Fronting – in which parents insure their child’s car in their own name to save money – is illegal and can result in claims being rejected by insurers.

Nonetheless, one in three (30%) parents polled said they would consider fronting if it saved them money.

Only half (54%) were aware that fronting is illegal. A quarter (26%) believed that fronting is legal.

Just two in five (38%) said they would not run the risk of fronting on their car insurance.

“It is staggering to see just how many people are happy to take the risk and “front” on their car insurance,” said Steve Sweeney, moneysupermarket.com’s head of car insurance.

“It is illegal and will immediately be classified as fraud by an insurer.

“It may save you money in the short term on your premiums, but if caught your insurance will be invalidated and a younger driver could face court – charged with driving without insurance.”

According to research by the consumer group, the insurer’s quotes vary by an average of 18%, dependent on how applicants answer the question “Have you lived in the UK since birth?”

In making its argument, Which? says it has been advised by a legal expert that basing a premium quote on an individual’s country of origin is a breach of the Race Relations Act 1976.

The group’s chief executive, Peter Vicary-Smith, says: “It is outrageous to charge someone more for insurance just because they haven’t lived in the UK for their entire lives.”

He adds: “We believe that this kind of discrimination has been outlawed for decades.”

In a statement, Admiral has said it respects every customer, regardless of race, colour or religion and that the problem question included in its application process relates to residency not race.

Admiral’s brands include Bell, Diamond and Elephant.co.uk.

The product is aimed at the owners of the UK’s 498,000 touring caravans; 112,000 motorhomes and 335,000 caravan holiday homes (figures from the National Caravan Council).

Cover is available under two policies: Simple Static Caravan Insurance and Simple Touring Caravan Insurance.

Static insurance is available for caravans valued between £1,000 and £40,000 and touring for vans worth between £1,000 and £25,000.

Both policies offer a range of discounts according to alarm, tracker device and certified safe storage criteria.

In recent months, Simple has launched its new Rent Guarantee Insurance on jml’s website, in response to landlords’ growing concerns over arrears.

The policy covers up to £15,000 for rent arrears (up to £2,500 per month) and up to £10,000 for legal expenses.

Costing just £3 per day, a provisional driver will be able to take out fully comprehensive insurance on a car belonging to family, or a friend.

On a monthly basis the new insurance costs from £90.95 to £99.50, and does not affect any other insurance on the car in question as it is a separate policy.

This low-cost approach will enable provisional drivers to evade the crippling premiums often added to their insurance, which can cost as much as £3,000, or even more.

Some traditional insurers have also taken the step of increasing the named driver age to 21-25, making it impossible for many to be added to their parents’ policy at all.

Diane Perry of Halfords explained that the high cost of insurance meant that many learner drivers were unable to afford it, and were consequently missing out on valuable practising time outside of paid driving lessons.

Earlier this year, Young Marmalade reported that in excess of a million learner drivers were eschewing car insurance, due to the high cost.

Five thousand of the website’s readership participated in the survey to discover which firm was considered the most trusted and equipped with the best customer service.

Saga was also named the runner up for the best home insurance provider in both the best and most trusted customer service categories.

Executive Chairman Andrew Goodsell has said that it is wonderful the firm’s dedication to its customers has been recognised in the vote, adding that Saga can take pride in the confidence placed in its motor insurance customer service.

Andrew Oxlade, editor of This is Money, has said that Saga should be delighted with its customer service for motor insurance being rated the best by the magazine’s readers.

Policyholders submitted 335,000 claims for damage to their homes, businesses and vehicles, broken down as follows:

Motor insurance – 268,400 claims at a cost of £395 million – many claims were for accidental damage as motorists struggled on slippery roads.

Property damage (homeowners and business customers) – 66,600 claims costing £255 million – of these, 60,200 involved homes, at a cost of £194 million.

The volume of weather damage claims rose to double that normally seen during December and January, with a typical claim involving roof damage caused by snow.

The ABI’s director of general insurance and health, Nick Starling, says: “From dealing with snow damaged roofs, burst pipes, to repairing or replacing vehicles damaged by treacherous driving conditions, insurers helped their customers get through the snow and the freezing temperatures.”

He adds: “Insurers have paid out nearly £1 billion to customers following bad weather this winter, as the heavy snow came weeks after the flooding in Cumbria, which led to insurers paying out £200 million in flood claims.”

Under the new proposals there would be fixed stages and costs and deadlines for the claimants’ and defendants’ solicitors.

Compensation sums between £1,000 and £10,000 would be covered, (claims of this size have previously comprised the majority of road traffic accident compensation payouts).

The new scheme has been put forward in a bid to streamline and speed up the claims process, and was developed by the industry in conjunction with the Ministry of Justice.

It is due to come into effect from 30 April 2010.

Justice Minister Bridget Prentice has said that the new process would be faster, and thereby reduced the stress involved for those who had been injured in road traffic accidents.

The measures were first announced in September last year, and were warmly welcomed by the ABI’s director general of insurance and health, Nick Starling.

Philip Suter of jml Insurance has expressed his delight that the new site has gone live, adding that insurance4carrental.com had updated its site with additional information and new logos.

Suter himself opted for the £7.99 per day product when hiring a van recently, making a substantial saving on the cost that would have been incurred had he used the van rental firm’s own excess insurance.

The policies available include: up to £2,000 coverage for a single incident; damage to wing mirrors, tyres, windows, roof and undercarriage; baggage cover; excess on damage and theft in full.

The firm says the move will provide the local community with a face-to-face service that includes an annual review and price check; help managing claims; and access to exclusive offers and promotions.

The broker announced its intention to develop a branch network in May 2009 and expects to establish a new and successful business channel as a result.

New markets director, Lance Bennett, says: “We hope that we can exceed the unprecedented growth rates which Hastings Direct is currently experiencing.”

He adds: “Our continued dedication to multi-channel distribution is largely focused on the south east, but our growth plans for the future are much larger scale.”

In other Hastings news, the group recently announced that it is investing in state-of-the-art technology that will allow it to seek out and reject at point of sale customers who are likely to make fraudulent motor claims.

According to the financial website, firms providing savings accounts, current accounts, mortgages and car and home insurance have all been evaluated on the basis of trustworthiness and customer service.

In all but one category the same provider took the “most trusted” and “best customer service” award.

The exception was car insurance, where Tesco emerged as the “most trusted insurer” and Saga as “best customer service” provider.

Dual awards are as follows: RIAS for home insurance; Nationwide Building Society for mortgages; First Direct for current accounts and savings and Alliance & Leicester for cash ISAs.

Thisismoney editor, Andrew Oxlade, says: “Our readers make it their mission to meticulously sift through all the players in the personal finance industry to find the best – they’re a very choosy lot.”