Motor claims fell significantly in Q2, though the average claim value reached a record high
2nd September 2020Tweet
As expected, the number of motor insurance claims notified to insurers in the second quarter of the year fell significantly according to figures out today from the Association of British Insurers (ABI). The fall largely reflected the lockdown period, when far fewer vehicle journeys were made. Claim payouts during the period while also down, fell at a lower rate.
The figures come as the average price paid for comprehensive motor insurance at £460 currently stands at a four-year low.
The figures show that:
- There were 324,000 new claims in the second quarter of the year, a fall of 48% on the 678,000 received in the previous quarter.
- The value of claims settled during the period (which includes existing claims from previous quarters) also fell, but at a much slower rate than the number of new claims – £2.1 billion was paid out, down 5% on the previous quarter.
- The value of the average claim paid jumped 27% on the previous quarter to £4,600 – the largest quarter to quarter rise on record. The value of both the average theft and accidental damage claim rose by 14%.
- The average value of personal injury claims notified leapt by 34% to £19,500.