Motor insurance holders get boost?

Tuesday, 31 January 2012

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Motor insurance holders could now enjoy fewer delays and less disruption during rush-hour as a result of a new bill passed by the Department for Transport.

As part of new "lane rental" schemes, councils will now be able to command fees of up to £2,500 a day from utility companies in order to dig up the busiest roads at peak times.

This is thanks to new powers announced by the transport minister Norman Baker, which will to help councils reduce the disruption that roadworks cause car insurance policyholders.

Commenting on the effect of roadworks, Mr Baker said: "This disruption is not only inconvenient but very expensive, with roadworks-related congestion costing the economy an estimated £4 billion a year, which is why we are taking firm action."

The lane rental schemes will encourage utility firms to conduct their works more quickly and at times when there are fewer motorists on the roads, as companies would be able to avoid the charges by carrying out works during off-peak periods.

Copyright Baubridge Ltd.

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