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Car insurance market condemned by MPs

CAR INSURANCE is a "highly dysfunctional market" in which firms' pursuit of profit has led to higher prices for consumers, a report by MPs has said. In some cases, business practices have not been in the consumer interest and have "inadvertently encouraged criminal activity", the report from the House of Commons Transport Committee said. There was no clearer example of this than "insurance firms' willingness to pay compensation for whiplash claims which they suspect are fraudulent without requiring the claimant to undergo a medical examination".

Cadillac ATS priced at $33,990

The 2013 Cadillac ATS, which we first saw at the Detroit auto show, will start at $33,990 when it goes on sale this summer, General Motors said on Monday. The range-topping version will carry a price of $42,090. Power for the base model will come from a 2.5-liter, four-cylinder engine that returns 30 mpg on the highway.

Ford Fiesta deliveries delayed, storm-damaged rail lines blamed

Ford Motor Co.'s shipments of the 2011 Ford Fiesta subcompact to U.S. dealerships will be delayed by 10 days to two weeks because of storm-damaged railroad lines. Key railroads in northern Mexico were severely damaged by Hurricane Alex on June 30 and later by Tropical Storm Bonnie, said Angie Kozleski, a Ford spokeswoman.