Car insurance premiums will continue to rise towards the end of the year, a new report claims.

The AA's British Insurance Premium Index states that 1.35 per cent rise in average quoted premiums was recorded over the second quarter of 2007, reaching a total of £833.56.

An "upward trend" was first noted in the second quarter of 2006, and this will continue at least until the end of the year, the AA says. Car insurance providers were hit by this summer's flooding, which cost them around £100 million. Therefore a rise in premiums is not a surprise, according to AA insurer relations director John Close.

"The cost to the industry of personal injury claims and legal costs has been escalating rapidly, while accident damage costs has also risen faster than premiums," he said.

Other recently-released insurance indexes have stated that car insurance premiums rose by a reasonably steep 2.1 per cent during 2006. Under 25s have experienced the steepest rises, with premiums cheaper for women than for men.

Van owners who cannot afford to buy new vehicles and are forced to use older models have been urged to ensure they have appropriate insurance cover. Kate Syred, Head of Direct Line for Business, advis...

An ongoing road safety campaign in North Yorkshire has led to the capture of 14 road offenders, five of whom were van drivers, it has emerged.Drivers caught exceeding the 60 mph limit on the A165 Reig...

Satellite navigation (sat nav) devices enable motorists to feel "more in control", it has been claimed.Van insurance customers may already be aware of the benefits of using sat navs, which J...