Motor Insurance Premiums Rise for AA for Quarter One

The AA Car Insurance has announced a rise on premiums of 1.3% for annual comprehensive motor insurance for quarter one of 2009. Premiums usually fall for the first quarter and have done for the last five years, so this is seen as a big win for the AA.

Competition has been strong in the car insurance market in quarter one so the AA are seeing this as a significant indication of growth for the remainder of the year 2009. Car insurers have recently over the past months been facing additional costs due to and increase in personal injury claims, theft, fraud and legal expenses.

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