99% of motor insurance claims are successful

99% of motor insurance claims are successful
The vast majority of motor insurance claims end in success, industry statistics have revealed.

Around 99% of private motor insurance claims resulted in a payout, according to the Association of British Insurers (ABI).

The figures covered claims made throughout 2014 and 2015. The average payment received on a claim was £2,347.

Huw Evans, the ABI’s director general, said the statistics showed consumers that the ‘vast majority’ of claims are paid.

RELATED CONTENT: RAC, VHD and Europ Assistance create new Europe-wide motor services alliance

He explained: “The ABI has worked with our members to ensure customers of motor, home and travel insurance now know how likely their claim is to get paid.

"Insurance customers should take confidence that the vast majority of all claims are paid, providing peace of mind and greater security to our millions of customers."

Car insurance

Get up to 70% off RAC Car Insurance with 9+ years no claims discount

The research also looked at home and travel insurance claims over the same 2-year period. In that time, 84% of home insurance claims were successful – up 5% on 2013-14.

The rise was attributed to people having a better understanding of what policies did and did not cover.

Mr Evans added: "Insurers know that paying a genuine claim is the acid test for most customers. Being open and transparent about just how many claims get paid is vital to rebuilding trust and ensuring customers understand what their insurance policies cover.”

IN OTHER NEWS: Demand for eco-friendly cars fuels market growth

Overall, more than 9,000 claims were paid every day during 2014 and 2015. They resulted in payments totalling £20 million being made to customers every day.

The price of car insurance was named by drivers as the motoring cost that has increased the most in the past 12 months and their number-one cost-of-motoring concern, research for the RAC Report on Motoring 2016 revealed earlier this year.

Almost half of the 1,714 motorists surveyed for the report said their insurance costs have increased since last year compared with 34% who said the same in 2015. 

Copyright Press Association 2016. Motoring News articles do not reflect the RAC's views unless clearly stated.