Examine reveals a worrying trend of substandard repairs

(PRWEB United kingdom) 2 April 2014

Motorists concerned in a street accident are statistically a lot more very likely to have their motor vehicle repaired effectively if they – rather than insurers – select the repairer, a recent review exhibits.

The Competition Commission (CC) investigation (i) located that 3 occasions as many vehicles were not effectively repaired where the insurer picked the repairer in contrast to the client (ii).

The study is element of a year-lengthy investigation into the fees incurred by drivers right after an accident amid considerations over the increasing premiums and the market place forces leading to them.

The CC has located that following an accident too numerous repairs are not finished to the essential common.

Overall, the CC estimates that drivers are having to pay up to £200m too significantly for car insurance on an annual basis simply because of the inflated price of settling not-at-fault claims.

(ii) Alasdair Smith, CC deputy chairman and chair of the private motor insurance investigation group, stated: “Our provisional view is that several drivers of the UK’;s 25 million privately registered cars are footing the bill for pointless fees incurred in the course of the claims process following an accident. These fees are at first borne by the insurers of at-fault drivers, but they feed by way of into enhanced car insurance premiums for all drivers.

“In most cases, the celebration managing the accident claim, normally a non-fault insurer or intermediary, is not the get together liable to spend the charges of the declare. There is insufficient incentive for insurers to keep costs down even although they are themselves on the acquiring finish of the difficulty.”

In several circumstances following an accident the insurer of the ‘non-fault’; driver (or a claims management firm) arranges for a replacement auto and repair, although the insurer of the ‘at-fault’; driver foots the bill, the CC report says.

In accordance to the CC, this separation of handle and liability produces a chain of interactions which outcome in larger costs for replacement automobiles and for repairs becoming passed on to at-fault insurers.

Such fees are compounded by the seemingly increasing occurrence of substandard repairs which may possibly want to be rectified at a later on stage and can lessen the sell on value of cars, more hitting motorists in the pocket.

Whilst insurers will charge consumers the excess to pay for repairs and improve their excess following time they want to renew their cover, claims management firms like Winn Solicitors get a diverse strategy.

Jeff Winn from road accident management firm Winn Solicitors mentioned: “We have a variety of measures in area to guarantee that our clients are not exposed to this seemingly developing trend of substandard repairs taking place right after road traffic accidents. We work only with our trusted restore partners and make certain that the total submit-accident method is transparent and honest for the motorists concerned.”

Claims management firms like Winn pursue the at fault driver’;s insurers for all repair expenses and let the insurance organization know that this need to not affect the client’;s recent or long term cover.

They don’;t ask their clientele to spend any of their excess and, crucially, they have the motor vehicle repaired at a reliable garage which utilizes producer panels and parts to protect its worth.

If the client’;s vehicle is pretty new but the restore work is going to reduce the value of it when it is sold on, they can also retrieve compensation for this drop in value.
By working only with respected garages which use the related manufacturers’; parts, claims management firms are capable to supply our clients transparency and peace of mind that their repairs are of the needed regular.


(i) The Competitors Commission report, Personal MOTOR Insurance coverage Market place INVESTIGATION (provisional findings), was published on 17/12/13. Full report can be witnessed right here: http://www.competitors-commission.org.united kingdom/assets/competitioncommission/docs/2012/personal-motor-insurance coverage-marketplace-investigation/provisional_findings_report.pdf

The Competitors Commission analysis into the motor insurance coverage market place – which stays ongoing – was undertaken following the Office of Fair Trading in September 2012 referred the provide or acquisition of personal motor insurance and related products or services in the United kingdom to the Competition Commission for investigation and report.

(ii) On 17/twelve/13 the Competitors Commission published a shortened version of the Personal MOTOR Insurance coverage Market INVESTIGATION (provisional findings) for media utilization featuring quotations from Alasdair Smith. This report can be observed right here: http://www.competitors-commission.org.united kingdom/media-centre/most recent-news/2013/Dec/cc-seeks-to-decrease-the-value-of-motor-insurance

Study the full story at http://www.prweb.com/releases/2014/04/prweb11727961.htm

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