Cost of car insurance down slightly

Tue, 17 Feb 2009

The cost of car insurance fell slightly in the second half of 2008, a new study has found.

Research by Sainsbury's Car Insurance revealed that in December 2008 the average policy cost £498.22, compared to £514.36 in June, a fall of 3.1 per cent.

However, Joanne Mallon, car insurance manager at the firm, warned that the cost of cover is set to rise in the year ahead and urged people to look for the best possible deal.

"Motorists should be aware that paying a lower premium does not mean they have to forfeit good cover - by shopping around you can find both," she said.

Drivers should ensure that they compare car insurance offerings on a like-for-like basis, Ms Mallon added.

Yesterday, it was revealed that Islamic car insurance provider Salaam Halal has been added to the Moneysupermarket.com price comparison service.

According to the firm, the move will help end the myth that sharia-compliant cover is more expensive than other forms of car insurance.
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