Car insurance: Bad weather brings £395 million worth of payouts

Friday, 12 March 2010

The coldest winter in 30 years brought about a massive £395 million worth of car insurance payouts as motorists struggled to get to grip with slippery roads.

According to figured published yesterday (March 11th) by the Association of British Insurers (ABI), almost 270,000 motor insurance claims were for made accidental damage during the heavy snow and freezing temperatures that hit the UK during December and January.

Nick Starling, the ABI's director of general insurance and health, said companies had been busy repairing or replacing vehicles damaged by treacherous driving conditions.

"Insurers will always respond quickly to the large number of claims that often result from bad weather," he added.

Earlier this year Swiftcover revealed that continuing snow and ice had brought about a 75 per cent increase in car insurance queries compared to the same period in 2009.

Meanwhile, used-car website Carmony.co.uk reported a sharp increase in sales of 4x4 vehicles during the snowy weather as motorists sought heavy-duty vehicles to cope with the icy conditions.

Posted by Noel Martin

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