In the first quarter of 2024, the average cost paid for car insurance in the UK was £635 per year for comprehensive cover. This represents a 33% increase compared to the same period in 2023. Motor insurance rates had dropped in 2021 and 2022, but since then, car insurance costs have been rising steadily. In fact, car insurance is now one of the biggest expenses associated with owning and running a car.
Here are some key points regarding UK car insurance premiums:
1. Average Cost of Car Insurance (Q1 2024):
- Comprehensive cover: £635 per year
- This is the highest average cost since the Association of British Insurers (ABI) started collecting data in 2012.
- The steep rise in premiums is evident in the chart below! Car Insurance Premiums Chart
2. Recent Trends:
- Between January and May 2024, car insurance prices increased by around 2%.
- While prices are higher, the rate of increase has slowed down compared to 2023.
- Factors contributing to rising premiums include inflationary pressures, increased costs of paint and spare parts, and a surge in car thefts.
3. Stabilization:
4. Comparison to Previous Peaks:
Remember that these figures are averages, and individual premiums can vary based on factors such as the type of car, your age, and your location. If you are looking for car insurance, consider comparing quotes from different providers to find the best deal!
For more detailed information, you can refer to the Nimble Fins.
