People in the UK are paying more for their car insurance than they might have originally thought, it has been claimed.
According to research from a leading internet comparison and switching service website, there is more than an extra £2.3 billion motorists are paying on top of the £8.5 billion they shell out on policies. In addition, the research found that younger male drivers were the most likely to have to pay out in the event of an accident. It was reported that around three out of ten male drivers under 21 had a car insurance policy which included a voluntary excess of more than £600.
This means that on an average insurance claim for their age group of around £1500 they would be liable for around 40% of the cost. The firm added that this money is going on involuntary payments and that around half of all drivers pay out between £167 and £1,020 on them each year.
A spokesperson for the firm stated that people may think twice about claiming in the future as a result. A saving of around £100 per year could end up costing more than ten times that amount in the event of a claim.
"With the average cost of a claim currently at £1,636, drivers with a maximum combined excess of £1,099 have to carefully weigh up whether to make a claim or not," he said.