Direct Line named UK's most competitive car insurer

An independent benchmark report into car insurance has shown that Direct Line is the UK's most competitive major insurer.

The Deloitte Quarterly Motor Insurance Market Report reviews the prices offered for 1000 risks by 12 internet and 169 broker insurer schemes and ranks these providers' competitiveness. Direct Line, the UK's largest private car insurer, offered one of the top three cheapest quotes on 257 occasions, placing it above Esure (7) and Norwich Union Direct (11).

However consumers should be aware that insurance should not be purchased on price alone and the benefits that the policy offers should be considered.

Paul Baxter, Head of Car Insurance, Direct Line, said: "Many consumers mistakenly believe that they can get full product information and the best deal from price comparison sites however, they are simply 'on-line' middlemen. Direct Line car insurance is only available direct from the insurer, either online, or on the telephone and cannot be found on price comparison sites."

In research by Direct Line, 41% of consumers mistakenly believe price comparison websites quote all major insurers and 35% believe ALL insurers, both big and small, are quoted*. Whereas actually, none of the sites provide a full round up of the market plus consumers are unable to compare product benefits and nearly nine times out of ten the price offered by the price comparison site is different to the one consumers can get by going direct**.

Paul Baxter, Head of Car Insurance, Direct Line said: "This report shows that Direct Line continues to offer our customers some of the most competitive premiums on the market, but it is about more than just price – we offer our customers innovative and appealing product features and excellent service."

* YouGov research

** Direct Excellence