Average annual car insurance increases by £47 - new figures show annual hike of 8.1%
COMPREHENSIVE car insurance premiums increased by 8.1% during the third quarter of 2015, with motorists now paying £47 more than they were this time last year, according to new research.
The figures - revealed in Confused.com's Car Insurance Price Index - show that the average quoted premium for an annual comprehensive car insurance policy was £629 in the third quarter of 2015, compared to £582 at the same time last year. This increase brings to an end three years
of falling premiums and is the highest quarterly rise in nearly five years.
Motorists are also likely to face a further increase in the final quarter as the government's extra insurance premium tax rises in November, which is expected to push up average prices by a further £21.
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Surprisingly, the youngest - and riskiest - drivers, those aged 17, experienced the lowest increase of all age groups, just 0.3%: this is thought to be due to an increased take-up of black box telematics, which
insurance companies are targeting at younger drivers.
However, older drivers have been hit hardest by the rises, with drivers aged 68 experiencing an annual price increase of 15.3%: this is the highest of any age group and increases their premium by £59 to £439,
compared to £380 in the same quarter of 2014.
Men and women have experienced a rise in premiums, with increases of 8.9% and 7% respectively: the average man's premium now stands at £657 (+£54 year-on-year) and women's is £593 (+£38 year-on-year).
Regionally, drivers in the Scottish Hebrides have found themselves worse off than drivers elsewhere in Britain, with a quarterly increase of a whopping 20%.
