Motor faces continued downward spiral

cars-downhill

Structural changes in the personal lines teams at two insurers in April and reports of another near 6% quarterly fall in average comprehensive motor insurance premiums have once again thrown the sector into the spotlight.

The findings in the latest AA British Insurance Premium Index (see box) take the total falls in car insurance costs across the past 12 months to over 16%.

According to brokers, declines of up to 30% in motor premiums over the past two years have returned the market to pre-2010

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