A recent study shows the importance of heeding manufacturer recalls of defective vehicles. The results certainly apply to drivers of recently-recalled GM vehicles, whose defects have been linked with several deaths.<\/p>\n
The Highway Loss Data Institute (HLDI) conducted a study of insurance claims on vehicles due to fires unrelated to crashes. The vehicles were divided into two categories: a group of those for which a recall was issued due to fire-related defects, and the control group, for which no such recalls were issued.<\/p>\n
As you would expect, the study showed a significantly higher rate of fire-related insurance claims on the defective vehicles. During the time period before the recall was issued, claims on defective vehicles were 23 percent higher than non-defective vehicles. But, importantly, that gap shrank to 12 percent in the time following the issuance of the recall.<\/p>\n
The study demonstrates that issuing a recall makes a significant difference in the rate of (more…)<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":" A recent study shows the importance of heeding manufacturer recalls of defective vehicles. The results certainly apply to drivers of recently-recalled GM vehicles, whose defects have been linked with several deaths. The Highway Loss Data Institute (HLDI) conducted a study…<\/span><\/p>\n