Consumers urged to shop around for insurance


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Motorists have today been urged to shop around when looking for car insurance.

The warning comes from the Association of British Insurers (ABI) in response to reports of rising insurance premiums.

Malcolm Tarling, a spokesperson for ABI, claimed consumers can make a "significant saving" by shopping around.

However, drivers must "find a policy offering the cover they want" and not just buy the cheapest option, Mr Tarling added.

The comments come shortly after a study by Sainsbury's bank showed an average 5.8 per cent rise in policy prices between July 2007 and June 2008, taking the typical premium to £514.36.

Meanwhile, research by the AA also shows increases, with more than £20 added to the average quote for fully comprehensive insurance in the three months leading to the end of June 2008.

The AA British Insurance Premium Index also states young drivers can expect an average quote of £884, a rise of £45 since March.

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