Toronto, Ontario – A new quarterly study of auto insurance premiums by online insurance shopping service Kanetix identified a 3.5 per cent increase in the average of the lowest premiums quoted for auto insurance in the second quarter of 2008, compared to the same period of 2007.
Unlike previous Kanetix studies, where increases were partly attributed to consumers shopping for insurance on newer vehicles, this increase appears to be the result of rate changes. For the second quarter of 2008, no unique or unusual shopping trends were identified that could address other reasons for the change.
“Drivers need to be prepared for what we think they’re likely to see when they get their next renewal notice from their insurer, and that is they’ll see their premiums go up,” said George Small, co-founder of Kanetix Ltd. “This is the fourth consecutive quarter that our findings have shown an increase in rates quoted, year-over-year. During times of rising auto insurance rates, auto insurance consumers should not only watch their renewal notices closely, but they should also know that they have options; just because your insurer raised your rate doesn’t mean that a better rate isn’t available elsewhere.”