Research by the British Insurance Brokers Association (BIBA) has revealed that comprehensive car insurance can no longer guarantee cover for motorists against every, or at least most of the potential hazards they may face.

Many policies on offer have gradually discarded features such as third part liability cover for driving other cars, extended cover for trips abroad or courtesy cars. These aspects used to be included in policies by default.

Chief executive of comparison site gocompare.com, Hayley Parsons said, “The importance of comparison sites has meant it is important for insurers to get near the top of the rankings on price and they can do that by slimming down the cover.”  

BIBIA spokesman Graeme Trudgill concurred, “All the advertising is about price. It’s no longer focused on providing the right financial protection for the motorists. Even if an element of cover remains, the sum insured may be reduced. Many insurers have lowered the limits for loss of items from the car, for accidental damage to the windscreen or for personal accident cover.”