Bike insurance prices rise again
The cost of comprehensive motorcycle insurance premiums reached a four-year high in 2016 according to The Bike Insurer.
Based on quotes provided by UK motorcycle insurance brokers, The Bike Insurer tracked a 13% price rise in comprehensive coverage premiums which took the average annual bill to £545.71. Average bills for Third Party Fire and Theft and Third Party Only coverage also rose last year by 16.5% and 14.5% respectively.
In grim news for bikers, the price of insurance is likely to rise again in 2017 after changes to laws concerning personal injury compensation payouts. While payouts to claimants will increase to offset the effect of low interest rates, the insurance industry has sharply criticised the revision and noted that younger riders could be among the hardest hit.
Criticising the government’s decision, Director General of the Association of British Insurers Huw Evans said:
“Claims costs will soar, making it inevitable that there will be an increase in motor and liability premiums for millions of drivers and businesses across the UK. We estimate that up to 36 million individual and business motor insurance policies could be affected in order to over-compensate a few thousand claimants a year.”
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