Brits are ditching the monthly cost of insurance premiums in order to contend with rising inflation, according to new research published today by Combined Insurance. It reveals that the average monthly financial  commitment among Britons has soared by 26% in the last two years, rising from £945 to £1,281. Some costs, like childcare, and everyday bills such as water and fuel, have soared higher than this, at 77% and 30% respectively, according to the the insurer's Cost of Living Tracker, which it publishes every year.

Climbing costs have resulted in consumers making cuts elsewhere - including insurance premiums. The average spend for insurance premiums each month has dropped by 8% since June 2006, with higher income earners taking the biggest risk, spending 20% less. But struggling Brits should be careful which policies they opt to drop, says Nigel Brittle, director at Combined Insurance.

“The many cost of living hikes are taking their toll on the monthly budget and many Brits are living on the edge with their finances. As Britons prepare to make cutbacks on their spending, which may include various insurance commitments, Combined Insurance urges the public not to cancel insurance policies designed to protect incomes in hard times or in bad health." He adds: "For people that do not have the luxury of large savings nest eggs to rely on in hard times, there are low cost insurance options available that can protect people from loss of income.”
 

---

Tag this article :