0207 923 4191Get in Touch
  • About Us
  • Private Client
    • High-Value Home Insurance
    • Prestige Car Insurance
    • Footballer Car Insurance
    • Health Life
    • Travel Insurance
  • Commercial
    • Gym
    • Restaurant
    • Pub
    • Nightclub and Late-Night Bar
    • Brewery
    • Takeaway
    • Shop
    • Barber / Hairdresser
    • Business
    • Directors & Officers
    • Office
    • Café and Coffee Shop
    • Hotel Insurance & Guest House
    • Professional Indemnity
  • Sport & Entertainment
    • Career Ending
    • Sports Club / Leisure
    • Cricket Club
    • Music Festival / Concert
    • Events
  • Amateur Sports
    • Activity Topup
    • Amateur Golfer
    • Sports Accident
    • Sports Shooting
    • Sports Travel
    • Team Personal Accident
  • Blogs
  • Contact

Motor Claims Inflation & Insights

 

Claims inflation is something affecting many parts of the insurance world, due to a number of different factors. And when it comes to claims inflation related to the motor industry, there are many things driving up costs and prices. So how is the motor industry affecting claims inflation, and what can you do about it?

Contact Us 0207 923 4191

What is Claims Inflation?

 

Claims inflation is when the cost of a claim has increased in price, mainly due to the increase in costs – or lack of availability – of material goods, services and labour which is used to replace property after a loss. When claims inflation happens, the lack of availability or increase in demand will cause a rise in costs.

Claims Inflation in the Motor Industry

 

There are multiple ways in which disruptions in the motor industry are driving claims inflation. 

We are the right people for you

Lets work together

Contact Us0207 923 4191

Supply Chain Disruption

 

The motor industry, especially during manufacture, requires the supply chain to run smoothly in order for cars and other vehicles to be constructed in good time. And with multiple components that need to be installed in a specific order, not having the required parts just in time could significantly hamper productivity.

 

Currently, the lack of available vehicle parts and paint has led to increased assembly and repair times. So not only would the price of vehicle parts increase due to their scarcity, but labour costs would also increase as it takes longer for the workforce to construct a vehicle or install the repairs.

Bespoke solutions for a wide range of commercial and sports clients.

The fastest growing sport and hospitality brokers in the UK.

Quality insurance, sports and hospitality and giving back.

Committed to reinvesting 20% of our profits back into charitable causes

Vehicle Technology

 

As cars become more technologically advanced, they require more sophisticated parts in order for them to be repaired properly. These parts are more expensive than previous car parts and can be more difficult to replace. And for more advanced cars you require a specialised workforce to install parts and make repairs, which in turn drives up labour costs.

 

The number of electric vehicles being sold has also increased, leading to specific parts and mechanics who can work on electric vehicles being short in supply, driving up costs. Also catalytic converters are still at a risk of theft because of their desirability.

Whiplash Reforms

 

Whilst there is only limited data on the effects of reform, some trends have started to emerge. There are delays in court hearings and in obtaining medical reports, which means the claims lifecycle increases and the costs go up.

 

In addition to that, whiplash in itself isn’t always made as a sole claim, as it can be coupled with multiple other injuries, a loss of earnings and any psychological damage that may have been caused. It means that the value of a claim increases.

We are the right people for you

Lets work together

Contact Us0207 923 4191

Reduced Vehicle Usage

 

It’s only natural that a drop in the number of cars on the road, which in part is fuelled by increased remote and hybrid working, has led to a reduced amount of motor incidents. And along with that, the type of claim has changed too. Fewer low-impact bumps and scrapes are being claimed but the overall number of claims is still increasing, leading to the average cost per claim rising.

How To Be Protected From Claims Inflation

 

When it comes to the inflation affecting the motor industry, it almost seems as if it’s inevitable that your cover will increase in price along with the price of claims. But the best way to get a policy that protects everything you require is by speaking to Full Time Cover, who can work with you to create a policy that perfectly suits your requirements, either personally or for your business. It also means that you won’t be paying for any cover you don’t need, especially if it’s driving up the costs of your whole policy.

We are the right people for you

Lets work together

Contact Us0207 923 4191

High Value Home Insurance

Private Health Insurance

Travel Insurance

Festival & Concert Insurance

Career Ending Insurance

Restaurant Insurance

Gym Insurance

Sports Accident Insurance

Sports Shooting Insurance

Sports Travel Insurance

We’ve already insured
over 1,000 clients

Get in Touch

Our customers
rate us

Taking the hassle out of Insurance…

Speak to a member of our dedicated team

0207 923 4191
Get in Touch

Contact

8 Devonshire Square,
London,
EC2M 4PL

0207 923 4191
enquiries@fulltimecover.com

Talk To Us

Contact Us
First
Last

Sitemap

  • About
  • Private Client
  • Commercial
  • Sport & Entertainment
  • Amateur Sports
  • Blogs
  • Contact
  • GDPR Data Request
  • Cookie Policy

Full-Time Cover Limited is authorised and regulated by the Financial Conduct Authority.
Registered in England and Wales at 3rd Floor, 8 Devonshire Square, London, EC2M 4PL. Registered number: 09241439.

Copyright 2021 – Present © Full-Time Cover Ltd. | Proudly built by DNRG

Menu
We use cookies to personalise content and ads, to provide social media features and to analyse our traffic. We also share information about your use of our site with our social media, advertising and analytics partners who may combine it with other information that you’ve provided to them or that they’ve collected from your use of their services.
Accept
Change Settings
Cookie Box Settings
Cookie Box Settings

Privacy settings

Decide which cookies you want to allow. You can change these settings at any time. However, this can result in some functions no longer being available. For information on deleting the cookies, please consult your browser’s help function. Learn more about the cookies we use.

With the slider, you can enable or disable different types of cookies:

  • Block all
  • Essential
  • Functionality
  • Analytics
  • Advertising

This website will:

  • Essential: Remember your cookie permission setting
  • Essential: Allow session cookies
  • Essential: Gather information you input into a contact forms, newsletter and other forms across all pages
  • Essential: Keep track of what you input in a shopping cart
  • Essential: Authenticate that you are logged into your user account
  • Essential: Remember language version you selected

This website won't:

  • Remember your login details
  • Functionality: Remember social media settings
  • Functionality: Remember selected region and country
  • Analytics: Keep track of your visited pages and interaction taken
  • Analytics: Keep track about your location and region based on your IP number
  • Analytics: Keep track of the time spent on each page
  • Analytics: Increase the data quality of the statistics functions
  • Advertising: Tailor information and advertising to your interests based on e.g. the content you have visited before. (Currently we do not use targeting or targeting cookies.
  • Advertising: Gather personally identifiable information such as name and location

This website will:

  • Essential: Remember your cookie permission setting
  • Essential: Allow session cookies
  • Essential: Gather information you input into a contact forms, newsletter and other forms across all pages
  • Essential: Keep track of what you input in a shopping cart
  • Essential: Authenticate that you are logged into your user account
  • Essential: Remember language version you selected
  • Functionality: Remember social media settings
  • Functionality: Remember selected region and country

This website won't:

  • Remember your login details
  • Analytics: Keep track of your visited pages and interaction taken
  • Analytics: Keep track about your location and region based on your IP number
  • Analytics: Keep track of the time spent on each page
  • Analytics: Increase the data quality of the statistics functions
  • Advertising: Tailor information and advertising to your interests based on e.g. the content you have visited before. (Currently we do not use targeting or targeting cookies.
  • Advertising: Gather personally identifiable information such as name and location

This website will:

  • Essential: Remember your cookie permission setting
  • Essential: Allow session cookies
  • Essential: Gather information you input into a contact forms, newsletter and other forms across all pages
  • Essential: Keep track of what you input in a shopping cart
  • Essential: Authenticate that you are logged into your user account
  • Essential: Remember language version you selected
  • Functionality: Remember social media settingsl Functionality: Remember selected region and country
  • Analytics: Keep track of your visited pages and interaction taken
  • Analytics: Keep track about your location and region based on your IP number
  • Analytics: Keep track of the time spent on each page
  • Analytics: Increase the data quality of the statistics functions

This website won't:

  • Remember your login details
  • Advertising: Use information for tailored advertising with third parties
  • Advertising: Allow you to connect to social sites
  • Advertising: Identify device you are using
  • Advertising: Gather personally identifiable information such as name and location

This website will:

  • Essential: Remember your cookie permission setting
  • Essential: Allow session cookies
  • Essential: Gather information you input into a contact forms, newsletter and other forms across all pages
  • Essential: Keep track of what you input in a shopping cart
  • Essential: Authenticate that you are logged into your user account
  • Essential: Remember language version you selected
  • Functionality: Remember social media settingsl Functionality: Remember selected region and country
  • Analytics: Keep track of your visited pages and interaction taken
  • Analytics: Keep track about your location and region based on your IP number
  • Analytics: Keep track of the time spent on each page
  • Analytics: Increase the data quality of the statistics functions
  • Advertising: Use information for tailored advertising with third parties
  • Advertising: Allow you to connect to social sitesl Advertising: Identify device you are using
  • Advertising: Gather personally identifiable information such as name and location

This website won't:

  • Remember your login details
Save & Close