Credit hire firms seek credibility

Credit hire and repair firms are forging ahead with relationships aimed at improving their credibility, after the long-awaited ruling on the Dimond v Lovell appeal case was delayed for up to two months.

Auto Indemnity Group has agreed an operating protocol with insurer Royal & SunAlliance, which establishes working practices to produce speedier claims settlements.

John McLennon, Royal & SunAlliance national technical claims manager, said: “Working together for mutual advantage will deliver improved customer service in what has been a confrontational area.

The original high court ruling in the Dimond v Lovell case found a number of credit hire companies' contracts with policyholders had not been drawn up in accordance with the Consumer Credit Act. This resulted in thousands of unpaid credit hire claims.