Press Release: January 26, 2010
Perhaps more alarming for a young British driver is the average premium for those aged between 17 and 24 a staggering £1,489!
The typical age when car insurance begins to decline remains at 25, with premiums dropping by over 50% to £607.
The rising number of car insurance and compensation claims has been blamed in many driving quarters as the cause of rising premiums.
Kelly Ostler-Coyle, of the Association of British Insurers, said: "Personal injury claims are increasing and legal costs for insurance firms are expensive.
"More and more people are claiming for minor injuries such as whiplash, which adds to the problem. For every £1 paid out in compensation there's another 40p for the lawyers.
"Another reason is the number of fraudulent claims being made, which seems to be on the increase."
There is a growing concern that the growing costs to run a vehicle will see more and more drivers without a car insurance policy.
Third party car insurance is the minimum legal requirement in the UK, protecting damage to all third party vehicles and people involved in an accident or breakdown.
Ian Hughes, Director of Consumer Intelligence, and Market Researchers, said: "The upward pressure on pricing has well and truly broken through.
"The worry is that it could result in more motorists choosing not to insure vehicles and drive illegally."
CompareInsurers.com is managed by a team of insurance professionals and car enthusiasts. Our aim is to enable you to find all the information you need to get a competitive UK car insurance quote. With over 50 UK car insurance providers, you can be sure of finding the quote and the information you need.
For more information, please contact:
Lewis MitchellLewis Mitchell
Visit the newsroom of: PR Fire