Sometimes, lockdown presents us with silver linings, and the latest news about car insurance premiums might just be one to relish. This week, it’s been reported that car insurance costs have plummeted, resulting in the biggest drop in a whopping 9 years.
The latest lockdown has resulted in quieter roads, mainly because we’ve all been stuck inside our homes. Consequently, empty roads have contributed towards premiums dropping to £652, on average, in the past 3 months.
The findings come from research depicting data between the months of December 2020 and February this year. Results showed an average stoop of £55. The last drop which presented exceptionally low rates was in 2015, when the typical cost of a car insurance premium back then fell and averaged around £606. Steep falls, indeed.
On average, it was found premiums fell by £103 year after year. Naturally, due to the pandemic, car insurance costs have seen sharp declines in the past year alone, making it the biggest drop in 12 months ever recorded. A lack of new drivers due to restrictions on driving lessons could have contributed, alongside a lack of cars on the roads in general. Fewer motors on the road mean fewer insurance claims have been made, causing premiums to drop.
However, younger drivers can rejoice, as this particularly benefits them. If you’re under the age of 25 and lucky enough to be a motorist, you may find car insurance premiums have dropped significantly. As a matter of fact, on average, costs for younger drivers have fallen to just £1,097.
In fact, this has been a great week for younger motorists in general. A viral video on the social media platform, TikTok, has been doing the rounds to help younger people gain cheaper car insurance. The video in question promotes a new app for car insurance called Rooster Insurance. The app claims to save good drivers up to 40% on their premiums. There’s no need to input your data or information about where you live, if you’re married, etc. Instead, drivers are monitored through the app and judged on their driving for 3 weeks. This is followed by the provision of a car insurance quote. You can view the video here.
So, if your car insurance is up for renewal soon, or you’re thinking about purchasing a new car, now might be the time to take action. In particular, if you’re on the lookout for cheaper car insurance, let us give you a head start. Let’s be frank — who isn’t looking for cheaper car insurance?