Premium increases cooling off, says AA

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The average cost of a comprehensive annual car insurance premium increased by 3.6% over the three months ending 30 June 2011 to £923.90, the lowest rise for 18 months. Despite the relatively small increase, the overall rise for a full 12 months was 30.1%.

However, for drivers aged 17-22, premiums fell by 5.6% during the quarter.

The AA's research found that home insurance had seen premiums fall very slightly over the second quarter of 2011. The price of buildings cover dropped 0.6% to £146.35

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