£1bn Road Shortfall Maintains Car Damage Problem
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Poor road surfaces continue to account for nearly 1 in 6*1 vehicle failures as the shortfall in annual road maintenance funding hits the £1bn mark*2.
According to a study by independent automotive warranty firm, Warranty Direct, 17.1 percent of reported car failures for the first eight months of 2005 are the result of suspension and axle damage, linked to potholes. The average cost of repair, so far, stands at £276.07 - compared to £185.84 in 2000.
(Click on the photo to enlarge. High resolution versions are available)
Warranty Direct has recorded a 42 percent increase in the number of claims it handles where the vehicle owner subsequently refers the cost to local authorities for compensation over the past 12 months.
The most recent survey by ALARM (Annual Local Authority Road Maintenance)*2 revealed increases in claims by road users against local authorities for damage to vehicles due to road structural conditions over the past 10 years of 60 percent in England (exc London), a staggering 187% in Wales and 43% in London. It also revealed a near £1bn shortfall in road maintenance funding for 2004, an increase of almost 50 percent.
Either continuous driving over cracked or uneven road surfaces, or the sudden jolting of a deep pothole, can cause damage to shock absorbers, springs, upper and lower arms and stabiliser bars.
Regionally, Anglia recorded the largest share of all claims attributable to a road defect for one region. At 28.35 percent, it was up by more than half compared to 2004. More than 1 in 5 claims from motorists in the North East and Scotland were the result of poor road conditions.
Greater London crept above the national average to 17.74 percent of failures compared to 13.99 percent in 2004. The rise left the local authority with a £392,000 compensation bill.
Table showing percentage of all suspension and axle failures:
Warranty Direct managing director Duncan McClure Fisher commented: "It is fast becoming a Catch 22 for the local authorities. Under funding, poor and potentially dangerous road surfaces, and a diversion of much needed finances to deal with the marked increase in compensation claims.
"Last year, our research highlighted the link between poor road conditions and a 47 percent rise in suspension failures over a five year period. Twelve months on, the problem remains and there are no signs that matters will improve in the short-term," McClure Fisher added.
In 2004, local authorities in England paid out more than £810,000*2 in compensation. Records for Wales show a similar sum of £790,000*2.
Vehicle reliability data is available on www.reliabilityindex.co.uk
Based on data gathered from millions of pounds worth of claims handled every year by leading independent automotive warranty supplier, Warranty Direct, the Reliability Index provides the car buyer with a valuable insight into the good, bad and ugly of the motoring community.
Visitors to the website are able to examine a host of data including the average cost of repair and length of time it should spend in the garage. Importantly it also plots the chances of your chosen model suffering from engine meltdown, transmission hiccups, air-conditioning failure and axle or suspension trouble.
Notes:
*1 According to Warranty Direct data as at 1st August 2005.
*2 2005 Annual Local Authority Road Maintenance (ALARM) survey
Research Material:
Launched in 1997, Warranty Direct was the first direct personal Warranty Company operating in the UK. As a privately owned insurance intermediary, the firm operates within the automotive and household electrical markets. Its Reliability Index is featured in What Car? Magazine.
All Warranty Direct policies are underwritten by Cassidy Davis Insurance Group. Founded in 1977 Cassidy Davis Insurance Group is the specialist personal lines division of The St Paul at Lloyd's. The St Paul at Lloyd's is wholly owned by The St Paul Companies Inc (a world-wide insurance organisation founded in 1853 in Saint Paul, Minnesota, USA which has assets in excess of US$38 billion).
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“Vcheck”, matches registration number and VIN number of a vehicle by checking the DVLA information. It then checks that it’s not stolen or written off by accessing the data from Association of British Insurers (ABI) and official Police (PITO) vehicle data across the UK.
Last year 497,630 were written off (source Vcheck ABI Category 1-4 insurance write-offs) and over 350,000 were stolen (source Vcheck PITO). Figures show that every 20 minutes an unsuspecting car buyer drives off having bought a stolen vehicle.
Before you buy it, Vcheck it! Vcheck costs only £19.95!
According to a study by independent automotive warranty firm, Warranty Direct, 17.1 percent of reported car failures for the first eight months of 2005 are the result of suspension and axle damage, linked to potholes. The average cost of repair, so far, stands at £276.07 - compared to £185.84 in 2000.
(Click on the photo to enlarge. High resolution versions are available)
Warranty Direct has recorded a 42 percent increase in the number of claims it handles where the vehicle owner subsequently refers the cost to local authorities for compensation over the past 12 months.
The most recent survey by ALARM (Annual Local Authority Road Maintenance)*2 revealed increases in claims by road users against local authorities for damage to vehicles due to road structural conditions over the past 10 years of 60 percent in England (exc London), a staggering 187% in Wales and 43% in London. It also revealed a near £1bn shortfall in road maintenance funding for 2004, an increase of almost 50 percent.
Either continuous driving over cracked or uneven road surfaces, or the sudden jolting of a deep pothole, can cause damage to shock absorbers, springs, upper and lower arms and stabiliser bars.
Regionally, Anglia recorded the largest share of all claims attributable to a road defect for one region. At 28.35 percent, it was up by more than half compared to 2004. More than 1 in 5 claims from motorists in the North East and Scotland were the result of poor road conditions.
Greater London crept above the national average to 17.74 percent of failures compared to 13.99 percent in 2004. The rise left the local authority with a £392,000 compensation bill.
Table showing percentage of all suspension and axle failures:
| Pos | Region | Percentage |
| 1. | Anglia | 28.35 |
| 2. | Scotland | 21.43 |
| 3. | North East | 21.07 |
| 4. | Greater London | 17.74 |
| 5. | East Midlands | 16.52 |
| 6. | North West | 14.78 |
| 7. | South East | 13.60 |
| 8. | Wales | 12.56 |
| 9. | South West | 12.50 |
| 10. | West Midlands | 12.47 |
Warranty Direct managing director Duncan McClure Fisher commented: "It is fast becoming a Catch 22 for the local authorities. Under funding, poor and potentially dangerous road surfaces, and a diversion of much needed finances to deal with the marked increase in compensation claims.
"Last year, our research highlighted the link between poor road conditions and a 47 percent rise in suspension failures over a five year period. Twelve months on, the problem remains and there are no signs that matters will improve in the short-term," McClure Fisher added.
In 2004, local authorities in England paid out more than £810,000*2 in compensation. Records for Wales show a similar sum of £790,000*2.
Vehicle reliability data is available on www.reliabilityindex.co.uk
Based on data gathered from millions of pounds worth of claims handled every year by leading independent automotive warranty supplier, Warranty Direct, the Reliability Index provides the car buyer with a valuable insight into the good, bad and ugly of the motoring community.
Visitors to the website are able to examine a host of data including the average cost of repair and length of time it should spend in the garage. Importantly it also plots the chances of your chosen model suffering from engine meltdown, transmission hiccups, air-conditioning failure and axle or suspension trouble.
Notes:
*1 According to Warranty Direct data as at 1st August 2005.
*2 2005 Annual Local Authority Road Maintenance (ALARM) survey
Research Material:
Launched in 1997, Warranty Direct was the first direct personal Warranty Company operating in the UK. As a privately owned insurance intermediary, the firm operates within the automotive and household electrical markets. Its Reliability Index is featured in What Car? Magazine.
All Warranty Direct policies are underwritten by Cassidy Davis Insurance Group. Founded in 1977 Cassidy Davis Insurance Group is the specialist personal lines division of The St Paul at Lloyd's. The St Paul at Lloyd's is wholly owned by The St Paul Companies Inc (a world-wide insurance organisation founded in 1853 in Saint Paul, Minnesota, USA which has assets in excess of US$38 billion).
Vcheck” for buyers of used cars, vans and motorbikes.
“Vcheck”, matches registration number and VIN number of a vehicle by checking the DVLA information. It then checks that it’s not stolen or written off by accessing the data from Association of British Insurers (ABI) and official Police (PITO) vehicle data across the UK.
Last year 497,630 were written off (source Vcheck ABI Category 1-4 insurance write-offs) and over 350,000 were stolen (source Vcheck PITO). Figures show that every 20 minutes an unsuspecting car buyer drives off having bought a stolen vehicle.
Before you buy it, Vcheck it! Vcheck costs only £19.95!
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