Latest research from MoneySupermarket.com has found that car insurance premiums have decreased by 11%.
Over recent years car insurance premiums have continued to increase causing worry to motorists who have had to cope with continued fuel increases paying up to 1.40 per litre in some cases. The latest figures showing a decrease will be welcomed by motorists due to it being the biggest decrease since the sharpest inflation in 2010 and 2011.
From the research it was found that the annual cost of car insurance has now fallen to £478 a year. Cleveland and Harrogate have seen the most change in prices with a 14% and 13.6% decrease. However depending on which area a motorists lives can cause a difference in costs. Figures for London were a lot different with motorists only seeing a 3% decrease. A substantial difference in cost was found in Scotland paying on average £285.95 compared to East London that paid £938.10. This highlights how much more car insurance can cost if a motorist lives in the capital.
Insurers have stated reasoning for car insurance premiums costs is due to the amount of whiplash claims and fraudulent claims that occur.
Motorists are now being urged to take advantage of the recent decrease as insurance experts have predicted the decrease will not last long and prices will soon be increasing again.
Kevin Pratt, insurance spokesperson for MoneySupermarket.com, commented on the figures: “Although our analysis shows that prices appear to still be falling for motorists, there are no guarantees.”
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By Amanda Bainbridge