EU AGREES TO INCREASE MINIMUM COVER IN MOTOR ACCIDENTS

European Union competition ministers have agreed to increase the minimum insurance cover for personal injury and damage to property in motor accidents. If the draft is passed when it returns to the European Parliament for a second reading, minimum cover for personal injury will rise to 1m euro from 350,000 euro. Damage to property will rise to 1m euro from the current 100,000 euro. Motor insurance would also cover injuries sustained by pedestrians and cyclists. However, the council of ministers must now formally agree a common position before the draft is looked at by the European Parliament.