AA: Car insurance quotes rising steeply

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AA: Car insurance quotes rising steeply

The AA has discovered that quotes for car insurance premiums are on the rise in the UK as the recession continues.

According to the AA British Insurance Premium Index, the typical quote for an annual comprehensive insurance policy rose by 3.5 per cent during the second quarter of 2009.

This means that the average quote now stands at £778.13.

It also reveals that quotes for home insurance premiums rose during this timeframe, with the typical policy now being £223.92 - a rise of 2.5 per cent compared to the previous quarter.

"There's no getting away from the fact that the industry continues to suffer underwriting losses, which are predicted to be in excess of £240 million this year," said director of AA Insurance Simon Douglas.

This week, the AA also advised motorists to lock up their vehicles at night in order to reduce the chances of theft or damage occurring.

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