Car Insurance
Fall in car sales reported in Europe
Thu, 17 Nov 2005
In alarming news for car insurance companies, new car registrations fell 2.6 per cent in Europe during October, compared to the same period last year.
The European Automobile Association (ACEA) reported that 1,164,697 registrations were made in Europe during October, compared to 1,196,041 in the same period in 2004.
France, Spain and the UK reported the largest decline in figures.
Manufacturers such as Renault and BMW saw sales figures plummet, although numbers were up for Volkswagen, DaimlerChrysler and Honda among others, it was reported.
An ACEA representative cited the "progressive deceleration of the economy", "higher interest rates" and "high fuel prices" as the cause for the slowdown in UK sales figures in particular.
Sales in the UK declined by a total of 11 per cent to 152,497 vehicles, meaning that demand for car insurance policies may decrease slightly over the coming months, heightening competition between providers.
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