Drivers and home owners are still paying too much for insurance, despite new rules that were meant to stop loyal customers losing out on the cheapest deals.
Insurers have been banned from charging existing customers more at renewal than new ones since January last year. The government said this would save consumers £4.2 billion over a decade.
However, since then the average cost of a comprehensive car policy has risen 45 per cent to £794, while home and buildings cover is up 28 per cent to £188, according to the consumer website Compare the Market. Experts say this is partly due to insurers passing on higher costs for transportation, materials and workers, such as mechanics.
Last week Direct Line Group, which owns Churchill, Direct Line
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