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Cost of insurance 'on the increase'
  
18th July 2008
0 comments 0 comments | 939 views 939 views
  

Car insurance costs are on the increase, according to a new report.

The AA's quarterly British Insurance Premium Index revealed that the average comprehensive premium increased by £20 over the second quarter of the year, while third party, fire and theft premiums were up £45.

Commenting on the findings, Simon Douglas, director of AA Insurance said that young drivers – in particular – should be concerned by the index results, since they accounted for the most costly claims.

"Young men aged 21 or under are ten times more likely to be killed or seriously injured on our roads than those aged 35 or over … The figures speak for themselves," he said.

Mr Douglas added that it was now vital for the insurance industry to work alongside road safety groups in trying to identify a solution.

In other motoring news, chancellor Alaistair Darling has announced plans to drop government plans to increase fuel duty later this year.

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