearch.

One particularly useful piece of advice for those considering life cover could be to buy it as soon as possible, as the price goes up the older you are.

Tags: economics, Insurance, unnecessary spending, Financial services, product, finance, life insurance

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