July 2008 Car News - GBCarLoans.com

15th July 2008

Car insurance premiums on the up

Car insurance premiums are continuing to rise with young drivers being hit hardest of all, according to the AA's new study.

Research conducted for the quarterly British Insurance Premium Index from the AA found that in the three months ending June 2008, the average quoted premium for comprehensive car insurance rose by more than £20 to over £70.

Young drivers were even worse off, with the cost of third party, fire and theft insurance premiums soaring by £45 to £884.

Simon Douglas, director of AA Insurance, said: "These findings are not good news for those with third party, fire and theft (TPFT) insurance, typically young drivers struggling to pay their first insurance premiums. But young men aged 21 or under are ten times more likely to be killed or seriously injured on our roads than those aged 35 or over.

"The figures speak for themselves: the average insurance claim made by young drivers is nearly four times greater than claims made by drivers aged 30 or over."

The AA British Insurance Premium Index has been tracking both home and car insurance premiums since July 1994.

 

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