 show the cost of vehicle repairs leapt by 46pc to reach £2.5 billion between April and June this year – the highest figure since the ABI started collecting this data in 2013. In the second quarter this year, the cost of providing replacement cars while owners' vehicles are being repaired jumped by 52pc to £157 million. Furthermore, payouts for vehicle theft rose to £196 million, a 53pc i){kind=link}
Motorists take to social media to protest renewal quotes going up by hundreds of pounds
Drivers are seeing their car insurance premiums soar by as much as 50pc despite a ban on insurers charging loyal customers more.
In January 2022 the Financial Conduct Authority prohibited insurers from charging existing customers more than new ones for the same policy, known as loyalty premiums. Yet despite this costs for car insurance are continuing to rise.
Last week, Direct Line agreed to pay £30m to customers who were overcharged when they renewed their home or car insurance, following intervention from the City watchdog.
The insurer admitted to an “error” in implementing the FCA’s new pricing rules which came into effect from the start of 2022.