Car insurance can be difficult to understand, especially as not all companies offer the same package. This makes shopping around for a better deal a tough task, even though the EU has brought in directives to combat this. The easiest way to explain car insurance is to see it as several different types of insurance, rather than just one. For example, cars with large engines owned by males aged 18-25 will incur a higher rate of insurance than, say, a small Fiat Punto owned by a pensioner who drives it to the local shops once a week. With the rise of the internet many sites are available that offer ‘no questions asked’ insurance policies, but consumers should be wary about scams.

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