Oral Answers to Questions

David Mowat Excerpts

Tuesday 14th June 2016 Commons Chamber

[Mr Vara]

The Government’s proposed reforms will ensure that the current cost of £2 billion annually for whiplash claims should be reduced to £1 billion for the insurance industry. They will also ensure that the average person’s insurance premium should go down by up to £50.

[David Mowat (Warrington South) (Con)]

In the UK, 80% of road traffic accidents generate a whiplash claim; in France, 3% of road traffic accidents generate a whiplash claim. In the UK, whiplash claims are increasing as accidents decrease; in France, it is the other way round. Insurance premiums in the UK are 50% higher, meaning that many young people cannot afford insurance. Will the Government act to get this sorted out?

[Mr Vara]

I am grateful to my hon. Friend for making that point. He is absolutely right to say that it is important, to benefit all our constituents, that we deal with this. The way to do so is through our proposed reforms, on which there will be a consultation in the not-too-distant future. That will ensure that premiums go down.