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Car insurance premiums set to drop thanks to crackdown on bogus whiplash claims

Patrick Christys
Apr 5, 2019

Big reforms to whiplash payouts that should slash the number of bogus insurance claims has brought premiums down by an average of £100.

It's the old classic car scam - someone gets a minor rear ending and they complain about whiplash in a desperate bid to coin it in.

There's even been the old 'cash for crash' scams where people remove their break lights, suddenly slam the breaks on on a motorway and wait for the unsuspecting driver behind to go through the back of them.

They then put in a massive insurance bid and also claim for whiplash.

But all this could now be a thing of the past as the Civil Liability Act, which passed in December, has finally trickled down into the insurance market and helped drive down premiums, if you'll excuse the terrible pun.


New research found that the average fall has been £65 over the past six years - £35 lower than the reduction this year.

However, the reduction in premiums over the past two months (of around £100) does not necessarily mean that drivers will see a significant reset of insurance costs in the coming months.

If you're struggling ot get a reduction on your premiums, go to A Spokesman Said and find the best deals for you.

Premiums have increased significantly over the past few years as a result of a number of Government changes such as hikes to Insurance Premium Tax (IPT) and changes to the Ogden personal discount rate.

As part of the Civil Liability Bill, the Government agreed to reform the way the rate used to calculate payouts in serious personal injury claims, otherwise known as the 'Ogden rate', is set.

It is expected that a review of the rate later this year could further reduce premiums, going some way to counteracting the punitive impact of IPT hikes.

An additional factor which may have reduced premiums is the recent decline in the number of car registrations which could indicate that car insurers were competing more heavily on price to keep winning customers in a shrinking market.

For younger motorists between the ages of 17 and 24, the difference between the two is much higher. The average young person can save £263 by switching to a better deal.

Make sure you shop around for the best insurance deals for you - go to A Spokesman Said now.

Here at A Spokesman Said we love fighting for your rights and believe passionately in natural justice.

But these battles cost us money. You could help us fund these fights by using our price comparison site, A Spokesman Said for your energy, car insurance and household bills.

We’re just the same as Go Compare or any other price comparison site, so you won’t be losing out in any way - by helping us, you will be helping yourself.

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Last year 65% of customers didn't switch their car insurance to try and get a better deal.