Slow down in car insurance price rises

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The average price of a comprehensive car insurance policy rose by 2.7% in the second quarter of 2011, according to the Confused.com and Towers Watson Car Insurance Price Index.

The rise between April and June, which was lower than the previous quarter's 3.8% increase, resulted in the average price of a comprehensive policy reaching £858.

The slowing rate of increase also reduced the annual rate from 38% at the end of 2010 to 25% year on year.

According to the research, third party fire and theft cover rose by 1% in the quarter and 33% over the 12 months to the end of June, reaching £1,132 for an average premium.

The continued deceleration in price increases came

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