British motorists may be benefiting from lower-priced car insurance policies after research from the AA revealed a decline in the cost of premiums for the first three months of 2013.
The AA's findings are based on an average of the five cheapest premiums returned from each of a range of insurers, brokers and schemes sold direct, as well as through price comparison sites.
According to the AA's 'Shoparound summary', the average quoted premium has fallen 1.4% over the first quarter of the year to £746.75. Over the past year, the AA said average car insurance costs declined 4.1%.
Drivers hoping to get a good deal on cover might like to make car insurance comparisons to see if they can find a cheaper premium than they one they are currently on.
Director of AA Insurance Simon Douglas explained that on 1st April, legal reforms were introduced to control injury claim costs. This included the banning of referral fees between claims companies, insurers and law firms, as well as controls to manage legal costs.
According to Mr Douglas, the reforms also involved measures to ensure injury claims costs cannot be paid for compensation claims of less than £5,000 in a small claims court, with most whiplash injury compensation awards said to be below this sum.
"It's shameful that 70% of those in car crashes on Britain's roads are said to make a claim for injury even if no injury has been suffered, amounting to some 570,000 claims per year, costing £2 billion," Mr Douglas said.
A statement from the AA also detailed how car insurers would be able to cross-check the details of those applying for cover against their record with the Driver Vehicle Licensing Agency (DVLA).
An AA/Populus survey of 17,884 AA members showed 92% of respondents agreed with the move to cross-check insurance applications against the DVLA database if it reduces fraud.
Mr Douglas said: "We know that an astounding 23% of motorists wrongly declare their driving history to insurers, either not declaring convictions or disqualifications, or declaring something less significant when they take out their car insurance."
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