Car insurance now costs more. You don’t say.
It has probably not escaped your notice that car insurance is getting more expensive. You might even suggest that insurance companies are scurrilous scoundrels only out to make money for themselves. Which would be pretty accurate.
Anyway, insurance comparison peddler Confused.com have done some research into the increase in insurance costs, in conjunction with Towers Watson. These figures reveal that the average cost of comprehensive car insurance now comes in at £835, which is a rise of £31 in the last 3 months and £220 in the last 12 months. Price rises for third party, fire and theft (TPFT) car insurance rose by 6.3% in the quarter and 53.6% over the 12 months to the end of March, making the average premium £1,121. Call me cynical, but perhaps Confused.com have a vested interest in announcing really high car insurance figures in the hope that everyone will turn to them in despair and be pleasantly surprised by the reasonableness of their quotations.
However, more interesting are the details of who has been worst affected by the price rises. Somewhat surprisingly, the biggest price rises in the quarter for fully comp insurance hit those reckless and irresponsible drivers in the 36-45 age bracket, whose average quote increased by 5%. However, taking gender into account, 66-70 year old women had the highest quarterly increase of 5.8%.
Insurance for women has increased across the board following the quintessential shooting-in-the-foot victory for the European Court of Justice which decreed that it was illegal under gender discrimination laws for men to be charged more for car insurance than women. Those little Eurocrats in their own little Belgian bubble presumably thought all insurance would henceforth be charged at the lower female rates. But they clearly didn’t know insurance companies very well.
From a regional perspective, drivers in the North West region faced the highest quarterly increase of 5.4%, with Manchester and Merseyside drivers suffering an annual increase of over 47%. At postcode level, Blackburn had the highest price rises in the last quarter but Bradford is the unlucky postcode with the fastest rising prices over the past 12 months with a whopping 54.4% annual rise.
Better call confused.com, since by a massive stroke of coincidence they have an expensive advertising campaign running currently.