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UK car insurance premiums fall by 12.5%

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Rate reductions in the fourth quarter contributed to average annual savings on a comprehensive motor policy of £92 but selective price increases are beginning to appear, the most recent Confused index has shown.

The average cost of a new comprehensive car insurance policy fell by 12.5% in 2013 to £644 according to the index produced by Confused in conjunction with Towers Watson.

Price reductions for third

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