Healthy competition

The other day I accompanied my daughter, aged 22, to her insurance broker to renew her motor vehicle policy. To our surprise the insurance company again substantially increased its minimum policy premiums for drivers under 25 years of age. Moreover it did not make a difference whether my daughter was 22 or 24 years old.

So we shopped around and managed to find another insurance company whose quoted insurance premium was practically the same as what the premium would have been had the other company not arbitrarily raised its price. And this second insurance company takes into account the actual age of the insurer too. Moreover my daughter saved an extra 15 per cent by restricting the number of drivers to two. All in all she managed to get her insurance cover, motor vehicle licence and a road recovery subscription at less than the insurance premium quoted by the previous company!

The moral of the story is not to take insurance premium rises as inevitable. Shop around and you will find the same insurance cover at a much lower cost!