Car insurance figures soar to £1,000

A study out today has revealed the average cost of car insurance has risen to more than £1,000 a year.

Fake claims over whiplash and opportunists making ‘cash for crash’ scams have forced providers to up their premiums to compensate. Back in 2008, drivers paid an average of £509 for a fully comprehensive insurance policy. The typical car insurance premium has since doubled to an astonishing £1,034, making it the most expensive yet.

Young males aged 17-22 will feel the sting the most facing an average cost of £2,792, with females of the same age range having to fork out an average of £1,995.

Last year it is alleged that whiplash injury claims set back insurers more than £2 billion, resulting in an increase of £90 to a typical car insurance policy, the biggest increase ever recorded.

Simon Douglas, director of AA Insurance, stated the market was “in turmoil˜. “However, significant inroads are being made by insurance fraud specialists including the new police insurance fraud enforcement unit, which has already smashed a number of insurance scams.”