Brits Compare Car Insurance on Price

Only 19% Say Level of Cover Is Important

The results of new research indicate that most Brits are bargain hunters when they compare car insurance deals.

The study conduced by the Fair Investment Company found 57 per cent of those UK motorists quizzed named price as the most important element of securing car insurance cover on their vehicle.

The level of cover was considered much less important in car insurance comparisons; only 19 per cent viewed this as a crucial aspect in selecting a policy.

However, "motorists should be careful choosing their car insurance by price alone, the cheapest car insurance is not always the best and there are other aspects to be taken into consideration” says James Caldwell, Fairinvestment.co.uk’s director. "I would advise anybody shopping for car insurance to compare deals not just on price but also policy features, some of which may be outlined in the small print."

Breakdown cover and a no claims bonus were named by around two per cent of participants in the survey as an important factor when they compare car insurance.

Changes to the UK Car Insurance Grouping System

20 Groups to Change to 50

Due to the increasing amount of makes, models and types of vehicles on Britain’s roads today, the Association of British Insurers (ABI) has announced a change to the way car insurance is calculated. t

Over the past 10 years, car insurance has been allotted to 20 groups dependant on the possible risks for each vehicle. The new car insurance classification system will split cars into 50 groups which will be determined by the amount of damage one car will make on another, should an accident occur, as well as the cost of repairs to a vehicle.

Presently, when inputting your details to compare car insurance online, you will be asked about information concerning your vehicle including car make and model, age of vehicle, and location of where the car is kept. With the new classifications, car insurance quotes will take into account many other attributes about your car including weight and size of the vehicle, top speed and whether components such as air conditioning and a catalytic converter are present.

With this information, car insurers can calculate the amount of damage a vehicle is likely to make on another vehicle should a collision occur.