Car insurance news
Car insurance premium - companies raise their rates
Car insurance premium rates are set to rise after two years of moderately low cover costs.
The AA and Sainsbury's Bank have both warned that with rises on the horizon, motorists must keep a close eye on their premiums in order to get the best deal possible. Sainsbury's Bank found that more than one in three drivers have seen their car insurance premium rates rise.
"Some insurers entice motorists to take out their cover by offering very competitive premiums and then increase them substantially when it is time for the customer to renew their policy - even though their circumstances have not changed," warned Joanne Mallon, Sainsbury's Bank car insurance manager.
Kevin Sinclair, the director of AA Insurance feels that "car insurance premiums may have bottomed out" and costs are about to rise. Mr Sinclair added: "What we need to avoid at all costs is a sudden leap in premiums which has happened in the past - that would not be in the interests of either customers or the industry."