Confused.com and Towers Watson Find Car Insurance Costs are RisingBy Confused.com, PRNE
Thursday, April 14, 2011
CARDIFF, Wales, April 15, 2011 - Confused.com and Towers Watson have revealed that the average cost of
comprehensive car insurance stands at GBP835, which is a rise of GBP31 in the
last 3 months and GBP220 in the last 12 months. The good news for drivers is
that price rises are slowing year-on-year.
Price rises for comprehensive and third party, fire and theft (TPFT) car
insurance have slowed for the third quarter running according to the latest
Confused.com and Towers Watson Car Insurance Price Index.
The average price of a comprehensive car insurance (
www.confused.com/car-insurance) policy rose by 3.8% in the first three
months of 2011, compared to 7.1% in the final quarter of 2010.This puts the
annual rate of price inflation for comprehensive cover at 35.7%, compared to
37.8% at the end of 2010. This represents the first reduction since the
middle of 2008.
TPFT cover rose by 6.3% in the quarter and 53.6% over the 12 months to
the end of March. The average TPFT premium now stands at GBP1,121.
Gareth Kloet, head of motor for Confused.com commented: "Our figures show
that despite these rises, there are still good deals to be had. For example,
younger drivers and particularly younger men using Confused.com experienced
much lower than average premium increases during the quarter."
Peter Lee of Towers Watson commented: "The private car insurance market
has had to keep raising prices to counter poor claims experience. The fact
that the market has been virtually stood on its head so far in 2011 by the
real and potential impact of increases in insurance premium tax and VAT, the
European Court of Justice ruling preventing the future use of gender in
pricing, and Government plans for addressing civil litigation costs makes it
hardly surprising that many are taking stock of their position."
The biggest price rises in the quarter for comprehensive cover were,
perhaps surprisingly, reserved for drivers in the 36-45 age bracket. Their
average quote increased by 5%. However, taking gender into account, 66-70
year old women had the highest quarterly increase of 5.8%.
From a regional perspective, drivers in the Manchester/Merseyside area
once again felt the full force of price rises with an average increase for
comprehensive cover of 5.1%, pushing the annual rate of increase to over 47%.
However, those in the wider North West region faced the highest quarterly
increase of 5.4%. At postcode level, Blackburn had the highest quarterly
price rises but Bradford remains the postcode with the fastest rising prices
over the past 12 months at 54.4%.
Confused.com is one of the UK's biggest and most popular price comparison
services. Launched in 2002, it generates over one million quotes per month.
It has expanded its range of comparison products over the last couple of
years to include home insurance, travel insurance, pet insurance, van
insurance and motorbike insurance, along with specialist products like
modified car insurance (www.confused.com/car-insurance/modified) and
car insurance for young drivers (
Confused.com is not a supplier, insurance company or broker. It provides
a free, objective and unbiased comparison service. By using cutting-edge
technology, it has developed a series of intelligent web-based solutions that
evaluate a number of risk factors to help customers with their
decision-making, subsequently finding them great deals on a wide-range of
insurance products, financial services, utilities and more. Confused.com's
service is based on the most up-to-date information provided by UK suppliers
and industry regulators.
Confused.com is owned by the Admiral Group plc. Admiral listed on the
London Stock Exchange in September 2004. Confused.com is regulated by the
PR Contact: Helen Beckett PR Manager Friary House Greyfriars Road Cardiff CF10 3AE +44(0)2920-494393 www.confused.com
Tags: April 15, Cardiff, Confused.com, United Kingdom, wales