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Insurance costs set to rise
Costs of insurance will see a hike next year, especially on home and health, consultants say
INSURANCE policies are set to rise again in 2012, following a hike earlier this year, says insurance industry consultants Facts & Figures.
All the main kinds of personal insurance are likely to be affected, says the firm, which investigates trends across Europe.
Health policies are likely to be worst hit, it says - they could rise an average 5-10%, partly due to the government’s extra tax, but also an aging population and an increasing trend of some medicines having their reimbursements cut or reduced.
Home insurance will also rise as insurers are said to feel many policy prices are too low compared to the cost of risks.
Rises in car insurance are also expected.
Aside from other reasons the increases are likely due to the rocky financial markets this year and low interest rates, which have reduced the income insurance firms make on investing customers’ money.
