What’s New: In Brief (April 11, 2008)

A kanetix study shows the average cost of the lowest premiums quoted on its Web site increased by 5.5% in 2008 Q1 compared to the same period of 2007.
Kanetix attributes the increase to rate increases on the part of insurers, as well as consumers who are shopping for insurance for newer vehicles compared to last year’s Q1.
“For the third consecutive quarter, the kanetix quarterly rate study has shown an increase, suggesting that even with the slight shift in consumer behaviour, these increases are becoming a trend and are not simply an anomaly,” said Gregory Ellis, co-founder of Kanetix Ltd. “The industry is in transition; it’s moving from a soft to a hard market where increases in premiums will not be uncommon.”
The study includes all drivers, no matter their driving or insurance history, and includes the lowest rate quoted, no matter which company provided it (direct writers or broker-based insurers), a Kanetix release says.

Occupant protection in side collisions involving mid-sized cars has improved when compared to four years ago, as automakers introduce safer designs and add side airbags as standard equipment.
The Insurance Institute for Highway Safety conducted front, side and rear tests of seven 2008 model mid-sized cars, both moderately and luxury priced.
All but the Kia Optima earned the highest rating of ‘Good’ for occupant protection in side crashes, an IIHS release says. On the other hand, the Optima’s seat/head restraints were the only ones the Institute tested that earned the top rating of ‘Good’ for occupant protection in rear crashes.
Five of the seat/head restraint combinations earned ‘Marginal’ or ‘Poor’ ratings, the release says.
The cars tested include: Chevrolet Malibu, Dodge Avenger, Infiniti G35, Kia Optima, Mitsibushi Galant, Nissan Altima, and Saturn Aura.