Isle have some of that

Drivers in the Isle of Man pay the least for car insurance, according to the AA, with an average premium setting them back just £270.

That is compared to London, which has the most expensive premiums with the average policyholder in the capital paying £1,346.

Manchester has the most expensive car insurance outside of London, with average premiums at £1,258 – while Liverpool, Oldham, Uxbridge and Ilford have also recorded average car insurance premiums over £1,000.

At the other end of the scale, Dorchester, Truro, Exeter, Taunton and the Cotswolds all offered average premiums below £400.

And the AA, which compiled the data, warns a rise in ‘cash for crash’ schemes and whiplash claims means car insurance premiums are still going up.

Michael Lloyd, the AA’s director of insurance, said, ‘We are witnessing sustained price increases once again which is bad news for drivers. I can’t see an immediate end to the current upward trend. The whiplash epidemic has dogged the British motor insurance industry for a decade and continues to do so.

‘Drivers are still being pressured into making claims for often minor collisions they might have forgotten about. This is pushing up claims costs, because insurers can’t prove that an injury wasn’t suffered.’