20 July 2007

DL Admit 9 out of 10 Consumers Find Cheaper Car Insurance Elsewhere | Cheap Car Insurance and Home Insurance from Confused.com

Direct Line's latest claim that it is the UK's most competitive 'major' insurer* hides the fact that the research also reveals its premiums fall outside the top three cheapest quotes for three-quarters of consumers, and that over 9 out of 10 consumers will find cheaper insurance with other providers.

The 'Deloitte Quarterly Motor Insurance Market Report', published at the end of May, reveals that across a range of 1000 customer profiles they were cheapest only 78 times - less than 8% of the time.

Moreover the report doesn't include several of the UK's most competitive insurers and brokers, including the Budget Group, Swinton, Admiral, Quinn and SAGA.

Direct Line argues that this still makes it the UK's most competitive major insurer, but in reality the findings show exactly why drivers are better off comparing the entire market for the best deal.

Commenting on Direct Line's claim and its ongoing campaign to persuade consumers against using price comparison websites, Debra Williams, managing director for Confused.com said:

'In publicising this report, Direct Line are highlighting the fact that over 90% of customers, and perhaps more, will find cheaper car insurance with other providers. What's more, if this report covered 100% of the insurance market, Direct Line would undoubtedly fall below its current 8% for competitiveness. What better argument is there for using a price comparison site!

'We've no doubt that for certain types of risk Direct Line may well be competitive, however how would anyone know if they refuse to allow their prices to be compared against the rest of the market.

'Our advice to consumer's remains, always shop around based on your individual circumstances, look beyond the marketing hype and don't opt for the first policy that catches your eye. If Direct Line doesn't want you to use a price comparison site, there's probably a very good reason why!

'If you're a Direct Line customer we suggest you try a price comparison site before renewing your policy; they're free to use and you could save yourself a bundle.'

*Based on research by Deloitte & Touche LLP

NOTES TO EDITORS About Confused.com

• Confused.com is an online comparison site that allows people to search and compare the best prices for car, home and travel insurance.
• Confused.com customers save on average £215 when searching for car insurance on Confused.com
• Confused.com provides real-time, fully underwritten quotes in less than two minutes.

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