Car insurance UP 61%, free £205 trick, £27 designer specs, 'I've made £3,000 usin g MSE', £38 Travelodge, cheapest iPhone 13

Take cover! It's got worse...
Martin: 'Car insurance prices now up, gulp, 61% and average over £900/yr. Even if not at renewal, check if you can lock in to save £100s'

"In September, I warned here that we were seeing horrific rises in car insurance. New data out then showed average renewal prices 41% higher, and we cautioned you to act urgently as worse was predicted. Now... it seems 'worse' is here, seemingly even more quickly than expected. So I make no bones about repeating the warning, but this time EVEN LOUDER!

The new stats are from different sources from last month, analysts at Consumer Intelligence, who assess 17m quotes a year. The stats show premiums are up a whopping 61% on last year, while comparison site Confused says the average price is now a massive £924 a year.

And indeed both are reflected by the wrath people report their renewals to me with on social media. And sadly, Consumer Intelligence says things are likely (no guarantee though) to keep getting worse until the middle of 2024.

Insurers say rises are partly due to general inflation, rising car repair costs - with garages charging more for parts and labour - and paying out more for written-off cars, due to the value of used cars getting ever higher. Whether this justifies it or not is frankly moot; the rises are happening, the most pressing issue is how to try to counter them, so let me say it again...

Everyone, take a few minutes to check if you're overpaying. If you are, even if you're not near renewal, you may be able to lock in a price to forestall future increases for a year.

Do listen to my recent car insurance cost-cutting podcast, in conjunction with the key tools and tips below from me and the team..."

You may think all this checking is a bit unnecessary - because, since January 2022, car and home insurers have been banned from charging renewing customers more than they charge new customers.

The rule changed to end the annual 'price-walk' of pushing up prices at each renewal, so that by year five you paid a massive loyalty premium. Yet while that's gone, auto-renewing is still likely to cost more...

- Some firms have simply boosted prices for all.
- The 'same price for both' rule is channel specific. For example, if you got insurance direct, your renewal must cost the same as it would if you were a new direct customer. Yet they can charge you more (or less) than they would a new customer via a comparison site (& can price each comparison differently).
- Pricing varies hugely by firm & by customer type they want to recruit.
- Many firms own more than one brand. They may aim to win new business via new brands, leaving existing brands at higher prices.

Of course, of the millions of readers of this email, some will find their renewal is cheapest. If so, fab. The key is to never assume your renewal is the winner without checking.

If you can find a cheaper quote elsewhere, but like your current insurer, then ask it to match your cheapest quote. There's full help in Car & home insurance haggling tips. Here are a few to start:

- Do it close to renewal so the threat of losing your custom is stronger.
- Get an actual quote as a benchmark to ask it to beat/match.
- Use charm, chutzpah, cheek & a smile (never aggression).
- Don't get rushed in to accepting the first offer.

As Carol emailed: "Great news! I have just saved £45 on my car insurance (renewal £242, new quote £197) after reading your tips on how to haggle. Thank you so much."

As with any insurance, check the policy details, and read exactly what's covered before signing up. Do also ensure the insurer is regulated by the Financial Conduct Authority.

That means if you feel you've been treated unfairly, or that your claim has been unfairly rejected (or the payout is too small), you have a right to take 'em to the free Financial Ombudsman.