15th December 2014
The typical car insurance premium price has rocketed over the past three months, beating the record increases seen in 2011 when the average cost hit a record high of £554, according to an analysis by MoneySuperMarket.
The comparison site’s research found that although the average car insurance premium price at the end of November was £456, the rise in prices has been dramatic, with a 15% hike since the end of August, equating to £60 on an average policy.
In comparison, the last time prices rose so quickly, between January and April 2011, there was only a 10% rise.
But according the firm’s research, premium prices do rise towards the end of the year however if this inflation continues, consumers could see average premiums break the £500 mark in 2015.
Kevin Pratt, insurance expert at MoneySuperMarket said: “Motorists have benefited from competitive pricing in the insurance market recently, but it looks like low costs are a thing of the past, as motoring cover has been steadily creeping up since August this year.
“Premiums in November averaged out at £456, the highest we’ve seen since December 2012 when premiums were at £465. Premiums are 10% higher compared to this time last year, and are increasing rapidly – November saw an uplift of £25 from October.”