Autos

Martin Lewis warns car insurance is in ‘uncharted territory’ ahead of new rule change

Speaking on the Martin Lewis Money Show, he said he did “not have a firm answer” on when drivers should renew their policies to save money. He said car insurance prices were in a “flux” market and he was left to “guess” over what could happen in the coming weeks.

His warning comes ahead of new rules from the Financial Conduct Authority (FCA) which will ban price walking from January.

This will stop companies from slowly increasing insurance prices for regular customers year-on-year.

However, Martin has warned prices will not drop in line with new customers rates and has estimated fees could find a new middle ground.

Usually, renewing 23 days before renewal is the cheapest time for drivers to switch but the new rules have now put this in doubt.

READ MORE: Martin lewis warns cheap car insurance may disappear ‘within weeks’

“So you want to try and get a quote now.

“But whether the act of getting a quote earlier will outweigh the 23 day benefit, I mean this is uncharted territory, I simply don’t know.

“I would go and look at a quote now and see whether it saves you.

“If it doesn’t save you I’d hold off a month or two, see what’s happening for prices.


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