Motor insurance premiums tracking downwards
Motor insurance premiums have fallen by 10.5% in the last year, according to the Consumer Intelligence Car Insurance Price Index.
However, average quoted premiums are still 98.3% more than they were when Consumer Intelligence began collecting data in October 2013.
Drivers over 50 have seen prices increase by 122% in that time, while those aged 25 to 49 have seen rises of 117% and prices for those under 25 have gone up by 36%.
There are signs of the market settling though. Looking at data from the last year, over 50s have seen a 14% reduction in motor insurance premiums while drivers in the 25 to 49 age category have enjoyed a 10.5% fall and those under 25 have seen prices fall by 2.3%.
But while the downward trend has continued for older drivers in the last quarter, down 2.3% for those over 25, prices have actually risen by 2.3% for under 25s in the same period. Consumer Intelligence has attributed this to less competition among insurers providing telematics-based products.
Young driver premiums
Max Thompson, insurance insight manager at Consumer Intelligence, said: “The biggest change in the market is the increases in premiums for drivers aged 17 to 19 due to less interest in the age group from telematics providers.
“The past three months has seen increased activity among products available on price comparison websites with 12 leaving and 11 being launched. New brands launched tended to start with price cuts with six more price cut offers available in July compared with April.”
