Admiral car insurance has warned car drivers that they could see their premiums 5 percent higher by the end of this year.
In the first half of the year insurance premiums have risen by around 2.5 percent according to data collated by Admiral, with a similar level of increase expected in the second half of the year. On the back of all the other price rises that are hitting consumers there appears to be no escape from rising costs.
What seems to be happening is that the cost of car insurance is going up even though the number of claims is relatively unchanged. Admiral suggest that it may be the increasing cost of repairs that is forcing premiums up.
Elephant Insurance have been asking Mini drivers to compare their current insurance deals with what Elephant can offer.
The online insurer are making the suggestion because of the recent price reductions on the Mini, with new models enabling Elephant to re-band some of the popular cars, leading to potential savings of ten percent or more.
A couple of specific examples are the Mini One Sidewalk, which is now in group six compared with its previous group seven rating, and the Mini Cooper Sidewalk, now a group nine car rather than group ten.
The new Mini has been a highly successful seller since its launch, and these new classifications are sure to help it maintain its popularity, especially with younger drivers who appreciate the style of the Mini and can also appreciate the savings they can now make on their insurance premiums with Elephant.
The view of Swinton, the biggest insurance broker on the high street, is that drivers with six points plus on their licence will soon be the norm, categorised as standard.
With the advent of the speed camera and the often scandalously low speeds at which they are set to trigger, Swinton feel it is not right to automatically penalise drivers because of these points. Bearing in mind the fact that approximately six million drivers have points on their licence, which is over ten percent of the whole population of the country, the approach from the insurer seems a very fair and sensible one.
Swinton are taking the view that the driver with six points on their licence today is as safe as the one who had three points five years ago and no points ten years ago. We just hope other insurers follow suit.