martine wrote:
Anyone know how the 'typcial' premium is made up...i.e what proportion covers damage while driving, theft, 3rd party claims, personal accident etc? I know death/injury claims can be £ms but is this as significant as the much higher chance of a bump up the rear (for instance)?
There is no such think as a "typical" premium, every one is calculated individually based on the available statistical data about the risk factors that apply to the use of the vehicle (for a much as that can be determined from the information given by the policyholder)
Premiums are not determined by the perceived risk of a claim being made (or a particular type of claim), but by average value of all claims likely to be made on a given group of policies which are subject to the same risk factors. For example if in one group of 10 policies one £1,000,000 third party claim is expected this will result in a higher premium than for another group where 5 £5,000 own vehicle claims are expected.
For a novice/young male working in the entertainment industry, the high fatality rates means that third party risks form a very high proportion of the premium, and different vehicles determine the premium as a result of how they are perceived to suggest that a given driver is a higher or lower risk. On the other hand for an unemployed middle aged female (where single vehicle own damage claims are disproportionately high) it is the repair costs of their vehicle that drive the premium to the greatest extent.