Comprehensive auto insurance said better deal than third party cover

Many UK residents are paying too much for the wrong sort of car insurance, according to insurance comparison website Insurancewide.com. According to the website’s chief executive, James Harrison, too many people are paying too much for third party fire and theft coverage, when they could pay less and get better coverage by buying comprehensive insurance instead.

It makes general sense, Mr. Harrison said, for older drivers who own an older car worth less than £2,500 to purchase third party coverage, which should have lower premiums. However, many younger drivers with limited funds or who own high-performance cars are also opting to purchase third party fire and theft coverage are driving up the premiums for the coverage because of the added risks of insuring younger drivers and high-performance cars.

In these circumstances, according to Mr. Harrison, it is more logical for drivers who don’t use their cars as much and who routinely lock their cars in order to prevent vandalism and theft, to buy comprehensive insurance, which includes fire and theft, for a lower premium. With average premiums for third party fire and theft running between £500 and £700, while comprehensive coverage premiums are at an average of £400 to £500, the average drive can get more coverage for less money by choosing comprehensive coverage.

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