According to a market analysis conducted by Tiger, a car insurance comparison website, car insurance prices decreased by 0.8% in the month of March this year. This makes the annual drop in premium prices to 1.9%. The report was created by Tiger Watch, the market indicator of the company.
However, according to company experts, the car insurance premiums remain 33% higher than those during the month of March, 2010.
According to Andrew Goulborn, the company’s commercial director, “Tiger Watch gives one of the earliest indications of movements in car insurance pricing and the March 2012 results show that market competition is helping to keep premiums stable. However, this comes after a period of high inflation in 2010 and early 011 – looking at the longer term picture we can see that average March 2012 prices are actually some 33% higher than the average that we recorded two years ago.”
He also mentioned that applicants could hope to see their premiums fall if they shopped around for best prices by going online to compare car insurance prices.
This comes as a sigh of relief for many commuters who were recently sent reeling in light of some hard measures taken by chancellor George Osbourne. The chancellor’s decision to hike up fuel duty prices by 3.02p, 3.62p after VAT came as another blow to the drivers’ pockets. This decision was announced during Spring budget. Hopefully, this latest news will salvage some of the damage done to vehicle owners’ wallets.
However, due to inflation, the premium costs still remain far from satisfactory, being 33% higher than the prices at the same time two years ago.
“Looking at the 24month figures we can see that the average March 2012 prices are still some 33 per cent higher than the average that we recorded in March 2010,” warned Andrew Goulborn.
So, although a small victory has been gained, the war to cut down on car insurance premium still wages heavily. It seems that Prime Minister David Cameron’s high-powered summit to curb whiplash claims has not made sufficient inroads yet.
In midst of the constant fluctuations in car insurance premiums, insurers have repeatedly counselled policy applicants to visit car insurance comparison websites and field around for the most competitive price they can lay their hands on. Mainly due to the instantaneous quotes, convenience of sitting at home and cut-throat competition between insurers who want your business, car insurance comparison websites have emerged as the shining beacons of cutting costs in an expense-ridden world of car insurance.