Online car insurance news

Postcode is 'the overriding factor' when calculating car insurance

Online car insurance provider the AA has admitted it's more concerned by your postcode than your driving ability when it comes to calculating a motor insurance quote.

The car insurance company said it gives discounts to customers who have taken a driving skills course such as Pass Plus. However, their address - which is tied into the local crime rate - was 'the overriding factor' when calculating car insurance premiums according to AA spokesperson Charlotte Lidster.

"Most insurance is driven up if you live in an area of higher crime," she explained.

Lidster went on to say that your home postcode is also more important than the area where you typically drive in the eyes of an online car insurance firm.

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