A QUARTER of drivers have downgraded, or considered downgrading, their insurance cover over the last two years, according to a study by AA Motor Insurance.
The study, of more than 12,000 drivers, found they switched or considered switching from comprehensive to third-party, fire and theft cover due to tighter personal finances. On average though, only 5 per cent actually downgraded.
Many of those surveyed said when they examined the price difference between the two levels of cover, the gap was much narrower than they had anticipated.
Others said they feared falling foul of “Murphy’s law”, thinking they might have an accident if they reduced their cover.
The over-65s were least likely to switch from one level of car insurance cover to another, according to the study, while 17-24 year olds were the most likely to switch.
Some 12 per cent of those young drivers said they had reduced their cover within the last two years.
AA Motor Insurance director John Farrell said people should consider how well they would cope with a big repair bill and how dependent they were on their car before deciding whether to downgrade cover.
“Our advice is to reduce your premiums by shopping around rather than downgrade,” he said.
“You could well make the savings you’re looking for without jeopardising your level of cover.”
