A judge has strongly criticised the way a major motor insurer recovers the costs of repairing vehicles.
Judge Platt says Royal and Sun Alliance has used a subsidiary which inflates charges simply to boost profits. He found the subsidiary increased labour costs without carrying out any work itself and made other charges it could not account for. RSA Insurance said it strongly refutes any suggestion that it has acted inappropriately.
Judge Platt says the hourly rate for the repairs was increased from £36 to £39.50 an hour without explanation. £118 was added for a road test, cleaning and an environmental charge which was not on the original bill. £110 added for taking the car to the garage and back when it was drivable and the owner lived nearby.