Car insurance premium rise predicted

Thu, 04 Mar 2010

Car Insurance premiums may continue to rise in 2010, according Admiral .

The firm has said that its premiums went up by 12 per cent in 2009, although it says that this has been in line with other insurance companies .

Henry Engelhardt, head of Admiral, has blamed the rises on an increase in personal injury claims while also stressing that the premiums had not been raised by much in recent years.

He added: "It is certain to carry on rising. I can't say exactly how much - it depends on how much pressure our competitors are under."

Speaking to the Daily Mail, Engelhardt also said that the company was seeing an increase in fraudulent claims, and that this too was affecting premiums.

Zurich recently blamed the rise in personal injury claims for its decision to raise car insurance premiums this year.

Price comparison website Confused.com blamed the phenomenon partly on the rise of "ambulance-chasing injury lawyer adverts on the television".
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