insurance prices

More

UK car insurance premiums increase by 6%, industry facing a “raft of challenges”: WTW

  • September 7, 2022

Comprehensive car insurance premiums have increased by 6% (£32) during the last 12 months, with UK motorists now paying £554 on average, according to data from WTW and Confused.com Car Insurance Price Index.

Car lot imageWTW recently warned that UK motor claims inflation was on the rise, as the broker recently revealed that the average cost per claim in 2021 was £5349, up from £5037 the previous year.

Car insurance premiums have now seen consecutive annual increases over the last two quarters, following the implementation of the new FCA pricing rules on 1 January, 2022.

Motor insurance premiums have now also risen for three quarters in a row, with a marginal rise of 1% (£4) recorded in the last three months.

Further data shows that from April to June 2022, the cost of comprehensive car insurance increased the most in Outer London, where drivers saw a quarterly rise of 3% (£17), with average premiums now costing £704.

Tremor - The modern way to place reinsurance

However, drivers within the South of England benefited from the greatest quarterly drop in prices, with their insurance premiums decreasing on average by 1% to £437.

Meanwhile, Inner London still remains the most expensive region within the UK, with prices now on average £882 having increased in the last quarter by 2% (£18).

Manchester and Merseyside (£701) continues to be the most expensive area outside of the capital (£701), and only marginally less expensive than average premium prices in Outer London (£704).

In addition, the Scottish Borders retains its position as the cheapest region for car insurance, with prices averaging at £366, closely followed by the South West of England (£373).

Moreover, motorists in Enfield, Motherwell and Lancaster experienced the sharpest quarterly rise of 4% taking their average premiums to £730, £490 and £425 respectively.

West Central London (£1,046) continues to be the most expensive

Read the rest
More

What’s happening to car insurance premiums?

  • August 21, 2022

Car insurance premiums are on the rise once again, according to the latest report from Confused.com.

The comparison website’s quarterly index found that the prices quoted to drivers increased by an average of 6% year-on-year between April and June 2022.

Here, Which? takes a look at what’s happening to the cost of car insurance and offers advice on how much notice you should take of headline figures.

What’s happened to car insurance prices?

The average car insurance premium has risen to the highest level in nearly two years, according to new research.

Confused.com found that premiums increased by £32 (6%) year-on-year in the second quarter of 2022, to reach an average of £554.

Louise O’Shea of ​​Confused says: ‘With all of us still adjusting to life after lockdown, it’s likely that price rises are due to a rise in insurance claims as we get back into some sort of routine.

‘While prices are increasing, we know that car insurance is one area where you can still save money, which could help balance out price hikes in other areas.’

How much could you save by switching?

Confused says loyal customers are facing some of the biggest price increases to their premiums.

Its survey of 2,000 drivers found 45% of those who’d renewed their policies between April and June had seen their premiums increase, by an average of £41.

The comparison site says drivers who are quoted a higher renewal price by their provider could save £54 by shopping around and switching insurers.

This newsletter delivers free money-related content, along with other information about Which? Group products and services. Unsubscribe whenever you want. Your data will be processed in accordance with our Privacy Policy

Have the FCA’s changes had an impact on insurance pricing?

In January, the Financial Conduct Authority

Read the rest