Insurance

Motor insurance premiums hit record high, as cars go hi tech

By Brian Milligan
Personal Finance reporter

Car insurance premiums in the UK have hit a record high, partly because cars’ increasingly complex electronics have made repairs more expensive.

The average annual comprehensive policy cost £462 in the last three months of 2016, according to the Association of British Insurers (ABI).

Previously the highest figure was £443 in the spring of 2012.
The rise comes in spite of government attempts to limit compensation payments and cut court costs.

One reason for the increase is a rise in the cost of repairing cars that have been in accidents, because of their increasingly sophisticated electronics.

Buying in spare parts is also getting more expensive, due to the weakness of sterling.
The average repair bill has risen by 32% over the last three years to £1,678, the ABI said.

Read more:http://www.bbc.com/news/business-38841837

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