Small and medium-sized businesses should be aware that insurance premiums have risen substantially in the first half of the year and are set to rise further.


Cover available through insurance brokers rose by up to 37% in some instances
Insurance firms Aviva and RSA have sounded warnings to consumers that they should be prepared for price rises. Aviva have introduced double digit rises in car insurance premiums in the last six months and also added to home insurance rates.

Cover available through insurance brokers rose by up to 37% in some instances, according to insurance group RSA.

Insurance companies have blamed the increases on fraud and the UK's compensation culture. However, both Aviva and RSA recently posted profits.

Aviva posted a 21% rise in operating profits to £1.3bn in the first half of this year and RSA's pre-tax profits stayed flat at £300m, despite the company being affected by the Chilean earthquake and last Winter's cold weather.