HC Deb 02 December 1931 vol 260 cc1068-9
23. Lord APSLEY

asked the Minister of Transport if he is aware of the high premiums charged by insurance companies for the insurance of motor vehicles and the high rate of depreciation, without corresponding reduction of premium, which they charge in cases of payment of claims in the event of total destruction of the vehicle; and whether, in view of the profits insurance companies are making since the passing of the Road Transport Act owing to third-party risks being made compulsory, he is prepared to take any action amending the Road Transport Act so as to secure easier insurance facilities for motorists?

Mr. PYBUS

I am not aware that there has been any general increase in the premium rates for the insurance of motor vehicles since the passing of the Road Traffic Act. The Act deals only with insurance against claims in respect of injuries to third parties, and obviously this element in an insurance policy can have no relation to the total destruction of a, vehicle or to any claim based thereon. I should be glad to receive any evidence in the Noble Lord's possession supporting his suggestion of a general increase in the profits of insurance companies from this class of business since the passing of the Road Traffic Act.

Lord APSLEY

Is the hon. Member aware that the legislation introduced by his predecessor has given what is virtually a monopoly to the compulsory insurance of all these companies, and that in regard to other insurance policies with respect to damage of vehicles they do not care what policy they give you?

Mr. PYBUS

I am sure that the Noble Lord's remarks are based on evidence which I shall be very glad to have.