Unfortunately, motor insurance companies are paying out more in claims than they have had to do in the past. Why is this unfortunate? Well, one of the things that impacts how much an insurance company charges you for your motorhome cover is the amount that they have to pay out to meet claims for the likes of road traffic accidents and vehicle thefts.

According to the Association of British Insurers (ABI), motor insurance providers had to pay out in the region of £2.5 billion to meet motor insurance claims in the 2nd quarter of 2023. That works out at about £28 million a day. In the same quarter last year the amount paid out totalled around £2 billion. You will no doubt agree with us that is a significant increase.

You may also be aware that the likes of car insurance premiums have, on average, risen by a large amount of late but the percentage amount paid out to meet claims has gone up by more than that for higher premiums.

It probably does not come as a surprise for you to read that the number of claims between Q2 of 2022 and Q2 of 2023 has increased significantly. Such claims went up by 18% to 592,000.

The amount insurers paid out on the repair of motor vehicles went up considerable between both these quarters. Apparently, £1.5 billion was spent in the second quarter of 2023 with this being an increase of 46% in comparison to the same quarter last year.

The amounts paid out specifically relating to the theft of motor vehicles also rose. In the second quarter of 2022 the figure was £128 million but the amount paid out in the same quarter of this year came to £196 million. Again, yet another huge increase.

You may find it of interest to note that personal injury claim payouts amounted to £602 million in Q2 of 2023 with this sum being included in the total amount we mentioned earlier that was paid out covering all motor insurance claims.

Let us hope that you don’t feature in these statistics in the future.