British Insurance Premium Index – Quarter 3 2007 - 15.10.07

Attached are the latest findings from the AA's benchmark British Insurance Premium Index.  

"The falling trend in home insurance premiums has come to an abrupt end, blamed on a sharp increase in flood claims, the AA's latest benchmark British Insurance Premium Index shows.  Meanwhile car insurance premiums, which started rising during the second quarter of 2006, show no sign of easing.

The Index shows that over the past quarter, the average quoted premium for home buildings insurance leapt by 3 per cent - the largest single increase since the Index was launched in 1994.  Home contents premiums also rose by more than 2 per cent during the quarter.
            
The average quoted premium for an annual comprehensive car insurance policy rose by more than 1 per cent while more than 3.5 per cent was added to the average premium for third party, fire and theft cover".