Car insurance premiums `rising at fastest rate for a decade`

The average car insurance premium is rising at its fastest rate for nearly a decade, according to the latest AA British Insurance Premium Index.

The AA said that for the year ending June 2009, car insurance premiums rose by more than 11%, and increased by more than 1% per month over the past quarter.

An insurance expert for Think Money said that the AA`s findings highlight the importance of searching the market thoroughly for the most appropriate deal before taking out an insurance policy.

"The price of insurance policies can vary greatly between providers, so it`s always worth searching around to be sure of getting the cheapest possible premium on a good deal.

"That can take a lot of time and effort, so people may benefit from speaking to a professional insurance adviser, who can search for the best insurance deal on the car owner`s behalf."