Only Insurance.com - Consumers are now more likely to compare and run

Car Insurance - Consumers Are Now More Likely To Compare and Run - 11/05/2008

Websites that compare insurance policies may not give consumers the full picture of where to find the best deal according to the UK financial markets regulator, coming on the back of news that over six million people have decided to change their car insurance cover provider over the last six months.

The FSA have revealed that many consumers may look for the lowest premium without checking what’s actually being covered on their insurance policy. FSA’s head of financial promtions Ed Harley said "We recognise that many consumers use these websites to search for insurance products but consumers should not only shop around for the best deal, but compare what's covered by a policy and not just focus on the price."

The rise of these comparison sites are largely to blame for the increased consumer switch between car insurance companies. Such sites have been found to generate 25% of all car insurance sales in 2007 and the trend is continuing halfway through the new year.

MoneyExpert.com have shown that 14 per cent of motorists, roughly 6.43 million drivers have swithced companies in pursuit of a better deal in the past six months spurred on by insurance comparison sites.

MoneyExpert.com founder Sean Gardner commented:‘‘With over 35,000 people switching car insurance provider every hour it seems that the nation is catching on to the situation and voting with their feet," said the expert.

He added ‘‘You could save up to 30 per cent off your car insurance by shopping around and that’s got to be worth having.’’