Watch out if you have got a five-year-old car
- 40% of car insurance claims come from cars aged three to six-years-old, says Virgin Money Car Insurance
Drivers with five-year-old cars* are the most likely to have to claim on their car insurance, analysis from Virgin Money Car Insurance shows.
Its database shows 9.6% of all motor claims were from drivers with five-year-old cars with four-year-old cars narrowly behind.
Indeed cars aged between three to six-years-old account for nearly 40% of all claims despite making up just 24%** of cars on the road, Virgin Money Car Insurance says.
Data from the Society of Motor Manufacturers and Traders shows 7.425 million of the 31.167 million cars on UK roads are aged between three and six years old.
But Virgin Money Car Insurance’s analysis of its own database shows they make up 37.3% of all claims.
Grant Bather, spokesman at Virgin Money Car Insurance, said: “Drivers tend to change their car every three to five years and on this evidence they have some justification.
“This is not to say that cars five years old are the most dangerous, but that they are more likely to be involved in an incident that leads to a claim being made. This may be a traffic accident, breakdown or theft.
“Looking at these statistics, people looking at buying a second hand car should also make sure that they have taken the necessary action to ensure that the car meets all of the road standards.”
The table below shows the percentage of claims for car ages based on Virgin Money Car Insurance claims data.
|CAR AGE||% OF CLAIMS|
|Under One Year Old||2.30%|
Cars aged 10 years account for over 6% of all claims, the Virgin Money Car Insurance database shows.
However drivers with new cars less than a year old were unlikely to have to make a claim, accounting for just over 2% of all claims.
Notes to editors
* Virgin Money Car Insurance analysis of its claims database
** SMMT Motor Industry Facts 2009
For further information:
Grant Bather at the Virgin Money Press Office
0207 111 1012
Kevan Reilly/Chris Jarvis, Citigate Dewe Rogerson
0207 638 9571
About Virgin Money
- Virgin Money is Virgin’s financial services arm and was established in 1995 as a joint venture between the Virgin Group and Norwich Union.
- In 1997, Virgin Direct Personal Financial Services Limited launched The Virgin One Account, a joint venture with The Royal Bank of Scotland that offered the UK’s first current account mortgage direct to the retail market. In 2001, RBS bought out the Virgin Group’s stake in the joint venture.
- In April 2004 the Virgin Group took 100% ownership of Virgin Money.
- Virgin Money currently has over 2.5 million customers and offers Payment Cards (Credit Cards & Prepaid Cards), Savings and Investment products (Stakeholder Pensions, Children’s Pensions, Employers Pensions, FTSE Tracker ISA, Bond & Gilt ISA, Climate Change ISA, Cash ISA, and Unit Trusts), General Insurance products (Motor, Home, Travel, and Pet) and Life Assurance products to the UK market.
- Virgin Money's brand ambition is to make "everyone better off" – this philosophy underpins our approach to business by offering good value to customers, treating employees well, making a positive contribution to society and delivering a profit to shareholders.
- Virgin has signed a five-year deal to be the official sponsor of the London Marathon, the biggest annual fundraising event in the world. The inaugural Virgin London Marathon is on 25 April 2010. Virgin Money, the financial services division of the Virgin Group is leading the London Marathon sponsorship with the ambition to help runners raise £¼ billion over 5 years and will use its infrastructure, online capability and financial expertise to deliver that through Virgin Money Giving.