Aviva says motor claims cost inflation starting to ease
UK insurer said improvement is because of drop in used car prices
Rising costs that have been pushing up the price of motor insurance and causing financial pain for underwriters have started to ease, according to Aviva.
Earlier this year a number of insurers flagged the rising costs of parts, labour and replacement cars. Car insurance prices have increased in response — according to comparison site confused.com, they are going up at an annual rate of 14 per cent.
Abid Hussain, analyst at Panmure said the update was “a mixed bag”. While there was strong growth in the general insurance business, he said, “on savings & retirement, the picture is not so good with net outflows and lower new business premiums.”
Original article here: https://www.ft.com/content/91902a33-16c2-478a-aea2-a76b2a8a4371