We all prefer to get things for less than we had expected them to cost. This is especially true with insurance. Many people feel uncomfortable with the price of insurance – because they may never use what they are paying for. A review into The Ogden Rate could lower the prices that people have to pay for their car insurance.
Ogden Rate Discount
The Ogden Rate is a type of discount that insurers have to apply when they pay out when they give out compensation for injuries that could change your life. In 2017, the rate changed from 2.5% to -0.75%. This meant that insurers had to pay out more to people who suffered life changing injuries. As a result of this, insurers tended to pass those greater expenses onto their customers. Insurance consequently became more expensive.
The government has recently suggested that it will examine whether the changes to The Ogden Rate should be lessened, or even reversed. This has met with positivity in the insurance industry. The head of motor insurance at ‘comparethemarket’ has said that any reduction in The Ogden Rate could result in lower costs to customers.
Estimates suggest that the Ogden Rate Changes of 2017 would add about £100 to every policy for people under the age of 25. Reducing this by any amount is sure to please drivers. Cutting The Ogden Rate is one of the ways that insurers cut costs without the understanding of members of the public.
At Alternative Insurance Brokers, we always search the market of insurers as wide as we are able. This means that whatever the rules are regarding insurance, we can search for the best rates possible. Our depth of knowledge and breadth of connections make sure that we can explore all the options available to you. Whether you have a conviction, or your car has been seized, whether you need specialist taxi insurance, or you need to cover a whole fleet of vehicles, we can help.
Get in touch with us online, at 0161 495 6000, or via email at email@example.com.