Car insurance price will still be affected by continuous inflation in the coming months

Car insurance price being monitored by Tiger.co.uk currently released the comparison of the different car insurance price as seen on Tiger Watch. It has seen an inflation percentage of 31.3% within the first three months with the percentage on March being 36.3% which is significantly higher compared to the previous year.

Though these inflation rates on car insurance price exist, it is still advised for car owners to renew their car insurance price. This is based on the findings that this inflation is dependent on the December 2010 rate.

If consumers are going to track the trend of the inflation percentage of car insurance price for the past 6 months, it can be found that the rate of inflation was just 3.1%. This was after a 6-month high inflation percentage from April to September 2010 that affected the 35% increase in the car insurance price for the previous year.

The spokesperson for the company said that though there is currently a stability felt in terms of these inflation rates on car insurance price, the effect of the massive inflation that happened within that 6-month period will still be felt. This will then be reflected on their car insurance price.

This inflation was primarily brought by the initiative of insurers to be back on track especially after issues on fraudulent practices, abuse, increased cost of accidents and the like affected their profitability as a company.


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Posted by on Apr 1 2011. Filed under Auto insurance. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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