Money News: Drive down premiums with a little black box
Sunday 08 October 2006
Motorists can now take outinsurance on a "pay as you go" basis along the lines of the system favoured by millions of mobile phone users.
Norwich Union launched "pay as you drive" Last week, a policy that rewards drivers for avoiding roads at busy times.
Motorists aged between 25 and 65 who use motorways outside rush hour will pay from 1p per mile; during peak hours from 7am to 10am, charges start at 2.5p a mile on dual carriageways and 6p a mile for trunk roads.
These prices are only a guide, though. If you have a poor driving record and a lack of no-claims bonuses, expect to pay several pence more per mile.
For drivers from 18 to 23, Norwich Union has introduced a different price structure. It will cost £1 a mile to use the car between 11pm and 6am - the peak hours for accidents - against at least 5p a mile at all other times.
Norwich Union claims that letting motorists take charge of their insurance will allow them to lop up to a third off their premiums.
A "black box" fitted in vehicles allows the insurer to log how far the vehicle has travelled, at what time, and what kind of roads customers used.
Norwich Union's policies are based on a mix of accident statistics from the Department for Transport. For example, motorways are up to 10 times safer than low-speed urban roads, and we're 50 per cent more likely to be involved in an accident during the rush hour than at weekends or in the evenings.
Interest rates: All quiet - but a rise is on the way
The Bank of England left interest rates on hold at 4.75 per cent last week, but many industry observers expect a rise in November. "The Bank's decision to leave rates unchanged today is unlikely to be repeated next month," said Milan Khatri, chief economist at the Royal Institute of Chartered Surveyors. "A strong housing market has been sustained despite the August rate hike, and prices are rising at around twice the rate of increase in average earnings.
"While overall inflation and wage rises in the economy are moderate, we expect a pre-emptive rate rise in November of 0.25 percentage points," he added.
Earlier in the week a report from the Halifax, Britain's biggest lender, revealed that house price inflation in September was running at 8 per cent - a drop from August.
Meanwhile, it emerged that homeowners were releasing less equity from their homes. Bank of England figures for the period from April to June showed £11.3bn was released - against £12.9bn in the first quarter.
Chip and pin: Fraudsters serve themselves at Tesco
Tesco has been rapped on the knuckles by consumer champion Which? for delays in the installation of chip-and-pin terminals at self-service checkouts.
The absence of the new technology - introduced in the UK last year to clamp down on signature fraud - is allowing criminals to use stolen and cloned cards to buy thousands of pounds worth of goods, the consumer group has warned.
Without being challenged, Which? researchers used the debit and credit cards of other people in a number of the 200 Tesco stores with self-service tills.
"It's highly irresponsible that Britain's biggest supermarket makes it so easy for criminals to use stolen credit cards," said a Which? spokesman.
Tesco admitted it was behind schedule with chip and pin but denied that the fraud was significant.
It added that it was preparing to install the terminals at all its self-service tills by December.
'Basic' accounts: Dwindling ranks of the 'unbanked'
More than one million "basic bank accounts" have been opened since April 2003, it emerged last week.
"We have passed a milestone in our commitment to the goal of halving the number of adults in households without a bank account by November 2006," said Ian Mullen, chief executive of the British Bankers' Association.
Basic accounts are designed for those on very low incomes as well as the "unbanked" - those who would rather keep their cash under the mattress than in a financial institution. The rise in take-up follows intense pressure from MPs on the Treasury Select Committee, whose inquiry into "financial exclusion" aims to encourage people to join mainstream financial services instead of using local credit lenders.
Last year banks were accused of failing to push basic accounts to customers and making it hard for them to jump through administrative hoops - by demanding pieces of ID, such as passports, that many applicants didn't have.
Debt in Britain: Numbers seeking help on how to cope with mounting bills goes up by more than half in three years
Bargain Hunter: BT improves its mobile reception with 'incredibly competitive' deals
Questions of Cash: Why was my case ignored by My Civil Service Pension?
Offset your mortgage and save thousands
Simon Read: 'It went below the radar but you could be eligible for a tax break on your savings'
- 1 Is this bridge haunted by the ghost of nu rave?
- 2 Woman filmed launching racist tirade against men on the Tube for speaking in 'own lingo'
- 3 The West has it totally wrong on Lee Kuan Yew
- 4 Scientists have discovered a simple way to cook rice that dramatically cuts the calories
- 5 Noel Gallagher: I lost sh*tloads of money, a few million, didn’t tell my wife
Ukip supporters are 55 or older, white and socially conservative, finds British Social Attitudes Report
JK Rowling responds to fan tweeting she 'can't see' Dumbledore being gay
Jeremy Clarkson sacked live: Alan Yentob 'wouldn't rule out' ex Top Gear host's BBC return
David Cameron calls Labour 'hopeless, sneering socialists' while announcing 7-day NHS plans
Revealed: Putin's army of pro-Kremlin bloggers
The West has it totally wrong on Lee Kuan Yew
iJobs Money & Business
Negotiable: Recruitment Genius: To provide a prompt, friendly and efficient se...
Negotiable: Recruitment Genius: You will be the first point of contact for all...
£18000 - £24000 per annum + benefits: Ashdown Group: HR, Payroll & Benefits Of...
£35000 - £38000 per annum + benefits : Ashdown Group: A highly successful, int...
Day In a Page
A four-bedroom apartment on the ground floor of a stunning period property in North Yorkshire, with two kitchens and a large south-west facing garden.
This high-spec two-bedroom home is part of a smart collection of new flats at Beaufort Park and has a large decked balcony that's perfect for summer drinks.
Capitalise on the fabulous views of Trevone Bay by taking two homes and creating one spacious boutique B&B. Just a cliff-top walk from Padstow.
Overlooking a golf course, this six-bedroom Edwardian detached home spans four storeys and retains many period features including the original, operational servants' bells...
On the edge of the city, this six-bedroom home comes with an outdoor swimming pool and a large garage block that has annexe potential.
In a Grade II-listed manor just outside of Bath, this three-bedroom home is arranged on two floors with a skylight in a vaulted roof line.
Open the living room's bi-fold wooden doors to reveal a retro-style kitchen, and a conservatory leading to a paved garden at this three-bedroom home.
A Grade II-listed, four-bedroom home, in a charming Somerset village, with a two-storey studio that could be converted into a holiday cottage
A modern four-bedroom Victorian home, within walking distance to the high street
A luxury apartment in the Gothic mansion of Wyfold Court in Kingwood, offers six bedrooms spread over three floors and a turret
This school conversion, near Stockwell Tube, oozes New York loft style. The one-bedroom flat features double height ceilings and exposed brick work
This six-bedroom Georgian home is on three floors with open fireplaces, a two-oven Aga, an annexe, and cottage gardens with outbuildings and a car barn
High Crest House covers an impressive 9384sq ft, with almost three acres of grounds including a tennis court and summer house enclosed by electric gates
A six-bedroom farmhouse with separate accommodation in converted stables. Situated in the village of Church Aston, within walking distance to the market town
A two-bedroom flat with under-heated walnut floors and bespoke built-in storage. The Tube and Clapham Common are a short stroll away
A refurbished seven-bedroom townhouse with staff quarters, cinema room, superb gym, steam room and plunge pool
A minimnalist four-bedroom home designed to the highest spec, featuring glass walls and a kitchen space lit by a glass roof
Hibernate during winter and make your living during the summer at this busy guesthouse with panoramic sea views, in the village of Lynton
A four-bedroom penthouse next to the Tate with direct views of St Paul's from two floors of luxurious living space
A four-bedroom detached home surrounded by spacious gardens and woodland, close to New Pudsey
An 18th-century, three-bedroom home near Langstone Harbour built from ships beams with vaulted ceilings and wood burning stoves
A five-bedroom semi-detached home with a mix of period and modern features in a popular and convenient location
This five-bedroom red-brick beauty overlooks the village green and sits in just under two acres of land
A three-bedroom villa with self-contained flat, minutes from Lake Windermere
A five-bedroom Victorian home with four receptions, superb gardens and paddock in Pembury
An eight-bedroom house on the south side of the The Green with cinema, wine cellars and summer house
This 17th century beauty is full of rustic cosiness, while the detached home office means you can also run a business
Four exclusive apartments in a Grade II-listed former medical school with 2,275 sq ft of living space and 18ft ceilings
A five-bedroom terraced house on the popular Peterborough Estate, ideally located for both Eel Brook Common and South Park
A state-of-the-art farm-building conversion on the former Cliveden Estate, with 11,420sq ft of internal space, cinema and wine cellar
Windsor Castle overlooks this three-bedroom Victorian cottage located on one of Windsor's smartest roads
A boutique mews house, set around a central courtyard, with three bedrooms and a private roof terrace
A four-bedroom farm-conversion with three bathrooms and two reception rooms
A two-bedroom detached house with ensuite bathrooms and a sun-drenched decked terrace, £750,000
A modern and spacious two-bedroom, penthouse flat with two bathrooms in a prestigious development
A beautifully renovated five-bedroom terrace with three reception rooms and a courtyard garden, £700,000
A four-bedroom period house which has been extended to provide almost 2,500sq ft of living space, £675,000
A pretty three-bedroom Georgian home with a 22ft drawing room and a master suite with a balcony, £525,000
A substanstial family home with five bedrooms and landscaped gardens in the much sought-after Branksome Park area
A well-presented three-bedroom house with front and rear gardens, close to White City station, £475,000
A handsome five-bedroom house in a sought-after location close to the city centre
A five-bedroom country home with valley views, equestrian stables and 27 acres of land, £725,000
A six-bedroom farm house with separate, detached cottages and 371 acres of land
A two-bedroom cottage with parquet floors, chunky beams and an open fireplace
A three-bedrrom flat with 2,733sq feet of living space, a beautiful private garden and 15 acres of communal grounds
A four-bedroom chalet bungalow with three bathrooms and a spacious garden, £525,000
A two-bedroom flat with an open plan kitchen and two balconies, close to Arsenal station