'comprehensive' car insurance policies no longer deliver

Comprehensive car insurance used to have the significance that everything, or at least a lot of potentiality dangers motorists might brush, would be covered �" but no more, analysis by the British people Insurance Brokers' Association (BIBA) for Financial Mail have uncovered.

Features such as third party liability cover for drive other cars, extended cover for trips abroad or courtesy cars, which used to be included in policies by default, have slow but certainly disappeared from a growth number of car insurance policies.

BIBA's analysts found alarming examples for cases in which the so-called comprehensive car insurance policy has been literally stripped of its all-encompassing features, and car insurance companies make their money by devising their client pay in a heartfelt way for optional extras.

The 'comprehensive' policy sold by RAC for illustration does not allow a policyholder to drive any other car, while characteristic such as a courtesy car and insurance overseas are optional extras.

Hayley Parsons, chief executive director of comparing site gocompare.com, explains: "The importance of comparing sites has meant it is key for insurers to get near the top of the rankings on price and they can do that by slimming down the cover."

"All the ad is about price. It's no thirster focused on providing the right financial protection for the automobilist," Graeme Trudgill at agreed.

"Even if an component of cover remains, the sum insured person may be reduced. Many insurers have lowered the bounds for loss of items from the car, for accidental damage to the windshield or for personal accident cover."

A figure of car insurance providers such as Tesco complaint for the first £75 of any windshield claim and £350 compulsory excess for drivers aged betwixt 21 and 24.

It might also be worth going through a agent instead of purchasing directly from the insurance company, the research suggests. Norwich Union, for example, no longer offers cover for driving other cars through direct sales, but keeps this feature in policies bought through brokers.

In any case it is crucial to read the small print and to ponder carefully what you really need, Mr Trudgill recommends: "Think about what features matter to you. Also, how much could you afford to pay in the event of a claim. You may find that paying slightly more than the cheapest premium actually gives you a better value option."

©Fair Investment Company Ltd