Car Insurance Prices on the Rise - October 2010

This regularly updated section of the HomeApproved web site will cover the latest trends, research, opinion and developments in the UK car insurance sector. 

The AA Says - Car Insurance Costs Rise to New Levels
The AA has recorded the biggest jump in the cost of car insurance since it started tracking the UK market.

According to the statistics the brunt of the increases have fallen on the shoulders of young drivers, with many 18-22 year old's being unable to even afford an insurance policy for their new pride and joy. Incredibly motor insurance premiums for young drivers have increased by a staggering 47%.

Young male motorists are literally being hammered with the average of three quotes obtained delivering an astonishing premium - quoted at £2,457! One might assume that this means that all these young lads are driving around in brand new Golf R32's or Porsche 997's, sadly this is not the case.

The figures relate to run-of-the-mill vehicles, with a small engine cc and not kitted out with £2,500 worth of stereo kit! Young lady drivers can expect to pay about half as much. One male driver from Middlesex was quoted as paying the frightening sum of £2,100 to insure an old Ford Fiesta worth a lowly £700.

According to UK motor insurance insiders their has been another surge in the number and value of claims for injuries sustained in accidents.

Certainly the adage that you must shop around in order to find the most competitive quote - has never been more true. Look out for insurers who specialise in insuring young drivers and think about a higher excess figure. It is certainly the case that some well known insurers have pulled out of the young driver market entirely.