A £26,233 declare for a alternative engine and associated objects on a 2016 BMW was the biggest declare paid out by RAC Guarantee final yr.
Its high 5 costliest claims authorised in 2024 all exceeded £19,000 and coated engine failure. The claims ranged by £22,814, £19,785, £19,611 to £19,363.
Lee Coomber, RAC consumer director at Assurant, which companions with the RAC within the aftersales sector, mentioned: “We’re seeing the most costly claims proceed to rise in worth and there are a variety of things behind this pattern.
“Firstly, the typical age of autos for which we see claims has been rising for the reason that pandemic and is constant to take action. Failure of bigger objects corresponding to engines and gearboxes clearly turns into extra doubtless as automobiles and vans age.
“Secondly, the cost of repairs is also rising. Both parts prices and labour rates have gone up in recent years, generally well above the rate of inflation, and that has also had quite a dramatic impact. Overall, the average cost of a claim increased last year from £555 to £591.”
The variety of EVs and hybrids rose by 107% and 70%, respectively, in 2024.
For a pure battery electrical automobile, the best declare was £7,197 masking an electrical drive motor. For a hybrid, the best declare was £11,476 for a alternative of the engine meeting, crankshaft and rocker covers.
Coomber added: “Whereas we don’t but have a product that covers drive battery failure as a result of virtually the entire EVs on UK roads are nonetheless beneath producer guarantee for that sort of breakdown, it’s attention-grabbing to notice that the best claims for each these automobile sorts had been considerably decrease than for petrol and diesel autos.
“Perhaps consumer fears about potential high repair bills from electrified vehicles will prove to be unfounded, something that may become apparent as we see more and more on UK roads.”
