£33m car insurance claims a day

OFFICIAL

MOTOR insurers in the UK paid £33million every day in claims in 2016, a rise of 15 per cent from the previous year, new figures reveal.

According to the Association of British Insurers (ABI), vehicle insurers were hit with a total bill in excess of £12billion in 2016. The surge in payouts comes at a time when premiums have reached record highs, with average policies now costing over £480.

In 2015, insurers paid out £28.6m in compensation, while in 2014 they were hit with £27m in bills each day.

An ABI spokesman said that spikes in vehicle theft and rising average repair costs – with the latter increasing by 46 per cent over the past four years, to £1,944 – are partly to blame.

“Surge in payouts comes at a time when premiums have reached record highs, now averaging £480”