Good deals on car insurance premiums 'possible'

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"Savvy" consumers should still be able to find a good deal on car insurance, despite the fact that premiums are expected to rise in the future, an industry expert today said.

Ian Crowder, from motoring breakdown cover provider AA, says that his company's research shows that car premiums rose by six per cent in 2006 - and, despite the fact that they fell marginally in the first quarter of 2007, they will continue to rise overall.

But competition among providers to bag new customers will always mean that savvy internet users will always be able to sign up on cheap deals, he claims.

"Last year insurance premiums rose by an average of about six per cent. In the first quarter of this year they were predicted to continue to rise - but they flattened. [But] we think they will rise again," Mr Crowder commented.

"For all the upward pressure on insurance premiums, there's always going to be a new provider coming in, trying to get a market share and offering big discounts … so for the savvy insurance buyer, there is always a provider willing to offer low premiums to get your business," he added.

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