Is Your Car Insurance Ripping You Off?
Published: 31st August 2017
A Recent survey carried out by the Daily Telegraph found that insurance companies are charging ‘not at fault’ drivers up to 100% more for labour costs than actually incurred, which accumulated themselves a £750m windfall a year. Of course, this directly affects drivers, to the tune of £22 a year.
Prior to this investigation First4Lawyers were looking into the financial reports of several major insurance organisations. One of the companies they were looking into was UK Assistance Accident Repair Centres Limited, which trades as DLG Auto Services. It’s parent organisation is Direct Line Insurance Group Plc.
The company’s annual report states that its principle activity is the provision of motor vehicle repair services to the general insurance companies owned by Direct Line Insurance Group Plc. In 2015 its operating profits were £36m, up from £29m the previous year.
The accounts also detail both the revenue and cost of vehicle repairs. In 2015 the cost of the repairs was £76,057,000, but their revenue is £132,967,000. This translates as an obscene 74% mark up.
There is contention in the insurance industry lately, as insurers are pushing for the introduction of the Civil Liability Bill, aimed to tackle excessive claims for minor whiplash claims, and ideally pass the savings directly to motorists themselves.
However, there have been arguments made against the effectiveness of this bill. And given the above information above it is understandable that people are wary of anything insurance companies try and push through parliament.
Liddy’s Solicitors specialise in personal injury claims, including road traffic accidents. This includes whiplash claims. When someone suffers through no fault of their own it is only right that they are compensated for their suffering. Liddy’s have a team of experienced solicitors ready to fight your case for you. To us, it doesn’t matter the worth of your claim, we simply want to see the right thing done.
If you think you have been the victim of a road traffic accident then just call us on 01226 731 314 to see how we can help you, today.