Property Today

It's our response to having to tighten our belts to pay for increased fuel and food prices.

And it's not good news for the insurance industry, which is facing its income going down by £1.5 billion a year according to a company called Deloitte.

Research done by YouGov on 2,286 people found that 26 per cent planned to cut back their insurance cover during the next twelve months.

21 per cent will cancel payment protection insurance, and one in five will reduce their car insurance to basic third party.

Deloitte says average insurance premiums for motor insurance have risen by 8.2 per cent in the last year, while household insurance premiums are 3.1 per cent lower than they were a year ago.

And the firm believes insurers may find putting the price up in future is difficult, as 68 per cent of us told the survey we are more likely to shop around for insurance than a year ago.