Once again we’ve been taking our monthly snapshot of car insurance
pricing and putting this into our “Tiger Watch” price monitor. We look at hundreds of car insurance quotes
each month across a range of different driver profiles in order to generate this up-to-the-minute data.
The results for October bring good news for many of the UK’s slightly older drivers but are cause for concern for many under motorists under the age of 25.
Firstly, here’s the good news!
Overall we are seeing prices drop on average by 3% compared with September 2012 premiums. And looking at the year-on-year figure we see motor insurance premiums dropping by 2.7%. In fact, looking back further, Tiger Watch
indicates that overall market prices are at their lowest for over two years.
Looking at the last six months the trend is even more marked, with rates dropping by about 8% since May this year: bigger drops for men (11%) than for women (5%) over this six month period, but generally welcome news for the average UK motorist.
However we all know that “average” drops in price doesn’t mean that everybody benefits! They mask the winners and losers in the motor insurance market.
Who’s winning? Well within the Tiger Watch data
we are seeing our 35, 45 and 55 year old male driver profiles having double-digit year-on-year reductions in their pricing – by about 10-12%. And our 45 and 55 year old female profiles are also faring well – seeing an 11% drop in premiums.
So who’s suffering? Once again we are seeing younger drivers taking a hit. Despite recording a monthly drop in rates, our 20 year old male driver profile actually saw motor insurance prices RISE by over 5% compared to prices a year ago. And the equivalent female driver profile witnessed a 4% price increase.
What this data really highlights is that the market is highly volatile and that the swings and roundabouts of premium pricing can make renewal time a bit of a lottery for motorists. The sensible thing to do is to always benchmark the renewal offer received from an existing insurer using a good car insurance comparison
site (we know a great one!) to make sure you are getting the cover you need at a competitive price.