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Motor premiums increase again

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According to the AA’s benchmark British Insurance Premium Index the shoparound price for comprehensive motor insurance is now £971.40, a 5.4% increase, from £921.38, over the three months ending 31 December. The annual increase is 15.3%, from £842.69.

Simon Douglas, director of AA Insurance, said: "I expected a much smaller rise, especially following the small fall in premiums during the third quarter of 2011."

The shoparound index is an average of

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