Car insurance premiums are still on the increase, according to data from the insurance provider The AA.

Their quarterly British Insurance Premium Index, show that motorists, have experienced the greatest squeeze, in the last three months, with an increase of £20 being added to each car insurance premium; bringing the average annual insurance premium up to £700.

Younger drivers, are those who have faced the highest increase and have around £45 added to their premiums, and pay out an average of £800 for their annual car insurance premiums. This is because younger drivers have been said to be more likely to be involved in an accident in their cars, than older or more experienced drivers.

The AA's director of insurance, Simon Douglas, said: "Car insurance costs are spiralling. While the number of casualties on Britain's roads is falling the cost of accidents is rising and young drivers are taking an increasing share of the toll. Insurers are also concerned about rising legal costs and personal injury claims and I expect the upward trend in premiums to continue.

"It's vital that the industry and road safety groups work together to find ways of getting young drivers on the road safely and responsibly - and with affordable insurance premiums."