Car premiums stall but home still rising

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The latest AA British Insurance Premium Index has revealed a small 0.3% fall in car insurance premiums while buildings insurance rose by 4% in the third quarter of 2011.

In the three months to the end of September the AA's Shoparound index, an average of the cheapest three quotes from a range of insurers for each ‘customer', fell to £921 for comprehensive car insurance.

The fall has reduced the annual price rise to 16% and the broker said it could mean the worst of the price rises were over.

Simon Douglas, director of AA Insurance, said: "The past two years have seen the biggest-ever rises in premiums as insurers struggled to close a widening gap between premium

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