Abacus Daily Debt News

Brits risking debt by sticking with insurance providers?

Reluctance to seek the cheapest option for car insurance could see the debt woes of people in Britain escalate, a new survey has suggested.

Carried out by Which?, the study found 60 per cent of drivers who shopped around were able to source a better deal.

Almost a third (30 per cent), however, admitted they could not be bothered to look for alternatives, meaning they may have been missing out on average savings of £58.

The company added people should not select their suppliers on cost alone as some policies may offer inadequate cover.

Peter Vicary-Smith, chief executive of the organisation, advised: "Always shop around for the best deal and if you do want to stay with your existing insurer, never accept their initial quote."

He added most providers will match a quote if a better price is located elsewhere.

Comparison website Confused.com recently warned consumers may face increasing debt worries as energy suppliers seek to increase their prices and remove fixed tariffs.

By Amy Francis