motor rates

Posted by insurance |

Wednesday, August 18, 2010

at 4:23 a.m.
Further to the news that car insurance premiums have jumped 14.2% in the second quarter 2010 it was interesting to note NIG's recent announcement that they were changing their strategy and moving away from the personal lines market, writes Paul Muir, managing director at 1 Answer Network.

Even though rate increases have been seen for many months - and are still being seen - there is still some way to go before the market hauls its way back to profitability and a position of sustainability. However these rate increases have to go hand in hand with the reduction of costs in the claims process to ensure profitability. The squeeze is still being felt by high street brokers who more than ever are finding it difficult retain clients even though historically business transacted on a face-to-face basis has performed better than the market in general.

Rates
I still see that face-to-face and local business has an edge when it comes to profitability particularly as it is much less likely that fraudulent claims will come from this sector of the market. It would therefore make sense for more insurers to support this area by providing rates that are able to compete with the larger multi-national brokers who will generate business from many sources.

The situation regarding zero or minus commission is affecting the market particularly for insurers who are trying to price themselves out of certain sections but finding themselves being placed on cover for risks that do not fit their risk profiling. This practise will continue to distort figures for insurers going forward and will hinder the process of generating profitable accounts.

In conclusion the market still continues to suffer, however much has been done to address the issues although I can see further increases will still be seen through the third and fourth quarters of 2010 until insurers can be more confident that future years trading will return to profitability allowing some to shore up their depleted reserves.

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First Volkswagen Insurance Services Program in the Middle East now

Posted by insurance | at 4:18 a.m.
Volkswagen Middle East – the regional office of Europe's largest car manufacturer – has launched the Volkswagen Insurance Services Program in the Middle East. The exclusive program offers branded Volkswagen insurance solutions through just one provider, eliminating the typically complicated multiple insurance provider relationships that customers currently endure.
Conveniently obtained from Volkswagen Middle East partner showrooms, the program offers a simplified auto-insurance process with unique benefits ensuring a superior and dedicated level of service and customer satisfaction. The products include Volkswagen Extended Warranty, Volkswagen Motor Insurance, Volkswagen Roadside Assistance and Volkswagen GAP Insurance.
"Volkswagen Middle East constantly strives to provide our customers with increasingly better service and solutions to their automotive needs," said Stefan Mecha, Managing Director of Volkswagen Middle East. "As a vehicle owner myself, I am well aware of the headache it can be trying to find, purchase and juggle more than one insurance provider for my car. This new regionally supported Volkswagen financial service offering was created to solve this problem for our Middle East customers, and provide convenient simple support from the moment they leave the showroom."
Developed by Volkswagen Financial Services AG (Volkswagen FS) – a wholly owned subsidiary of Volkswagen AG responsible for the worldwide financial services activities of the Volkswagen Group – the highly customer and brand focused program is aimed at adding value to the Volkswagen brand experience by providing customers with peace of mind through an increased trust in vehicle ownership.
A staggered introduction of the new insurance program to Volkswagen partner showrooms across the region has commenced, with the service currently available to customers in Qatar by official Volkswagen partner, Saad Buzwair Automotive. Behbehani Motors Company, the official Volkswagen partner for Kuwait, will be next to feature the program in the final quarter of this year, with other Middle East partners set to follow in 2011.



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Car Insurance in usa

Posted by insurance | at 4:14 a.m.
Millions could be saved by UK drivers visiting the USA
British hire car drivers visiting the USA are missing out on millions of pounds worth of savings.
Each year, a staggering £280m* is spent on insurance by UK drivers of rental vehicles in the States, according to research by iCarhireinsurance.com, the provider of low-cost, comprehensive hire car cover.
Car rental desks in the USA typically charge around £12.61** a day for Collision Damage Waiver and Supplemental Liability Insurance.
1.3 million Brits hired cars in the USA in 2009 for an average of 16 days, and most buy their insurance from the car rental company or as part of a fly-drive package. This means UK holidaymakers spent as much as £280million on hire car insurance.
But it needn’t be this way. Many rental companies give customers the choice of hiring a car in the USA inclusive, or exclusive of insurance, so it is important that customers take advantage of the opportunity to shop around, and discover if they can get a better deal elsewhere. 

iCarhireinsurance.com’s daily US and Canada policy costs just £4.99 a day, and is fully comprehensive, saving customers more than £7.62 a day. This means that UK hire car drivers in the States could be £169m*** better off each year, if they simply bought their cover online from iCarhireinsurance.com in advance, rather than from the car rental desks or as part of a package.
The iCarhireinsurance.com USA & Canada policies are not only much better value than those available at most car rental desks, they offer even more security, with cover for Road Rage, Carjacking, Travel Expenses, Hotel Expenses, and Drop-off charges. Furthermore, annual policies offer 60 days’ continuous cover at no additional charge.
Those hiring a car in the USA for any more than 22 days a year would be better off purchasing an iCarhireinsurance.com annual policy at just £109.99.
Ernesto Suarez, founder and CEO of iCarhireinsurance.com said, “We are urging customers to buy before they fly. The USA is a great place to visit, but it can be very expensive for UK travellers at the moment. With just a little bit of planning, like buying your car hire insurance before you leave for the States, you could make significant savings. The amount of money spent by hire car drivers in the USA on insurance is extraordinary, but so much of it is unnecessary. Rental companies charge over the odds but holidaymakers do have a choice and they must use it.
“At iCarhireinsurance.com we’ve created a range of policies that are cheaper and more comprehensive than those offered at car rental desks. Furthermore, our website has been designed to cut through the insurance mumbo jumbo, making it easier for customers to find the cover they need and buy the right policy at the right price.”
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