Motor insurance costs stay at a four-year low – ABI | News

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With tier three being enforced across London, driving habits could change once again and the ABI has therefore extended its Covid support

The average price that motorists are paying for their motor insurance continues to remain at a four-year low.

In Q3 of 2020, the average price paid for comprehensive motor insurance was £460 – the lowest level in four years.

And this figure remains unchanged from the previous quarter, it is also £8 lower than in the same quarter last year.

This is according to the ABI’s latest Motor Insurance Premium Tracker, which claims to be the only survey that looks at the price consumers pay for their cover, instead of the quote.

Laura Hughes, ABI’s manager, General Insurance, said: “While lockdown restrictions eased and road traffic rose during the period, our latest premium tracker shows that motorists continued to benefit from fewer road crashes, and a very competitive market.”

Pledges

With the government’s three-tier approach to lockdowns potentially changing driving habits, members of the ABI have recently extended their extra Covid support to the UK’s 27 million private motorists till the end of 2020.

Motorists that drive to and from your workplace due to Covid-19’s impact or NHS volunteers will not see their insurance policy affected. Those transporting medicines or groceries will also see thei policies unaffacted.

Hughes said that the temporary pledges remain under review – with the next review of home and motor insurance before 31 December.

She advised policyholders with more permanent changes in their driving patterns to continue into the next 12 months, and if are renewing their insurance policy, they should discuss this with their insurer.

Hughes continued: “However, continued cost pressures, including rising repair bills and the delay in introducing personal injury reforms, mean that motorists should continue to shop around to ensure they’re getting the best deal for their needs.”