Some car insurance companies are slashing prices in a land grab for new customers, whilst others are having to raise prices to compensate for losses, according to AA Director of Insurance Simon Douglas.
“Competitive pressure is leading some companies to make big premium cuts on price comparison sites so that they can increase their portfolio of customers. While this is great news for consumers, they need to make sure they’re getting good cover, not just a good price,” commented Douglas.
Mr Douglas added that “significant inroads” are being made to tackle fraudulent claims such as “crash for cash”, although insurers are still handling “excessive” numbers of whiplash claims, which push up premiums.
Have you had a renewal recently? We’d be interested to hear what kind of experience you had. You can let us know in the comments.