UK government launches motor insurance taskforce
The government has established a new taskforce to address rising motor insurance premiums and deliver fairer outcomes for drivers.
Transport Secretary, Louise Haigh, and Economic Secretary to the Treasury, Tulip Siddiq, will bring together industry groups and consumer champions such as the Association of British Insurers, Citizens Advice, Which? and Compare the Market, as well as insurance regulators, to tackle spiralling costs of car insurance.
The news comes as motor insurance premiums have grown by an average of 21% since June 2022, according to Financial Conduct Authority (FCA) analysis, which is far higher than in comparable economies such as Germany, France, Spain and Italy.
The new cross-government motor insurance taskforce aims to identify the factors behind rising premiums and find solutions to keep costs under control.
Motor insurance costs
Transport Secretary Louise Haigh, said: “Car insurance is an essential, not a luxury. It is vital to accessing economic opportunities and this government is committed to getting costs under control. That’s why we’re taking direct action to bring insurance companies and regulators round the table to discuss how we can crack down on spiralling costs.
“The rising cost of cover affects all drivers but some groups have been hit harder than others. No matter your background or circumstance, this government is determined to ensure drivers get a fair deal.
“Our new expert taskforce is a major step forward in delivering a fair deal for drivers. It will give this issue the attention it deserves – rooting out the factors driving up costs for industry and ensuring drivers are able to hit the road.”
