Significant savings to be made by shopping around for car insurance

Fri, 05 Sep 2008

The best way to find the cheapest deal on car insurance is to shop around, according to the Association of British Insurers (ABI).

Malcolm Tarling, a spokesman for the group, said that drivers will be able to make some significant savings if they compare prices, however motorists should not consider a policy based on price alone.

Mr Tarling said: "Make sure you actually check the terms and conditions and make sure you are getting like-for-like." He added that even in times of economic downturn, there are many good deals available.

Shopping around could be beneficial especially to younger drivers as their car insurance premiums are usually higher than those of other motorists. Young drivers typically purchase fire, theft and third-party insurance and can expect to be quoted an average premium of £884, according to the AA British Insurance Premium Index. It is believed that this figure has increased by around £45 since the last premium index was updated in March.
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