Consumer Insurance (Disclosure and Representations) Bill [Lords]

Debate between Christopher Chope and Chris Leslie

Tuesday 6th March 2012 Commons Chamber

[Chris Leslie]

Indeed, that is the very nature of the measure, but that does not mean that, in the course of changing the disclosure requirements, we should not try to frame the duties that insurers have to abide by. I do not know whether hon. Members have visited moneysupermarket.com or confused.com recently. They are aggregator websites on which a number of insurance companies share the questions that people have to answer in order to take out an insurance contract. The websites show the range of insurance contracts that are available. Quite honestly, I think that the way the aggregator companies will deal with the Bill is another matter, but I challenge any hon. Member to say that their boredom threshold has not been reached after they have filled in 15 or 20 pages of a form. Having said that, I think that many hon. Members—especially those who are in the Chamber at the moment—must have particularly high boredom thresholds. I know that from many hours of experience in these debates. Notwithstanding that propensity to sit through long, technical discussions, however, I believe that form-filling is quite a different matter.

My point is about the administrative burden in relation to new contracts. I want us to ensure that we protect the section of society that I have been describing. I can envisage us all being visited at our surgeries in the years ahead by constituents telling us that they did not take out insurance not because of the cost but because the form-filling was just too much for them. They will tell us that they regret that, but that there were just too many questions to answer. I hope that the Minister understands why I have framed the amendment in this way. It is an important provision, and I hope that she will address it.

[Mr Chope]

The hon. Member for Nottingham East (Chris Leslie) has again done the House a service in raising this issue. He has spoken of the need for proportionality. I disagree with the way he has worded his amendment, however, as it is rather hard in law to place a duty on an insurer to “show regard” to a principle. Given all the other qualifications in the amendment, it would, in practice, by unenforceable.

Finance Bill

Debate between Christopher Chope and Chris Leslie

Tuesday 28th June 2011 Commons Chamber

[Mr Chope]

I will give way in a minute.

In comparison, a household with two people earning between £35,000 and £40,000 each, which has a much higher income, will keep its child benefit. That is not fair. In response to correspondence, the Minister has said that there has to be a bit of rough justice and that to introduce a system of transferability of allowances and entitlements would be very complicated. However, that is exactly what was proposed by the Prime Minister with the transferability of tax allowances, and that is what is proposed in the new clause. That is of significance, because there is a read-across from this other thorny policy issue that faces the Government.

I hope that we will have a positive response from the Minister, and that he will spell out in detail when and how the Prime Minister’s pledges to the country will be implemented.

[Chris Leslie]

What on earth is going on with the Tories this evening? It is a perplexing situation, because Conservative Members usually accuse Labour Members of filibustering in an open-ended Finance Bill debate, but not at all this evening. Instead we seem to have a private family dispute breaking out.

--- Later in debate ---

[Mr Chope]

Will the hon. Gentleman give way?

[Chris Leslie]

This is the final intervention that I will take.

[Mr Chope]

I am sure that if the hon. Gentleman waits, he will hear a major announcement on that issue from the Minister very shortly.

[Chris Leslie]

The hon. Gentleman could have speeded that up by not intervening.

I shall finish by saying that, clearly, there are major problems with the transferable allowance. It is costly and not targeted, and it is unfair to those without a marriage certificate, whether they are divorced, widowed, single or in a couple. There are a host of anomalies and unintended consequences, as several of my hon. Friends have said. For instance, if a husband is killed in a tragic road accident, his widow and children will be left without support, and so on. The proposal undermines the principle of independent taxation, but most of all, we should focus our tax and benefits system on need and on the alleviation of poverty. I sincerely hope that the House will reject new clause 5.

Finance Bill

Debate between Christopher Chope and Chris Leslie

Thursday 15th July 2010 Commons Chamber

[Mr Chope]

Well, 1% is 1%. I am sorry that the hon. Lady seems to be rather unsympathetic to the plight of people who are trying to get motor insurance. Lots of young people need a car to get to work. They find the cost of motoring increasing all the time and they find the cost of insurance also increasing, yet the proposal before us is to increase that cost further—not massively further, but to increase it nevertheless.

[Chris Leslie (Nottingham East) (Lab/Co-op)]

As I hope to be able to say in my contribution later, I agree with the hon. Gentleman on this point. I am astonished to hear the comments coming from the Liberal Democrats that they do not care about the costs of motor insurance, which, especially to young people, can be £1,000 or more. Will the hon. Gentleman also note the perverse consequences for those who go uninsured? Yes, they might get six points put on their licence if they are caught, but the fine is often just £300 or £400, so they would almost be better off to take the risk and be fined rather than pay the cost of the insurance. That has to change.

[Mr Chope]

The hon. Gentleman is absolutely right. What he said is no great revelation for young people when they go out and party or communicate with each other via modern means of communication. They know that the risks of getting caught are not that great, and that if they are caught, the consequence will be penalty points on their licence and a fine. They will often be able to pay off the fine over an extended period.

Young people now face very substantial insurance premiums and those from the most deprived areas are often those with the highest premiums. One factor that is taken into account is the postcode. If the chance of someone’s car being stolen is high because of where they live or because they do not have garage, the premium will be higher than for someone who perhaps lives in a rural, perhaps law-abiding community. That is an additional problem that these young people face when it comes to motor insurance.

Canterbury City Council Bill

Debate between Christopher Chope and Chris Leslie

Monday 5th July 2010 Commons Chamber

[Mr Chope]

If there were a batting order of unpopularity, Nottingham city council would be top of the league as the most unpopular council promoting a Bill on pedlary. I am not saying that for reasons of prejudice; I am basing it on the lack of co-operation that was received in the previous Parliament. Not only was there a lack of co-operation, but a sullen silence. The former Member for Nottingham East did not wish to engage. He was so arrogant that he felt he did not need to address the arguments.

[Chris Leslie (Nottingham East) (Lab/Co-op)]

As a proud Member for Nottingham East, I can assure the hon. Gentleman that I am very much in favour of the proposals. Moreover, I can assure him that Nottingham city council and the sponsors of the Bill, whether in this place or the other place, will be more than happy to listen, out of the spirit of consensus, to the carefully crafted points that he is making. We are all keen to make progress on this important issue and to tackle the serious difficulties that exist.

[Mr Chope]

That is wonderful—a revelation. It has taken two and a half years and a general election, but we now have constructive engagement from the city of Nottingham. I am grateful to the hon. Gentleman for that. I hope he will encourage his city council to engage with the other place in the same spirit, if we grant the Bills a revival tonight. His contribution to the debate—I do not know whether he intends to make a more extensive one later—may be an effective softening-up exercise among some of my colleagues, who may have been taking a rather hard line, encouraged by my hon. Friend the Member for Shipley.