Car insurance news

Cheap car insurance at risk in London

A league table recently published by insurers has shown that vehicle owners in London pay some of the highest car insurance premiums in the whole of Britain.

The average price of insuring a car in London is over £500, compared with the national average of £369. This London price rockets, however, for anybody living in the EC postcode of the city, meaning that their policy is likely to cost in the region of £700.

Other areas of London that prove to be expensive for motor insurance include Golders Green and Hampstead, where the average price of a premium is around £600. This high cost is due to the fact that car insurance firms group drivers of fairly affluent areas with less well-off districts such as Willesden and Tottenham. Somewhat surprisingly, people living in the West End close to Oxford Street get the cheapest car insurance in London and pay an average of £260 a year.

Although insurers are normally quite accurate at identifying high risk areas for their customers, the varied diversity of London means that is it fairly possible that a family living in a crime-ridden area could be only several streets away from a rich family in an area thought of as relatively crime free. However, if both families live within the same postcode then they are both likely to receive the same quote for their motor insurance.

A spokeswoman from Duck2Water Car Insurance Services, expert providers of cheap car insurance, said, "Crime rates, proximity to nightclubs and the volume of traffic will all affect the price of your motor insurance premium."