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Drivers Are Saving Money As Car Insurance Prices Fall

Tue, Oct 2, 2018 9:13 PM

Car insurance premiums are falling across the UK, with an average drop of 9.1%, saving drivers up to £77 per year.

Research firm Consumer Intelligence has found that Under-25s are feeling the benefit of the reductions with prices dropping by 15.4% for that age bracket, compared to a drop of 6.8% for the over-50s.

Increased competition for customers is said to be behind the falls, but experts also believe the introduction of black-box technology is helping drivers keep their premiums down.

“The trend in quoted premiums is down which may be partly due to insurers passing on the anticipated benefits of whiplash reforms now,” said Consumer Intelligence pricing expert, John Blevins.

“It’s another sign of the increased competition for business and it is likely premiums will continue to fall unless there are any major shocks in claims or tax rises.

“The influence of telematics is a major factor with increased use of it by the over-50s and a 3% rise since March according to our data.

“Generally over-50s experience the biggest price rises as a percentage and the smallest price cuts so older drivers should explore telematics if they want to beat the demographic trend.”

Though the falls are significant over the past 12 months, quotes for premiums are still 20.4% higher than in February 2014 according to the same research, while there is also a significant difference in premiums based on where in the country you live.
 

REGION

AVERAGE PREMIUM (FIVE CHEAPEST)

PRICE CHANGE IN YEAR TO END-AUGUST

London

£1150

-7.9%

North West

£970

-14.9%

North East

£826

-7.7%

West Midlands

£803

-9.2%

Yorkshire & The Humber

£800

-9.2%

Eastern

£742

-6.4%

East Midlands

£714

-10.0%

South East

£626

-9.8%

Wales

£571

-9.5%

South West

£557

-9.5%

Scotland

£510

-3.8%

 




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