It’s Official: Car Insurers Must Give Two-Month Notice Before Raising Premiums

25 February 2026

Under Spain’s Insurance Contract Law (LCS) and reinforced by the Directorate General of Insurance and Pension Funds (DGSFP), car insurers must notify policyholders at least two months before any premium increase, changes in coverage, or contract conditions. Failure to provide this notice means the increase cannot be validly applied, and the policy continues under the previous terms. This rule ensures policyholders have time to review, accept, or switch insurers, protecting them from unexpected or unilateral premium hikes. Legal and consumer guidance confirms that policyholders can request the old premium or even cancel the policy without penalty if the notice is not respected. The law does not prevent justified premium adjustments, but it strictly regulates the communication process to ensure transparency and informed consent.

ICA Welcomes Unfair Trading Bill with Wide Insurance Reach

24 February 2026

The Insurance Council of Australia has expressed support for the draft Competition and Consumer Amendment (Unfair Trading Practices) Bill 2026, which would broadly ban unfair trading and tighten rules on subscriptions and hidden fees, starting July 1, 2027. The legislation targets practices in the motor insurance sector, particularly involving third-party claims intermediaries like credit hire and accident management companies, which have sometimes misled policyholders post-accident. The bill would bring such conduct under the Australian Consumer Law, allowing regulators to enforce protections alongside existing financial services obligations. The Australian Competition and Consumer Commission (ACCC) is expected to oversee compliance, with the ICA emphasizing alignment with existing regulations to avoid duplicative costs. The Australian Small Business and Family Enterprise Ombudsman has also called for extending protections to small businesses in B2B transactions, highlighting the broader impact of the reforms across both consumer and commercial insurance dealings.

Línea Directa Rejects Price War in Car Insurance: Your Policy Won’t Drop in 2026

24 February 2026

Línea Directa has confirmed it will not engage in aggressive price competition for car insurance in 2026, prioritizing premium sufficiency to protect solvency and margins. CEO Patricia Ayuela emphasized that, despite moderate general inflation, high vehicle repair costs and persistent claims make indiscriminate discounts unsustainable. The company plans to adjust pricing based on the actual risk of each driver rather than lowering rates across the board, maintaining financial stability and long-term profitability. Línea Directa ended 2025 with a net profit of €85.7 million, an 8.5% growth in its customer base, and a combined ratio of 92.6%, supporting its strategy of measured, risk-aligned pricing. Upcoming changes to indemnity scales and ongoing claims costs further reinforce the company’s cautious approach, signaling that car insurance premiums are unlikely to decrease in the near term.

Michelin Promotes Road Safety Education with ‘Kilómetros Seguros’

23 February 2026

The Michelin Spain Portugal Foundation, in partnership with AIPSEV, has launched “Kilómetros Seguros,” a free educational program aimed at promoting safe, sustainable, and responsible mobility for children and young people aged 3 to 18. The initiative will reach approximately 7,500 students in schools across Spain and Portugal, addressing road safety as a critical public health concern highlighted by the United Nations. For younger children, the program uses stories, interactive activities, and digital resources to introduce basic mobility concepts, while older students learn about risk perception, alcohol and drug use, technology while driving, and safe interaction with various transport modes. Beyond classroom lessons, students engage in practical exercises such as bike circuits, sports simulations, contests, and educational shows to reinforce learning. Teachers and police officers also have access to specialized online courses, extending the program’s impact beyond the classroom, and schools can register through the official project website.

United Cooperative Assurance Suspended from Issuing Motor Insurance Policies

23 February 2026

United Cooperative Assurance Company announced that it has been instructed by the Insurance Authority to stop issuing and renewing motor insurance policies starting February 19, 2026, due to regulatory violations. The company stated that this suspension may negatively affect its 2026 financial performance, although the exact impact is not yet known. It confirmed that corrective actions will be taken in coordination with the regulator to ensure full compliance. The restriction applies only to motor insurance products, while other insurance services continue to operate as usual. Existing motor insurance policies issued before the suspension remain valid, and the company affirmed that it can still meet its obligations to policyholders.

Report: Romance Scams Push Victims Into Fronting Bogus Motor Insurance Claims

23 February 2026

The Insurance Fraud Bureau has warned insurers about a new form of romance scam in which fraudsters use dating apps to recruit individuals to support fake motor insurance claims. Instead of stealing money directly, scammers persuade victims to use their identities to validate staged accidents or false personal injury claims. According to a report by The Guardian, many cases may go unreported due to embarrassment and the perception that victims have not suffered direct financial loss. Those involved risk serious consequences, including being listed on the Insurance Fraud Register managed by Cifas, which can affect access to insurance and credit for up to six years. The warning comes amid rising identity fraud and continued motor insurance scams, with industry data showing significant levels of detected fraudulent claims in 2024.

Kuwait Mandates Credit Rating for Insurers in Sector Reform Push

20 February 2026

Insurance Regulatory Unit now requires all insurers and reinsurers in Kuwait to obtain a minimum credit rating of ‘BBB+’ from one of four approved agencies, including Fitch Ratings. This annual rating, submitted by June 30, will cover governance, risk management, and financial stability, aiming to boost sector transparency and policyholder confidence. While disclosure is not mandatory, many companies may publish their ratings to gain reputational benefits and signal financial strength. The move builds on prior reforms, such as updated solvency margins, capital requirements, and measures to reduce motor insurance fraud, and may encourage market consolidation among smaller or less sophisticated insurers. Fitch notes that implementation clarity and enforcement will be key, and insurers facing rating downgrades could face sanctions or reduced broker support, despite the market remaining relatively modest at around USD 2.2 billion in 2024.

Missing RC Auto Risk Certificate: What Insurers Must Do and Drivers’ Rights

19 February 2026

Italy: The IVASS has issued guidance for insurers when the digital RC Auto risk certificate, which records a driver’s insurance history and merit class, is missing from the official database (BD-ATRC). Insurers are instructed to obtain the latest available certificate electronically and, for periods not covered, reconstruct the driver’s insurance history using prior claims information. In cases where no certificate can be recovered, the insurer should extend the reconstruction to the past five years using alternative documentation such as old policies or paper certificates. Insurers must clearly inform clients about the process, the need for substitute declarations, and the impact of inaccurate information on merit class assignment. These measures protect drivers from unjustified premium increases or penalization due to administrative or technical issues, ensuring transparency and fairness in mandatory motor insurance.

IMS Working With VW on Behaviour-Based Car Insurance

19 February 2026

IMS has integrated embedded vehicle data from Volkswagen passenger cars to generate risk-based “Pay How You Drive” insurance scores for the first time. The integration, delivered in partnership with High Mobility, allows OEM sensor data to be processed within IMS’ One App without requiring insurers to change their existing workflows. After a successful pilot, the solution is now available for insurers to evaluate as part of underwriting and pricing strategies. The platform supports several Volkswagen models, including the ID electric range and vehicles such as the Tiguan, T-Roc, and Touran. IMS expects future motor insurance programs to combine smartphone telematics with selected OEM data to enhance pricing accuracy and risk assessment.

Motor Claims Trends Signal Pricing Pressure Beyond Recent Frequency Relief

19 February 2026

ERS reports that while UK motor insurance claims frequency has fallen over the past two years, this decline may be temporary rather than structural. Factors such as safer vehicles, hybrid working, and higher premiums for younger drivers have contributed to fewer claims, but rising repair costs and labour inflation continue to push claim severity upward. Electric vehicles, longer repair times, and parts shortages are increasing average claim costs, while evolving mobility patterns and vehicle mix add complexity to pricing. Industry forecasts suggest that insurers are achieving close to break-even underwriting, with combined ratios projected to rise to 110% in 2026, indicating rates may need to increase. Macro factors including inflation, supply chain pressures, and vehicle pricing remain the dominant drivers of future motor insurance costs, despite short-term improvements in claims frequency.

Ficoba Hack: What Risks Do You Face if Your Bank Details Were Stolen?

19 February 2026

A “malicious actor” accessed the Fichier national des comptes bancaires (Ficoba), exposing data from 1.2 million accounts, including RIB/IBAN numbers, account holder identity, address, and in some cases tax identifiers. The French Banking Federation (FBF) and DGFiP confirm that stolen IBANs cannot directly allow withdrawals, but fraudsters could attempt unauthorized direct debits, subscriptions, or phishing using the leaked data. Affected individuals will receive notification and are advised to monitor their accounts closely, review authorized and blocked creditors, and contest any suspicious transactions immediately. Banks provide tools such as whitelist/blacklist creditor options to prevent fraudulent debits, though these may sometimes incur fees. Users should also preserve evidence of any attempted fraud and avoid sharing personal banking information, while the SEPA framework ensures reimbursement of unauthorized debits within eight weeks.

Drivers Tick the “Add Partner” Box Just to Save on Car Insurance

18 February 2026

New data from Confused.com  shows that motorists who add a spouse or partner to their car insurance can save an average of £315 compared with insuring a single driver alone. The research found that 71% of coupled drivers admit they include their partner primarily to reduce premiums, while 89% of couples have added each other as named drivers. Insurers price policies based on risk, and sharing driving responsibilities can lower costs, although savings depend on the additional driver’s record and experience. The article questions whether some drivers add partners mainly for discounts, even when they rarely use the vehicle, and suggests insurers may need more advanced tools to assess real-time driving risk. Experts advise that all policy details must be accurate to avoid invalidating cover, while other cost-saving measures—such as shopping around early—remain important.