Fleet News

NHS accident costs will push up insurance

FLEET insurance premiums are set to rise after the Government confirmed it will introduce legislation to force at-fault parties to cover the cost of NHS treatment of road traffic accident victims. Fleets and contract hire companies are predicting an increase in the uptake of driver training to reduce risk profiles.

Health Minister Frank Dobson announced new legislation which will enable the Department of Social Security to collect the money and transfer it to the relevant NHS Trusts. No firm date for the introduction of the new system was given, but in the interim, Dobson is urging Trusts to exercise their rights to claim up to £2,949 back from at-fault drivers' insurance companies.

The new legislation will transfer the onus to claim back the money from the hospital to the insurance company, which will pay it back to the NHS via the DSS Compensation Recovery Unit. A spokeswoman for the Association of British Insurers said: 'Ultimately the same people will be paying for treatment - through taxation or higher insurance premiums. Using an estimate of £100 million a year would push up the typical premium by about £5.'

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