The Association of British Insurers (ABI) said that the industry had had to deal with around 335,000 claims in December 2009 alone, amounting to some £650 million being paid out.

Damages were spread across homes, businesses and vehicles as the prolonged bursts of snow and ice wreaked havoc on a country no longer used to such bouts of dismal conditions.

Most of the money went to insured motorists. They were awarded some £395 million as many claimed for accidents involving slippery conditions as the snow and ice made driving treacherous. The amount of claims numbered 268,400.

There were a lesser number of property damage claims – around 66,000 – but there was still a substantial £255 million paid out to homeowners and business customers. This was in fact double the number of claims that the insurers would usually see in December. Of the 66,000, most (a touch over 62,000) were claims that involved damage to houses and the cost of these repairs (many involving snow on roofs) were put at £194 million.

The ABI also highlighted the cost of the flooding in Cumbria which amounted to some £200 million.

Nick Starling, the Director of General Insurance and Health of the ABI, said:
“Insurers will always respond quickly to the large number of claims that often result from bad weather. From dealing with snow damaged roofs, burst pipes, to repairing or replacing vehicles damaged by treacherous driving conditions, insurers helped their customers get through the snow and the freezing temperatures. Insurers have paid out nearly £1 billion to customers following bad weather this winter, as the heavy snow came weeks after the flooding in Cumbria, which led to insurers paying out £200 million in flood claims.”

Guest Article by Neil Camp

And this is the first decrease since 2006.

The figures come from The UK Cards Association, which represents UK credit card and debit card providers, and they also revealed that the skimming and cloning of cards also fell by a huge 50%. And cheque fraud took a similar dive downwards, dropping nearly 30% from just over £41 million to a touch under £30 million.

The bad news in an otherwise good result is that online banking losses, those committed online, rose by 14% to nearly £60 million.

Online fraud is growing because of people’s vulnerability at their end of the operation (personal computers are still prone to malware attacks), whereas the financial institutions themselves are far more difficult to penetrate due to their sophisticated system protections. Also, individuals are still prone phishing attacks and these tactics (bogus emails promising money, or spurious deals) are on the increase, up 16% to 51,000 recorded incidents.

Melanie Johnson, Chair of The UK Cards Association, said:
“The cards industry sees fighting fraud as a key part of keeping its customers’ interests centre-stage. We are committed to a wide range of measures to ensure customers feel confident, safe and secure when they use their credit and debit cards – whether in a shop, abroad, online, at a cash machine or anywhere else.

“And a fall in card fraud is good news for everyone – UK consumers, retailers and the industry. We recognise that cards will always be targeted by criminals, so we are determined not only to continue to prevent, detect and deter those who are behind this type of crime, but also to make sure that innocent victims don’t lose out.”

The Fraud Control Steering Group, which is the payment industry’s leading fraud prevention group, chipped in with its own comment. David Cooper, Chairman, said:
“Although online banking fraud losses have shown a year-on-year increase, card fraud remains a main focus of criminal activity. However, the industry remains committed to containing and reducing all areas of fraud. To this end, we will continue our partnership approach – working with law enforcement, retailers, consumers and the Home Office – to tackle fraud head-on.”

The levels of fraud are coming down for a number of reasons says The UK Cards Association, including such initiatives as chip and PIN; growth in the use of MasterCard’s SecureCode and Verified by Visa (adds an extra layer of security when online shopping); progress made by the Dedicated Cheque and Plastic Crime Unit (DCPCU), which is the industry-sponsored special police unit; and, the use of more sophisticated anti-fraud techniques by financial institutions and retailers alike.

And for those who were wondering how much such financial fraud accounts in the overall estimate of nefarious activities, then it’s a sobering thought that its only around 2%.

The aptly named National Fraud Authority recently announced that if you combined all the various fraud perpetrated in the UK in a year, it comes to a eye-watering £30 billion.

Guest Article by Neil Camp

Who uses self certified mortgages?

This is an avenue usually offered to people who are self-employed, employed by many different firms or who work largely on commission. All must already have a substantial deposit to put down on a property.

Pros and cons of self cert mortgages:

Pros –

• Proof of earnings is not necessary to gain the loan for a home
• A large deposit often helps with approval for a mortgage

Cons –

• Interest rates can be higher for self cert mortgages
• The loan is valued a lot lower than the true value

There are usually many current mortgage deals around if you are looking to buy a home. However, due to the recession the number of mortgage products available to home buyers has reduced. The best way to ensure you can obtain a self-certified mortgage is to save a larger deposit. This will make you more attractive to mortgage lenders and open up the mortgage products available to you.

This past 18 months has seen a wave of houses repossessed due to payments not being kept up by owners. Many home buyers took out a 100% mortgage which meant high monthly repayments which, during the recession and work being scarce, payments became unachievable. If you have the income and are confident you can continue the payments on a self certified mortgage then it makes an ideal opportunity, but ensure payments can be met otherwise you risk your property being taken away.

Are you looking for the best current mortgage deals? Use our form to receive a no obligation quotation from the top lenders.
 

Need tourer bike insurance?

New tourer bikes

Guest Article by Louise Goldstein

Although they are not renowned for their speed you will find Harley Davidson bike insurance is relatively expensive. This is because they are often very powerful and more expensive than other bikes, which is why it pays to shop around. This is however a far cry from their original incarnation, which consisted of a small 116CC engine strapped to a bicycle. Today you can buy machines up to 1800cc that weigh in at almost 500kg.

If you are lucky enough to own a Harley Davidson make sure you notify your provider of any modifications made. If you don’t you run the risk of invalidating your motorbike insurance should you need to make a claim. During both World Wars, Harley Davidson was commissioned to produce bikes for the war effort. These bikes were often sent into front line action and did a marvelous job for the US forces, the bikes were well looked after and many returned from service with just a few minor bumps and scratches. Since then the brand has become world renowned for workmanship and reliability. But it has also become very popular to custom modify them, so if you buy second hand make sure you are fully aware of the bike’s history.

If you need Harley Davidson bike insurance you can compare deals from the top insurer’s right here on BUYability.

Guest Article by Louise Goldstein
 

• Theft
• Damage
• Accidents
• Fire

Last year’s budget saw Chancellor Alistair Darling raise the amount people could invest in an ISA from £7,200 to £10,200, and of that, some £5,100 can be held in a cash ISA. And because of that, says Barclays, people are potentially going to lose thousands through not fully exploiting their tax free ISA allowances.

The Barclays research revealed that just over 40% of people were not aware of the changes and what’s more, some 75% did not know that they could invest in a cash ISA from the start of the new tax year.

Andy Gray, head of savings for Barclays said:
“It’s surprising to see that the plans to increase ISA limits across the board haven’t really registered with UK consumers yet. We would urge people to review their savings to ensure they don’t miss out on their tax-free allowance for this year and from 6 April 2010 when the new limits apply to everyone.”

The research went on to break down the towns and cities where people lived who did not know about the changes.

The most ‘ISA aware’ locations turned out to be Cheltenham, Colchester, Derby, Edinburgh, Newport, Portsmouth and Worcester. Some two thirds of people living here were aware of the changes.

Contrast that with people living in Blackburn, Bradford, Brighton, Manchester, Newcastle and Wolverhampton. Here, over half of the people were unaware of the ISA changes.

As to the change in limits – from £7,200 to £10,200 – it came into force, for people born before 6 April 1960 on 6 October, and for all others over the age of 18, it will come into effect on 6 April, 2010.

No doubt the Government will hope that the increased tax allowance levels will stimulate saving, but it appears that it will be up to the financial sector itself to make people in the UK fully aware of what those changes are and when they will be effective.

Guest Article by Neil Camp

The research coincided with the new ‘10’ registration plate vehicles which were out on sale on 1 March, 2010.

And Marks & Spencer are worried.

A spokesperson said:
“Whether it’s a brand new car or a used vehicle, most garages should talk you through a vehicle before you drive it away. To avoid taking risks and potentially causing an accident, it is important to take time to familiarize yourself with the features of a car that’s new to you.”

Their report shows that only just over 10% of drivers will fully examine the car’s manual before setting off for the first time.

What’s more, well over a third of drivers taking their new car out for a first spin, don’t even turn one page of the manual. And just over a half give if the merest glance whilst flicking through the pages.

And what might surprise many, is that women and more guilty of this than men. The research found out that some 40% of woman drive away without consulting the manual, as opposed to around 30% of men.

Such is the supposed confidence of many men, some 20%, that they rely on figuring out the controls as they drive, which does little for concerns over safety as they no doubt drive whilst ‘fiddling’ their way around various essential items like windscreen wipers, lights and music player.

But the research goes on to point out that perhaps a little more manual studying might be a good idea, because a list was created of the top ten issues that car drivers have to grapple with when they get into a new car, or indeed, one that is unfamiliar to them.

The top of that list is headed by that old chestnut of trying to find the handle to release the bonnet, which can try even the most determined of drivers.

Next comes the in-car music centre, which in some modern cars can take a day’s reading of its own manual just to get working properly.

A little less irksome, but still trying, is how to alter the drivers seat position, which many drivers appear to try and adjust whilst moving; never a good idea.

Fourth is trying to find the switch to operate the side lights and headlights and fifth is locating the windscreen wipers.

So be warned, if that car in front has just been bought, then give the driver plenty of room.

Guest Article by Neil Camp

Compare car insurance quotes online and save money using our easy comparison tool

The complaints relate to banking, insurance and investment products. In the period, the ombudsman received over 80,000 new complaints, compared to just under 70,000 for the first six months of 2009.

And leading the way in complaints, having the dubious honour of being most moaned about, was Lloyds TSB with a whopping 9,952 whinges, covering all aspects of its business, with Barclays close behind with 9,836.

Perhaps worryingly for the financial sector is the fact that over half of the complaints (53%) were upheld in favour of the customer, although to be fair, that was down from 59% in favour in the first six months of 2009.

Very few members of the financial sector escaped the wrath of their customers, but the ombudsman was keen to point out that it was natural for the bigger concerns to have more complaints than the smaller companies, just by virtue of their size and number of operations and products.

David Thomas, interim chief ombudsman, imparted some encouraging news:
“While the number of cases referred by consumers to the ombudsman has continued to increase substantially, it’s encouraging to see that some businesses are committed to handling complaints better.”

Although he added that things were not yet perfect:
“However, there is evidently still room for significant improvement in the way other financial businesses handle complaints – judged by the proportion of cases where we overturn the decision that the businesses have themselves come to in their own earlier investigation of their customer complaints.

“The data we have released today clearly shows that some businesses still need to do more to ensure that they deal with their customers’ complaints effectively and fairly – so that consumers do not then need to escalate their dissatisfaction to the ombudsman. We hope that businesses will continue to use this data to focus their attention on addressing these key complaints-handling issues over the coming months and years.”

Only time will tell whether complaints will drop off as the economic situation improves, or whether the problem is more deep-seated than a reflection of the financial climate.

Guest Article by Neil Camp

As with all financial products, people should not thank that they owe their bank loyalty, or indeed, stay with a bank just because they have done so for years.

Banks are smart operators when it comes to what they will offer their customers and they realise, as everyone should, it’s a highly competitive market and in today’s comparison world, the consumer has the edge.

Without a good bank account comparison website, it would take a log time trawling through all the bank accounts of offer to find the right one for you.

Now one caveat on all that. People do build good relationships with their banks and there is something to be said for staying loyal if that translates to a good account and other financial product deals, such as loans and mortgages. That said, even those with good bank relationships, can always look to opening another account if that suits them at the time. Nothing is fixed in stone in today’s modern personal finance sector.

Current accounts come in various types which tend to include high interest current accounts, business current accounts and current bank accounts.

A good current bank account comparison tool should be able to calculate what you might gain per year from a different account.

They should also divide the accounts into key categories, making comparison easier. You could then start off by comparing all current bank accounts, then easy access accounts, straightforward current accounts, fixed rate accounts and ISAs.

This allows the user to then take each category in turn and see which account offers then the best deal.

Take the category current accounts. The information laid out before you should include the financial institution offering the account (Alliance & Leicester, NatWest for example), the account name (something like Premier Current for example) and any incentives to attract you as a customer, or keep you as a customer; how much interest is paid, if any, and when; and, details about any overdrafts that might be available and what interest rate is charged.

So there you are. Choose a good current bank account comparison website and it’s all mapped out in front of you.

Guest Article by Neil Camp