The government recently announced that it would be forming a motor insurance taskforce. Their aim is to identify areas where insurance costs can be reduced for the hardest-hit drivers.
As Ticker helps drivers facing high premiums find more affordable insurance with telematics, the Insurance Times asked our founder and CEO, Richard King, to share his view on the taskforce.
Other opinions came from chief executives at the Association of British Insurers (ABI), the British Insurance Brokers’ Association (BIBA) and Allianz.
“The government is investigating ways to lean on insurers to solve the problem of increased insurance costs. This was mostly caused by inflation – for which responsibility tends to sit with government.
“An immediate way to reduce the cost of insurance for the worst-hit is reducing Insurance Premium Tax (IPT). A 17-year-old pays three times the average amount of IPT because their premiums are higher.1
“Although Labour haven’t raised IPT in the new budget, thank goodness, it would have been an opportunity to reduce that burden for young drivers right away. It’s a drum that’s been beaten before, but it needs to get louder because we shouldn’t be putting the financial pressure on young people.
“Let’s hope an IPT reduction will be among the motor insurance taskforce’s recommendations.”
Richard King
Founder and CEO of Ticker
Read the Insurance Times Big Question for November
1 Confused.com car insurance price index Q3 2024
