Car Insurance - Premiums Driven Down By The Internet

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After so many experts have warned us that the car insurance costs rising, what happened? Has fallen! It is largely to the impact of the growth of online shopping.

Car Insurance Premiums Driven Down By The Internet
In the second half of 2005, car insurance premiums fell an average of £ 470.17 to £ 462.15. But the silver surfers who've benefited most. Over the last six months of last year, drivers aged over 65 have seen their premiums on average fell 4.5% from £ 342 to £ 347. What is most surprising is the huge difference between the premium service providers. 40% difference between the most expensive and the cheapest public.

It seems that most drivers do not realize this because every year, half of them automatically renew their insurance with their insurance company that already exists. 19% more just care to get a competitive quotation.

And readers will be surprised that sells an expensive policy. A recent survey in the "Where", the consumer magazine, shows that Norwich Union - the largest insurance company in the UK - failed to come up in one of the 36 categories surveyed driver. Direct Line, another well-known name, only managed one top.

It is a marketing strategy to the big brand names. They have built a base with low prices and heavy advertising of their clients and then gradually increase the price. They clearly rely on apathy and brand loyalty to keep their clients. And with 50% automatically update, it works!

But if you decide to shop, be careful. Low price is not everything. Some policies have mouth-wateringly low prices but skimp elsewhere.

For example, when your car is being repaired, do you want a car polite? Some policies only pay £ 100 or so for stolen audio equipment. Is that enough? Do you want to make sure personal items while they are in your car? And crucially, some comprehensive policies will not provide third party cover if you drive another person's car - even with their permission!

Before you decide, be wise to consider all these aspects.

But back to the price, if you think the lowest price on the Internet, you are right! Internet quote is typically 5% - 10% cheaper than the price of the phone.

When shopping the Internet, most people are looking for the cheapest deals, and then read the details about the cheapest policy to check that they provide the necessary cover. You can hunt for the best deals by searching under "car insurance" insurance discount site but some are easier if you type in "car insurance discount" or "cheap car insurance".

But remember, when renewal time comes around to go shopping again. Does not automatically update! It is very easy on the Internet because I find this year. My insurance company before quoting £ 945 and eventually I bought it for £ 702. Working saving £ 243 for 30 minutes.