Scarily the average comprehensive insurance policy taken out this year has gone up by an average of 12.3% (£92).
Considering insurance prices were already at an all time high last year and the rising fuel costs this is very a worrying statistic for any motorist.
For motorists who opt out and go for the cheaper option (3rd party cover) which obviously doesn’t give you anywhere near the cover you need, prices have gone up by 19.9% on average.
The biggest annual price hikes for comprehensive cover were in the North of England, according to the Confused.com/Towers Watson Car Insurance Price Index data, which uses more than four million quotes.
Bradford suffered a 27.5% year-on-year rise in the cost of average comprehensive cover, taking premiums to around £1,394, while Oldham fared even worse with a 27.9% year-on-year increase to an average premium of £1,437.
Scotland saw the lowest annual premium rises in the UK for comprehensive cover, with cover in Perth up just 0.3% on the year to an average £564. Kirkwall had a 0.8% rise to reach £620.
But despite the year-on-year hikes, the average price of a comprehensive car insurance policy fell by 1.6% during the third quarter of 2011 – the first quarterly decrease for more than three years.
yahoo UK
As a motorist, do you think that we will ever see cheap car insurance again?
Some of the factors we have to think about are as follows: -
- The rising cost of medical treatment
- The rising expense of legal proceedings and the implementation of new legislation causing more complexity.
- Drivers opting to drive without insurance causing accidents also drives up the cost due to your insurance company having to foot the bill.
- False claims – whiplash for instance everybody claims for it but how many people actually get whiplash? this alone costs car insurance millions if not billions.
I would love to hear your thoughts on this.
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