CAR INSURANCE

Timaru Herald, Volume CXLIII, Issue 20784, 20 July 1937, Page 6

CAR INSURANCE

COMPANY’S NEW POLICY By Telegraph- Pips? Association AUCKLAND, July 19. Strong criticism of the action of the North Island Motor Union Insurance Company in Imposing a compulsory excess of £2 on all policies was expressed by Mr H. W. Bullock, at a meeting of the council of the Automobile Association (Auckland). The matter was referred to the insurance committee at a recent meeting of the council, when advice was received that a “no claims” bonus was to be reinstated and a compulsory excess imposed. The committee resolved that the company should be asked to consider making provision for ‘no excess or franchise" in consideration of payment of a reasonable extra premium. “I know that there are some claims made against insurance companies which should never be made, but we should protect the motorists who do not make unreasonable claims," said Mir Bullock. “We are here to protect the interests of our 22,500 members... The main reason for the imposition of a compulsory excess of £2 was that the present policy had been very much abused, Mr A. Grayson said. There was much reckless driving, reckless parking and carelessness in many ways. The Council eventually agreed to the adoption of the committee's report, the resolution being altered to read that the company should be strongly urged to make provision for "no excess or franchise” in consideration of payment of a reasonable extra premium.