Motorists will no doubt have noticed that during the pandemic, particularly when we have been in lockdown, there have been fewer motor vehicles on the roads here in the UK. As a result it will not come as a surprise to read that there will have been fewer road traffic accidents.
The knock on effect of fewer road traffic accidents is that there will have been a reduction in the number of claims being submitted by motorists thus resulting in car insurance companies having to pay out less to meet those claims.
Well, some interesting research has been carried out by the insurance price comparison website hello-safe.co.uk that estimates how much less insurance companies are paying out in 2020 to meet claims by motorists driving cars. It is estimated that car insurance companies here in the UK will pay out over £4 billion less in 2020 when compared with the amount paid out in 2018. We are sure that you will agree that is a huge drop.
The above price comparison website estimates that there has been a fall of over 49% in the number of car insurance claims in 2020 in the UK when compared with 2018.
Motorists may well feel justified in asking if their car insurance providers will be passing on those estimated savings to their policyholders in 2021 by way of a reduction in some motorists premiums. Perhaps when you receive your renewal notice for your car insurance in 2021 you may want to pay particular attention to how much you were being charged in 2020 with how much your insurance company intends to charge you in 2021 and if there has not been a reasonable reduction you may wish to speak with your insurer about this. After all, you are also quite at liberty to shop around to see if you can get a better deal elsewhere. One way of doing this is to use a price comparison website.