Chester, UK (PRWeb UK) September 17, 2009
Motorists are set to waste £141 each or £9.4bn collectively by sticking with their existing insurer and not shopping around for car insurance*, according to moneysupermarket.com.
With car insurance renewals season in full swing, research from the leading price comparison site reveals one in five drivers (20 per cent) automatically renew their car insurance with their provider rather than shopping around to find a better deal. Of these, one in eight (12 per cent) don't think they can find a better deal, and a further eight per cent** or 2.6 million motorists say they will automatically renew their insurance because they can't be bothered to see if they can save money. Motorists in East Anglia and Northern Ireland are the worst culprits, with over one in four (28 per cent) not shopping around when it comes to renewing their policy.
Steve Sweeney, head of car insurance at moneysupermarket.com said: "In this current climate, it is shocking to see the sheer scale of drivers who won't spend a few minutes to see if they can save money when renewing their car insurance. Our research has found drivers could save themselves £141 on average by scouring the market - money which could come in useful elsewhere. It is alarming that so many motorists are prepared to waste their hard earned cash."
LOYALTY DOESN'T PAY
The research also reveals drivers stay loyal to their provider for an average 2.7 years, with the over 70s remaining the most faithful of the age groups, sticking with their provider for an average 3.8 years. Likewise, motorists in Northern Ireland take the top spot for the most loyal region, continuing their policy with the same company for an average 3.2 years, followed closely by those in the South West, East Anglia and the North East, all of whom stay for an average 2.9 years.
Steve Sweeney continued: "Providers count on your apathy to reap the profits. While they may lure you in with a competitive deal or special discount on year one of your policy, not ordinarily available to existing policy holders, you can be sure your renewal price will include a hefty premium - hardly the thanks you were expecting for your loyalty.
"Even if you think your quote can't be beaten, it only takes a few minutes to make sure you really do have the best value policy to suit your needs. In addition, if you have not made a claim in the past twelve months, you should normally expect to be paying less than you did the previous year."
Notes to Editors:
- Research undertaken by Opinium Research based on an online poll of 1,509 British drivers in August 2009. Results have been weighted to nationally representative criteria. http://www.opiniumresearch.com. According to these statistics, there are 33.3million drivers in the UK. 20 per cent of 33.3 million = 6.66million.
moneysupermarket.com analysed 335,826 car insurance quotes from motorists looking to renew their car insurance which revealed a saving of £141.45 on average. £141.45 x 6.6million = £942,057,000 or £9.4bn
** 8 per cent of 33.3 million drivers = 2,664,000