Homeowners can save about £1,200 over the life of their mortgage if they switch their buildings or contents insurance cover away from their bank or building society, a new survey reveals.
Research by Insurance Advice, carried out for the AA, compared the buildings and contents policies of 25 leading providers for 64 risks.
It found the average cost of buildings insurance from a bank or building society was £131.86 compared to £120.10 for a direct insurer and £111.65 for an intermediary.
Banks or building societies charge an average of £128.48 for contents insurance, a direct insurer charges slightly more at £129.95 but an intermediary is cheapest at £106.33.
Over 25 years a saving of £1,180 could be made on buildings insurance and £1.195 on contents insurance.
AA Insurance director George Lowe said: "Mortgage providers have been having it their own for far too long.
"Homeowners can make significant savings over the 25 years of their mortgage if they let an intermediary search for the best deal for them."
