Fall in car insurance premiums

Fall in car insurance premiums

According to the AA (Automobile Association) in a recent regular study, during the third quarter of this year we saw a fall in car insurance premiums in the UK.

The last few years have seen a number of high increases in car insurance premiums. However, the first half of this year saw prices stabilise, and they have now started dropping. Most car insurance policies in the UK are bought through price comparison services, and these policies fell in price by 1%, coming in at an average of £612 a year. Those policies bought directly from insurers also fell, by 2.9%, to an average of £870 a year.

These figures show that whilst policies purchased through price comparison sites had reduced in price, those bought directly from insurers were still around 6% dearer.

A spokesperson for AA Insurance, Simon Douglas, commented "Competition is tough in the insurance market, forcing many companies to reduce premiums despite the fact that costs show little sign of abating".

Geographically speaking, areas in the north-west of England, specifically Liverpool and Greater Manchester, see the most expensive car insurance premiums in the country, with costs of £1059 on average. On the cheaper end, Scotland stays the best region to get your car insurance, with an average price of £438 per year - less than half of their Liverpudlian and Manchunian cousins.

The only area of the UK that saw insurance premiums rise was in Anglia, which saw an increase of 1.4%.

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