Motorists have been going through a difficult time financially over the last couple of years. Not only have we seen the cost of insuring cars go up but there have also been some increases seen in fuel prices on forecourts. Well, according to data produced by Consumer Intelligence, we now appear to be witnessing a reduction in motor insurance premiums for some that is something that motorists will no doubt be pleased to hear about.
Over the last 12 months, it is good to read that the average premium for car insurance has dropped to £712 per annum. That equates to a reduction of 5.5%. Apparently, that is the 8th month in a row that premiums have dropped.
As you may well be aware, it is the young motorist who tends to pay more for their car insurance than anyone else. Well, it is under 25’s who have seen the largest percentage reduction in premiums in the last year with a drop of 11.9%. We are sure that you will agree that is a significant reduction and let us hope that we continue to see premiums fall.
The average premium paid by a young motorist is £1,635 per annum whereas those drivers who are 25 to 49 years of age pay an average of £629 per annum. Over 50s pay £413 per annum on average to insure their motor vehicles.
Motorists in London are paying the most for their car insurance with an average premium of £1,024 per annum. The lowest average premium is paid by drivers in Scotland where they pay £522 per annum. In Wales the cost is an average of £541 per annum. The biggest percentage reduction was seen in the North West region with a drop of an average of 9.5% although motorists in that region are paying the second highest premium on average at £847 per annum. Scotland only saw a fall of 0.1%.
Telematics insurance certainly appears to be competitive for quite a few motorists with 23% of quotes from companies providing black box insurance being the most competitive. In fact, for those under 25 years of age, 61% of quotes that were the most competitively priced were from insurers that provided telematics cover.
Anyway, we are sure that the above news will be welcomed by many motorists and it is to be hoped that the downward trend in car insurance premiums continues. Do remember, to shop around for your cover to try to get a competitive deal. One way of doing this is to use the services of one or more price comparison websites that has a significant number of insurers on its panel although do bear in mind that not all insurers advertise on such sites.