Author Archives: AIB

How Does Car Modification Affect Car Insurance Prices?

You are no doubt aware that there are many factors that affect how much you pay for your car insurance such as the make and model of vehicle, where you keep the car overnight, the level of cover, how many miles the vehicle is driven in a year, your age and driving experience, your claims history, what you use the car for and whether you have made any modifications to your car.

What is a modification?

A modification is where it changes the car’s standard specifications and these are either cosmetic or performance related. For instance, you could add a rear spoiler or put stripes down the side of the car with these being cosmetic and/or you could have a sports suspension system or more powerful engine fitted with these being performance related.

If you modify your car in any way, it is important that you notify your insurance provider otherwise, if you were to make a claim, your policy may be invalidated and your claim may be declined.

A modification could have one of three impacts on the cost of your car insurance: –

Keep it the same
Increase it
Reduce it

What cars can be modified?

The list is almost endless as possibly any make and model of car can be modified in some way and most probably have been over the years. Whether you are looking to purchase and modify a Ford Fiesta, Volkswagen Beetle, Peugeot 207 or buy a high performance Lamborghini, Ferrari or Lotus, car insurance will be required.

Ten of the most popular car modifications

Engine – if you have a more powerful engine fitted it is likely to increase the speed meaning that you may get from 0 to 62 mph quicker and have a higher top speed. The faster you go, the more likely you are to have a road traffic accident. Therefore, you will probably find that the cost of your car insurance will increase.

Satellite Navigation System – if you have a sat nav fitted then it could attract the attention of thieves who could break into your car and steel it causing damage to the vehicle. So, beneficial as a sat nav is for helping you get from A to B, it may increase your motor insurance premium.

Parking Sensors – as these help lower the possibility of you hitting another car or object when say you are reversing your premium may reduce.

Stickers – If you were to stick “go faster stripes” down the side of your car to make it look more sporty these could be perceived by an insurer that it is making the car more appealing to a joy rider who could steal your car, drive it at high speed for a couple of hours on say a disused airfield and then set the car on fire. As a result, your premiums may rise.

Alarm – Having an alarm fitted to your car should be looked on favourably by the car insurance company as it may deter a car thief. So, this may lower the price you pay to insure your car but do check with the insurer.

Exhaust system – Fitting a new exhaust could improve the car’s performance resulting in your premiums increasing.

Rear spoiler – This could help make your car go faster so an insurer could perceive this to increase the possibility of you having an accident and, therefore, your car insurance premium may increase.

Bodywork – If you change the shape of the vehicle in any way such as adding moldings to the side of the car then this may affect the handling of the vehicle and could result in the cost of your motor insurance rising.

Tinted Windows – When fitted legally, the insurance company could see this as a positive factor as it could deter a thief breaking into your car to steal something off the back seat that may not be as easy to see with tinted glass. As a result, your premiums may be lowered but do check with the insurance company.

Wheels – Having expensive new alloy wheels fitted to a car make it more appealing to the car thief whether to steal the car or just the wheels so such a modification may mean that your premium will increase.

If you are considering modifying your car in any way then you may first wish to speak to your insurance company to find out if and by how much it will impact on how much you pay for your cover.

Here at AIB Insurance, we have many years experience in arranging top-quality cover on a wide range of cars that have been modified in some way so why not give us a call on 02380 268 351 to discuss your requirements and obtain a competitive no-obligation quote from one or more of our extensive, closely vetted panel of reliable insurers. For instance, we are able to arrange high performance car insurance with this type of car proving popular amongst car enthusiasts who love modifying their vehicles. So, if you wish to buy Lamborghini car insurance, Lotus car insurance or Ferrari car insurance to name but three extremely powerful makes of car, do not hesitate to get in touch with us.

Driving home for Christmas: Safety Rules

Christmas is just around the corner and that time of the year has arrived when the frontier is full of merriment & joy, instead, it is one of the most stressful too. With much rejoice often accompanies the rush that needs people of our United duchy to do a bit of pre-planning for a cherishing Christmas eve. Christmas time can be one of the hard-pressed times on the UK’s roads as (what feels like) everybody wants to get their feet fast on holy ground, heads home to spend the festive period with their loved ones.

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Unattached Hang Glider Manages To Hold On

Hang gliding can certainly have its scary moments but when you take to the skies for your first trip in a hang glider accompanied by an instructor you would hope that you are in safe hands. Well, an American who recently made such a trip may beg to differ.

Chris Gurksy from the USA was recently on holiday in Switzerland and decided to go hang gliding for the first time no doubt to enjoy some of the beautiful green fields as well as the mountains. Unfortunately, the adventure did not quite go according to plan due to a serious oversight.

Regrettably, his safety harness was not attached to the hang glider and this was not something that was noticed by the instructor until it was too late. The pair took off from the edge of a mountain several thousand feet tall. By the time they realized something was not quite right they were unable to stop getting airborne.

Mr Gurksy found himself holding onto a bar with one hand and with the other could be seen holding onto the back of the instructor who was having difficulty controlling the hang glider.

Apparently, both were airborne for over 2 minutes during which time Mr Gurksy was no doubt very scared and possibly thought that his life was about to come to an untimely end. Fortunately, this did not happen but when the hang glider descended Mr Gurksy’s feet hit the ground at a speed of around 45 mph and he ended up tearing his left bicep tendon. He also broke his wrist that was no doubt very painful.

Some of you may be surprised to read that Mr Gurksy would like to take to the skies again in a hang glider when he will hopefully have a more enjoyable flight. He is obviously a very brave man as, having gone through what he did that could have resulted in his death, there are possibly a lot of other people who, having had the same worrying experience, would never want to see a hang glider again. We wish him a more successful and uneventful flight when he next gets airborn in a hang glider.

Here at AIB Insurance, we have many years experience in arranging cover for a range of airsports. So, whether you are looking for cover for the first time or your existing policy is shortly up for renewal, why not give us a call on 02380 268 351 and have a chat with a knowledgeable member of our team who will happily obtain a no-obligation, competitive quote from one of our vetted insurers. We look forward to being of assistance to you.

Payouts For Motor Insurance Claims Rise

The Association of British Insurers (ABI) has produced some interesting statistics in November relating to motor insurance claims. The data reveals that there has been an increase in the amount paid out so far in 2018 when comparing the same period in 2017. In fact, a record amount has been paid out so far this year.

So far this year, motor insurance providers have paid out an average of £23 million every day. This is a sizeable sum of money.

This means that, so far in 2018, £6.4 billion has been paid out to motorists who have submitted motor insurance claims to their insurers. It is interesting to read that this figure is 4% more than the amount paid out to meet motor insurance claims in the same period in 2017.

There have been 41,000 claims settled so far this year by motor insurer providers with this being a rise of 11% when compared with the same period in 2017. Some £3 billion was spent on motor repair bills with this being an extra 5% when comparing the figures for the same period in 2017. The average payout per claim is £2,137. This may seem a high figure but one of the factors impacting on increased payouts is because many cars built now come with things like reversing sensors and the cost of replacing them is quite significant.

It is concerning to read that the amount paid out in claims as a result of vehicle thefts so far this year is £271 million. That figure is high and a staggering 32% more than for the same period in 2017. It is no doubt a traumatic experience to get back to where you last parked your car perhaps to do some shopping only to discover that it has been stolen. Thank goodness for motor insurance.

Let us hope that the above data does not result in a greater number of people seeing their car insurance premiums increase at renewal. If you receive notification that your premium is going to go up then make sure that you are ready to obtain one or more quotes from other providers to compare with the cost of your existing cover. Here at AIB Insurance, we have an extensive panel of insurers who we can obtain one or more competitive motor insurance quotes from for you without any obligation to proceed. So, why not give us a call on 02380 268 351 to discuss your requirements with a member of our team.

Variety Of Classic Cars Sold At Auction

Classic car enthusiasts may be interested to read about the auction of a number of classic vehicles that took place on the 17^th October 2018 at the Imperial War Museum, Duxford. The event was run by H &H Classic Cars. Below we mention some of the cars that were sold but full details can be found on the H & H website.

A 1962 Austin-Healey 3000 MK 11 that had an estimated price of £18,000 to £22,000 was actually sold for much more than that – it went for £30,375. This open soft top Colorado red sports car had been in the same ownership since 1969 and has only 38,457 miles on the clock making it a very low mileage vehicle. It has a 132 bhp engine and comes with 60-spoke wire wheels. It certainly looks fantastic.

A 1947 Lea-Francis 14hp Drophead Coupe had an estimated price of £9,000 to £11,000 buactually sold for £14,625. This vintage vehicle only has 23,000 miles on the clock. It has a red leather hood and interior trim. It was once owned by the father of a well known pop star – Mike Maxfield.

A 1986 Mercedes-Benz 300 SL had an estimated price of £14,000 to £18,000 but was sold for a figure of £20,250. It had been in the possession of the same owner for 16 years and had 86,295 miles on the clock. It has cream bodywork. It has a factory hard top with a rear seat option. It has a 2,962cc engine producing 187bhp and a top speed of around 130mph.

A 1960 BMW Isetta 300 had an estimated price of £14,000 to £16,000 but actually sold for £19,406. This is a four-wheeled bubble car with only 11,888 miles on the clock. It has had 4 owners. It only has a 298cc engine. It has a pale green bodywork. It looks delightful.

A 1953 Sunbeam Alpine had an estimated price of £10,000 to £12,000 but achieved a sale price of £15,468. The bodywork is a stunning red. This is a rare classic car with only 1,582 being built. It has 80,928 miles on the clock.

A 1935 Rolls-Royce 20/25 Sedanca de Ville had an estimated sale price of £18,000 to £22,000 but was sold for £23,625. The bodywork is in black and the car is in need of some restoration work to bring it back to the standard you would expect to see such a vehicle in.

A 1929 Hillman 14 Tourer had an estimated sale price of £14,000 to £16,000 but achieved a sale price of £19,125. Its previous owner before being sold at the above auction had had the vehicle since 2000. It has a 1953cc engine. It has 4 seats and a soft top.

Your Employment Status Is Important When Applying For Car Insurance

When you apply for a quote for car insurance, whether it is direct with the insurance company, through a broker like ourselves or via a price comparison website, you will be asked a number of questions to assess the risk you present to the insurer of making a future claim and to provide you with a quotation for the cover you require. These questions include things like your age, marital status, where you live, make and model of car, where the car will be parked overnight, how many miles a year you drive, what you will use the vehicle for, whether you have any driving convictions or claims and your employment status.

MoneySuperMarket.com has done some research into the impact employment status may have on how much you will be quoted for your motor insurance that makes for interesting reading so we thought we would share with you some of the results that is based upon data in January 2018. It just shows how important it is that you provide accurate information in this respect as far as how much you will be quoted for your cover.

If you are a housewife then the average premium was £563.04 per annum. However, if you mistakenly stated on the quotation request form that you were unemployed then you can expect to pay, on average, an extra £146.39 per annum. That is an increase of 26%.

If you are a student then the average premium was £1,327.87 per annum. However, if you stated by mistake that you were a mature student living at home then you can expect to pay, on average, an extra £92.95 per annum. That is an increase of 7%.

If you are retired then the average premium was £265.66 per annum. However, if you made an error and stated that you were unemployed then you can expect to pay, on average, an extra £98.29 per annum for your cover. That is an increase of 37%.

If you are a student then, as stated above, the average premium was £1,327.87 per annum. However, if you stated incorrectly that you were unemployed then you can expect to pay, on average, an extra £677.21 per annum. That is an extra 51% which we are sure you will agree is a huge difference.

As you can see, as stated earlier, it is vital that accurate information is provided when applying for a quotation for car insurance or indeed any form of insurance as deliberately providing false details has a number of potential implications including the insurance company refusing to pay out in the event of a claim.

If you require a quote, perhaps because your existing policy is shortly coming up for renewal or if you are a young motorist looking for cover to insure your first car, then why not get in touch with us here at AIB Insurance on 02380 268 351 and speak with an experienced member of our team who will discuss your requirements and obtain one or more competitive quotations for your perusal and consideration without any obligation. We look forward to hearing from you.

Is Your Home At Risk Of Flooding?

We are now in autumn with the daylight hours rapidly getting shorter and it will not be long before winter is upon us. During these seasons, we can be subject to inclement weather such as heavy rainfall and snow. This may come as a surprise to many of you but, according to the Environment Agency, here in England there are 5.2 million homes that are at risk of being flooded. We are sure you will agree, that is a huge number. Many of the homes that are at risk of flooding are located near the coast, rivers and reservoirs.

However, what is rather concerning is that fewer than 10% of those homeowners believe that they are at risk of seeing their homes flooded with water. Also, a lesser percentage of people, have made contingency plans to deal with a flood.

Another concerning and sad statistic is that 36 people have lost their lives in England and Wales in the last 10 years due to flooding. Flooding has also had a negative impact on a lot of people’s mental health.

So, what can you do in the event of a flood warning? Well, if you have more than enough time, you may wish to focus on making sure that your family and pets are safe which may involve vacating the premises and moving to a safe temporary premises. If you have time, move your possessions and contents such as furniture upstairs out of harms way. Make sure that you have turned off the gas, electric and water. You may wish to prepare a bag of food and non-alcoholic drinks and add some medicines such as pain relief tablets. You may also wish to have a supply of sandbags to be used to try to stop the floodwater getting in through the outside doors.

If you are in immediate danger then you should ring the emergency services on 999 and take their advice. Do not attempt to vacate the property if the flood levels are such that it is too dangerous to do so – far better to wait for the emergency services to rescue you either by land, water or air.

You may also wish to check to make sure that your household insurance covers you for loss and/or damage to the building, fixtures and fittings and the contents and personal belongings caused by flooding. Many household items that are damaged by flooding would need to be replaced with new items so it is important that your home insurance covers you for this.

In this respect, if you are looking for household insurance for the first time or require a quote to compare with your existing insurance, then why not get in touch with us here at AIB Insurance on 02380 268 351. We have an extensive panel of insurers at our disposal.

Our Open Letter to the Treasury, don’t increase IPT!

With rumors of the government increasing Insurance Premium Tax again, we sent an open letter to our MP, Mims Davies. Continually increasing the tax on socially positive motor & home insurance acts as a disincentive to buy, hits the poorest hardest & shouldn’t be a cash cow for the Treasury:

Mims Davies
The House of Commons
London
SW1A 0AA

October 2018

Dear Mims Davies MP

Airsports Insurance Bureau is a firm that provides insurance in your constituency. Our firm helps to arrange insurance for business and consumers throughout the area and in our capacity as agent of the customer; we act in the best interests of insurance buyers, finding them the best policy for their needs.

We are greatly concerned by the sudden and sharp increases in Insurance Premium Tax that have happened since November 2015 – doubling the rate from 6% to 12%. Further, the Chancellor has indicated that further increases are not only possible – but are likely.

Insurance Premium Tax was introduced in 1993. Before this, the purchase of insurance attracted no tax. Insurance allows people to take responsibility for themselves and their assets, and actually reduces the burden on the state should things go wrong.

Our trade body, The British Insurance Brokers’ Association, has made a comprehensive representation to HM Treasury, calling for a freeze in the rate of Insurance Premium Tax: https://bit.ly/2xWD7p3

As a regressive tax, Insurance Premium Tax penalises those who pay more for their insurance. This includes groups such as young drivers and communities in flood risk areas. For example, the tax contribution for a £1,500 young driver’s policy has increased from £90 to £180 in the last 24 months alone. With young drivers more likely to drive without insurance, any further increases are likely to have an impact on the number of uninsured drivers on the UK’s roads.

HMRC’s policy objective IPT01300 states “that IPT should make the required contribution to UK Government revenue while minimising the effect on the take up of insurance”. It is clear such significant increases are indeed likely to be to the detriment of uptake.

In your capacity as our local MP, I would be very grateful if you could take up this issue with the Financial Secretary to the Treasury, Mel Stride ahead of the Budget this month, calling for a freeze in any further increases for the term of this Parliament.

Yours sincerely,

Airsports Insurance Bureau

Classic Vehicles Once Owned By Film Stars To Be Auctioned

There are a couple of interesting auctions coming up in the next few weeks at which you could have the opportunity to buy classic vehicles once owned by “A” rated film stars. Presumably, these vehicles will no doubt carry a premium in view of their previous ownership.

Many of you will have heard of the late Marilyn Monroe. Well, John Juilien’s Icons and Idols: Hollywood auction is taking place on the 16^th and 17^th November 2018 in Los Angeles, USA as well as online and a 1956 Ford Thunderbird once owned by this well-known star is being offered for sale with an estimated sale price of between $300,000 to $500,000.

She owned the classic car between 1955 to 1962 and at her wedding to Arthur Miller, a renowned playwright, on the 28^th June 1956, they drove the car to the ceremony. The car had a V8 225 bhp engine capable of reaching 113 mph that was very fast for a car way back in the 1950’s. This particular car was rather unusual in so much as it has both a soft top plus it also can have a hard top fitted. Its bodywork is black and it has a black and white interior. It is said to be in immaculate condition and has a low mileage.

If making the long journey to America doesn’t appeal then you may be attracted to a classic vehicle that is shortly to be auctioned here in this country. At the NEC Classic Motor Show Sale that takes place at the NEC near Birmingham on the 10^th and 11^th November 2018 there is a left hand drive 1945 Willys Jeep MB available to buy that was owned by a very famous actor – the late Steve McQueen. He appeared in many films including the Bullitt. This classic jeep was originally built for and owned by the US army but was later bought by the actor.

His estate sold the vehicle in 1984 for $6,000. It was estimated that its sale price was in the region of ten times greater than such a jeep would normally have sold for so it just goes to show the effect that Steve McQueen’s name had on the price. It has been renovated and now has an estimated price of between £80,000 to £100,000.

If your existing classic vehicle insurance is shortly coming up for renewal or you are looking for cover for the first time then why not give AIB Insurance a call on 02380 268 351 and discuss your requirements with a member of staff. He or she will be pleased to obtain a competitive quotation from our extensive panel of insurers for your consideration without any obligation. We look forward to being of assistance.

Running A Car Gets More Expensive For Young Motorists

Keeping a car on the road has always been a costly thing to do but is particularly expensive for young drivers who tend to be faced with having to pay more for their car insurance than the more mature driver. Research by the price comparison website Compare The Market has revealed some interesting statistics in this respect.

Apparently, as at September 2018, the average annual cost of someone aged 17 to 24 running a car was £2,442. That figure has gone up in the last 6 months by an average of £60 per annum. In the last 2 years it is concerning to read that the average cost of a young motorist running a car has gone up by in excess of £140 per annum.

The average cost of a young driver insuring a car has risen to £1,324 per annum meaning that insurance costs make up over 50% of running a vehicle. Fortunately, car insurance premiums have been falling in recent months –since February 2018 premiums have dropped by an average of not far off £24 per annum.

Another factor that has added to the increase in the cost of running a car is the increase in fuel prices that we have seen at petrol stations here in the UK. In the space of 12 months this has risen by an average of 9.9% to £891 per annum.

Other things taken into account in the average cost of running a car are Road Tax at £115, breakdown cover at £56 and MOT at £54.

The 5 most popular cars owned by young motorists are: –

Vauxhall Corsa
Ford Fiesta
Volkswagen Polo
Renault Clio
Volkswagen Golf

It was found that the cheapest car to insure by a young motorist was the Dacia Sandero at an average of £882 per annum. As you can see, this is significantly lower than the average cost of insurance. This was closely followed by the Fiat 500 at an average of £898 per annum to insure.

It should be borne in mind that the above figures do not take into account young drivers who need to arrange finance to fund the purchase of a vehicle. The monthly outlay in this respect can be quite significant.

The motor insurance market is extremely competitive here in the UK with numerous insurers providing cover ranging from standard car insurance to telematics cover and even pay per mile insurance. Unfortunately, not enough people bother to shop around for their cover such as when they receive their renewal notice from their existing insurance company. If they did then some may find that they could have got the same level of suitable cover but for a lower premium.

So, if you are looking for car insurance either for the first time or if your existing policy is coming up for renewal, why not get in touch with us here at AIB Insurance on 02380 268 351 and speak with a knowledgeable member of our team who will discuss your requirements and obtain a competitive quotation from our extensive panel of insurers for your perusal without any obligation.