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Car insurance to rise next month
Price rise of up to 3% due to increasing number of claims as a result of bad weather, break-ins and speeding
THE COST of insuring a car in France is set to rise by up to 3% from April 1 as some of the major insurers' annual contracts come up for renewal.
According to figures compiled by Les Echos, GMF is planning an average 1.2% rise, Matmut 2% and Macif 3%.
Insurance companies have blamed the rise on a growing number of claims by drivers - many of which are linked to weather conditions such as last January's Hurricane Klaus and the snow disruption earlier this year.
They also say there has been a rise in insurance fraud, car break-ins and arson attacks - and a 4% increase in road traffic in 2009 which has contributed to the extra accidents.
Axa and Maif already increased their tariffs, rising by up to 5% in January. Maaf is the only big insurer that has pledged to keep its prices stable in 2010.
Most car insurance packages in France are based on yearly contracts - some run the length of a calendar year while others come up for renewal in April.
According to insurance price comparison website Assurland.com, the average cost of insuring a car has fallen by 15% in the past five years.
Cristian Nitu - Fotolia.com