You have been involved in an accident and have been advised that it will be settled under a knock for knock agreement.

You are not happy about this as it infers that you were considered to be as much at fault as the other person and you consider yourself to be the completely innocent party on this occasion.

This is a scenario many people will have suffered under the hands of a Knock for Knock agreements, but what does it actually mean?

Well, don’t get too disappointed as the term Knock for Knock Agreement is actually an administrative term used by insurers.

To be succinct and lay it down in basic terms, what it actually means is that the two insurers have an agreement in place between themselves that they will each settle their own policyholder’s insurance claim.

Blame is not a contributory factor, it is simply an agreement between the two insurers which helps them save money by not arguing costs associated to the accident, negating any possible legal litigation.

Their correspondence and discussions will be restricted to the apportionment of blame.
That is not to say that they will still conclude that you were in fact partially at fault and your no claims bonus is to be affected as well as the other person’s but that is something that you will need to take up with them separately.

Just don’t think that if your insurer has elected to settle your claim on a Knock for Knock basis that you are immediately considered being partially at fault.

The illegal activities of car accident fraudsters continues to attract the attentions of police forces across the UK.

Two men were recently jailed for more than three years each following their part in attempting to defraud more than 20 motor insurance companies out of an estimated £3 million.

18 months of investigation conducted by the City of London Police, Insurance Fraud Bureau have linked the two and their gang to more than 300 suspicious car accidents, most of which were thought to be staged accidents in London during 2005 – 2007.

It’s never nice to be involved in any accident and a drivers emotions take a while to recover, particularly if someone was injured in an accident, no matter how serious the injury.

If you however, find yourself involved in what you consider to be a suspicious accident, contact your local police authority with your suspicions as soon as possible.

Remember, unless you have protected your no claims bonus, any fault accident is going to affect your no claims bonus by a minimum of 20% and result in a significantly increased premium at next renewal. For younger drivers, this could equate to literally hundreds of £s.

Something that no one wants at any time, let alone during this economic downturn.

Recent research commissioned by comparethemarket.com has revealed that the female fraternity are more likely to use the internet or shop around when their car insurance comes up for renewal.

Why?

Well, its because they are very keen on looking to make savings in such areas as their car insurance to free up money for other things.

Its young female drivers using the comparison websites to shop around for the best deals that are the reason for such sites growing at such phenomenal rates. It is forecast that comparison websites will double in size before the end of 2010.

With marketing activity by these sites probably at its highest for years, its no wonder people are checking them out and recognising the benefits comparison websites can offer.

The research also revealed that 80% of people looking for car insurance search the internet for quotes and compare an average of four quotes before deciding whether to switch or stick.

Another surprising finding from the reaearch was that even though many people are very much aware that they can save lots of money by switching insurers, 56 per cent of people still don’t.

With the possibility of being able to realise savings of £00’s per annum against renewal fees, it’s a little surprising really!

RSA may have only rebranded quite recently, in April 2008 to be precise, but this has not bought them immunity from the current economic downturn happening around the  the globe, and not only in the UK, by storm.

Insurer, RSA is to cut up to 1,200 jobs in it’s UK offices during the next 15 months in an effort to shave £70m a year off it’s operational costs.

14% of their 8,700-strong workforce will find themselves out of a job as part of a strategy to save the £70m a year. This means that by the middle of 2010, RSA will have reduced its workforce headcount during the past 7 years by some 43%.

The disaappointing announcement comes in spite of RSA’s strong performance in  2008 with net written premiums up by some £6.5bn against 2007 (+11%).

Adrian Brown, UK chief executive of RSA, said:

“We have already reduced our management population by about 15%. One of the reasons why RSA has continued to produce strong results is that we’ve taken action early on rate and expenses and this is a continuation of that action.”

Personal lines premiums which includes products such as Home and Car Insurance were up 2% to £1.1bn. Premiums in their commercial lines portfolio were in line with last year at £1.6bn.

Car insurer LV= has revealed that following recent research, almost one in five drivers has either purchased a more economical vehicle or sold their second or third family car since the onset of this global credit crunch.

Whilst more than half, (61%) changed their vehicle to save on fuel, surprisingly, nearly a third (29%) said they changed their vehicle to save money on their insurance premium.

It appears therefore that more are concerned with surviving the current economic downturn than saving the planet, as their research suggests roughly one in eight (15%) made the change for environmental reasons supporting greener driving initiatives, which must surely be of concern to the Government.

Two thirds said they couldn’t afford to buy a brand new car and nearly half (43%) of people taking part in the research that are looking to replace their car in the next 12 months indicated that they intend to buy a second-hand vehicle.

The seocnd hand car market therefore looks set to prosper for the time being, and for those who prefer the larger vehicles, you may be able to find a real bargain.

Remember however that you will be paying premium road fund licence rates and higher car insurance premiums, but if you really are a fan of the big motor, it is worth it.

With the car industry struggling globally, and UK manufacturers cutting back in their production plants, the impact is resounding across many smaller businesses that rely on the associated anciliary work and helping to fuel the current increase in unemployement.

Even so, whilst sales in new cars has fallen dramatically, some may be surprised that the second hand market is experiencing a bit if a renaissance.

Prices for second hand motors have been dropping steadily, more or less in line with falling house prices ,which has not gone unnoticed by car insurance providers.

Whenever you watch a TV channel which is permitted to advertise, you will see one of the comparison websites maketing their products.

In response, direct car insurance companies appear to have stepped up their marketing activity to ensure they maintain their market share.

Some motor insurance markets however seem to continue ot be able to sustain growth; one of them being that of the Classic Car.

With cars as young as 10 years old now qualifying for classic car insurance rates, providing the mileage is limited, it is certainly worth having a look at some of these insurance providers when your car insurance policy comes up for renewal.

Classic car insurance policies often provide improved cover against a standard car insurance policy because they calculate price on the actual vehicle and against an agreed valuation, rather than the market rates.

And get up to 20% online discount.

That’s what is on offer from Kwik-Fit Insurance.

December 2008 saw Kwik Fit Insurance report its best performance for that month in a decade and was very pleased that their strategy seems to suit the current economic conditions.

Having written almost 18,000 new policies, sales of new motor insurance policies in December was 12.5% more than the same period in 2007.

The Free MOT offer is worth £44.95 and available to any customer buying a new private car insurance policy. It can be redeemed at any of their UK Kwik Fit MOT Centres.

Although the MOT offer is not valid in Northern Ireland and there are of course cancellation and deferral terms and conditions applicable, such an offer will prove attractive, particularly given it is usually an insurance policy condition that insured vehicles are kept in a roadworthy condition when being driven and it is an offence under the Road Traffic Act to drive a car on public roads without a valid MOT.

The named Kwik Fit Insurance Policyholder will be entitled to one Free MOT test at a Kwik-Fit MOT centre for the vehicle insured they insure.

The offer is valid for one year from the date the car insurance policy commences.

It is important to note that only one MOT test is free and any repairs or servicing in connection with the MOT must be paid for.

Following their acquisition of the Equity shop network of IAG (Insurance Australia Group Ltd), Swinton now have the largest high street presence of all insurers across the UK.

Not sitting back and waiting for business to come to them however, they are proactively continuing to push for more business and is currently offering several cash back offers on car insurance through various sales network operators.

Swinton customers purchasing car insurance direct, on-line, can secure £40 cashback by quoting the voucher code “PMSWDI508.”
 
This promotion offers good enough reason for customers to consider Swinton for their car insurance needs and with more than 3 million home and car insurance customers supported through more than 500 offices following the acquisition of the Equity Shop Network, a much valued face to face customer service is assured.

However, Swinton customers obtaining a quote and purchasing their car insurance policy through comparethemarket.com will benefit from an even bigger cashback offer.

As long as your car insurance policy is taken out through comparethemarket.com between 06/03/2009 and 06/06/2009 and is still in force 90 days after the start date of your policy, you can claim £70 cashback. Terms and coditions that apply and a quote can be obtained by clicking here.

Simply complete the cash back form you will be sent by email following the purchase of your policy, and return it within 30 days to:-

Swinton Motor Cash Back Offer
Marketing Department
Swinton House
6 Great Marlborough St
Manchester
M1 5SW

Simply then sit back and wait for your £70 cheque.

In today’s environment, the car is becoming more of a “must have” rather than a “luxury” and following an accident, it is reassuring to know that your insurance provider offers a replacement vehicle.

One of the UK’s prinicipal providers of replacement cars in such events is  Helphire Group plc.

Helphire is one of the UK’s leading providers of motor accident management services including vehicle replacement and repair management, full claims handling assistance, uninsured loss recovery and personal injury management.

Insurers are now watching Helphire very closely following recently posted £59.3 million pre-tax losses for the second half of 2008. This was not good news considering they posted a pre-tax profit of £19.4 million for the same period in 2007, showing yet again how the economy is affecting everyone at the moment.

Most of their replacement vehicle services are provided on credit to motorists who were involved in non-fault accidents and whilst Helphire are obviously planning to restructure their banking arrangements and look to raise more operating capital through a share issue, insurers have been warned that the Bath based company is going to start pursuing recovery of their costs more vigorously from insurers by increasing their litigation activities.

Helphire also work closely with insurers to provide those all too valuable replacement vehicles which many insurance companies now offer their comprehensive car insurance policyholders.

Helphire operate through a network of six call centre sites and 30 branch locations. ir recent announcement firm closely.

 
Last month Helphire revealed plans to axe 130 of its 1,100 jobs

LV= continues to extend it’s influence in the car insurance market by being added to the AA’s car insurance panel. This closely follows their addition to BGL Group car insurance panels, appearing on their Budget, Dial Direct and QuoteMart panels mentioned recently.

AA insurance currently offers quotes from a panel of more than 20 insurers and is one of the strongest motoring brands within the UK.

LV= expect their ABC private car product is will fit well with the AA’s customer base and target market.

Simon Douglas, director of AA car insurance, said;

“At a time when the car insurance market is becoming more competitive it is important to offer the best possible value for money to motorists who are shopping around for their cover, so we welcome the addition of ABC car insurance to our panel.”

“The team at ABC shares the AA’s view that value for money isn’t just about price: it’s about service, policy benefits and above all, treating customers fairly. The AA is also one of the UK’s most trusted brands and we are confident that ABC will help us to uphold the standards that our customers have come to expect.”

“The addition of ABC also means that we now have all the major insurers represented on our panel.”