ABI tracker reports 3% drop in motor premiums

The average price of comprehensive motor insurance has fallen by 3%, according to the ABI.

The industry body’s latest quarterly premium tracker shows that UK motorists paid £358 in Q1 2014, or less than £30 a month, for their car insurance.

Since Q1 2012 the average comprehensive premium paid has fallen by 14%, the ABI said. 

ABI head of motor insurance James Dalton said: “The fall in average comprehensive motor premiums reflects the commitment of insurers to pass on the savings from reforms to the civil litigation system last year to hard-pressed motorists, even when savings have yet to fully materialise.

“Keeping a lid on cost pressures, such as fraudulent whiplash claims and claimant lawyers’ excessive costs, is essential to ensure that UK motorists continue to get the best motor insurance deal.”