General Insurance Article - ABI's tracker shows fall in comprehensive motor insurance

 Since the first quarter of 2013, insurers have passed on nearly £1bn to motorists through lower premiums following the Government’s reforms to the civil justice system, including a reduction in fixed legal fees,

 The Tracker highlights that the average premium paid in the first quarter of the year was £360, down 2% on the last quarter of 2014. While this up slightly on the same period last year, it is down 5% on the first quarter of 2013.

 Rob Cummings, ABI’s Manager, General Insurance, said:

 "Motorists are continuing to benefit from a highly competitive motor insurance market, and from insurers delivering on their commitment to pass on savings to customers following the Government’s reforms to ensure personal injury claims are paid in more efficient and proportionate manner.

 "However, the initial impact of the reforms is starting to fade and the increase in the number in low value personal injury claims is putting pressure on pricing. The next Government should continue the good progress made over recent years by increasing the Small Claims Track limit to at least £5,000 to help tackle the number of frivolous and fraudulent whiplash claims and help ensure premium reductions are sustainable."