CAR INSURANCE NEWS ROUNDUP: 7 DAYS ENDING 23 OCT 2013:
A one-two combination punch of good news has swept through the automotive industry in the UK, bringing renewed hopes for the economic future of the country.
First off is the news that British car sales are rocketing upwards, even in the face of a slowdown across the eurozone. In fact, UK car sales hit amazing figures unseen in five and a half years in September, with more than 403,000 vehicles sold in over the course of the month. The last time we saw figures like this was back in March of 2008
Even better though is the news that car insurance rates have dropped to their lowest price in three years, according to the research conducted by a major car insurance comparison site. Some 34 million price quotes were analysed, revealing that the average premium charged by car insurance companies to new customers has fallen to £394!
Of course this is just the ‘new customer’ price, and let’s not forget that insurers are still playing games when it comes to these quotes. Insurance providers love to entice new customers by offering these cut-rate prices only to hike car insurance rates at renewal, which means that if you’re looking to minimise the amount of money you pay for insurance you will have to change insurers annually.
Still, good news is absolutely welcome as far as I’m concerned. On top of that insurers are being forced to remain competitive, especially with the growing car sales figures; more vehicles being purchased means more Brits in need of compulsory car insurance, so any insurer worth its salt is going to try to capitalise on this new source of volume and bring as many new drivers into the fold as humanly possible. In order to accomplish this, insurance providers must offer the best deals if they don’t want potential customers purchasing car cover from their rivals instead of from themselves.
Still, it would be nice to see insurers work a bit harder to keep the new customers they gain every year instead of selling them out like they’ve been doing. It would be smashing to not have to switch providers every damned year if you ask me; for what it’s worth, the hassle of getting the best price pales in comparison to how much the average annual cover increases in price at renewal time!