A accident claims and B personal injury claims
Insurance claims for road traffic accidents generally fall into two categories a accident claims and b personal injury claims. What you can claim back depends on what type of insurance policy you hold. There are different types of vehicle insurance.
Third party, fire and theft
These are the cheapest ones. They cover damage to third parties, persons, vehicles and property. The legal minimum requirement in the UK to cover a accident claims situation is to make sure the third party is covered. Another common and popular policy is third party, fire and theft, (FPFT)which covers the policy holder also in the event of damage to the vehicle by fire and if it is stolen.
The main difference between a comprehensive and third party policy is the cover to your own vehicle. In the event of a accident claim, this policy will cover damage to your car, or a cash sum if it is a write off. Some kinds of minor damage, such as broken windscreen, may not be covered and it’s important to check the small print.
The excess is the amount the policy holder pays in the event of a claim before the insurance company pays out. An excess is typically around one or two hundred pounds and often, paying a higher excess will bring down the cost of the premium.
To keep the cost of your insurance premiums down, try not to make a accident claims or b choose vehicles rated for higher premiums. Newly-qualified drivers in particular, tend to be charged higher premiums until they have enough track record to get a better rate. It used to be the case that women paid lower premiums than men, because they tend to have fewer accidents, but to be consistent with the concept of equality, the regulators decided that the criterion be scrapped, so now everybody gets quoted the same rate.
What goes up, keeps going up
In recent years, the increase in A. accident claims and B. personal injury claims against motor insurance companies has been persistent, especially for whiplash industries, adding around £90 to the average motor premium in the UK.
Date Published: April 12, 2013
Author: David Brown