Association of British Insurers urges 'much needed reforms' in motor insurance

The Association of British Insurers (ABI) has welcomed today's announcement by the Office of Fair Trading that it intends to refer the motor insurance market to the Competition Commission.

For too long insurers have faced inflated rates for credit hire cars and excessive hire periods which have led to higher insurance premiums for customers. Regulation of all players in the market to tackle excessive costs is needed, and we hope that the work by the Competition Commission will bring much needed reforms that in turn will result in lower car insurance premiums for consumers.

– nick startling, abi

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Car insurance firm market probe

The Office of Fair Trading (OFT) is to refer the private motor insurance market to the Competition Commission for practices that, it claims, drive up the cost of premiums.