Motorists could do without more bad news. Not only do petrol and diesel prices at forecourts appear to be on the increase but we now hear that the cost of insuring your car may also have risen.
According to the Confused.com Car Insurance Price Index, the average amount paid by car drivers to insure his or her motor vehicle increased to £924 per annum in the 3rd quarter of 2023. That is a huge increase of £338 per annum in comparison to what motorists were paying a year previously and a rise of £148 per annum when compared with the 2nd quarter of this year.
There are a number of reasons for the increase. For instance, the amount paid by car repairers for spare parts needed when repairing a vehicle damaged in a road traffic accident has gone up. There has also been an increase in the number of claims received by car insurers.
It is the younger driver who continues to suffer most financially when it comes to insuring his or her car. For example, the highest average premium is paid by 18 year olds with premiums averaging £2,995 per annum – a few pounds short of £250 per month. That is 89% more than they were paying a year ago. A 17 year old is paying an average of £2,613 per annum with that being 98% more than a year ago. A 39 year old is paying an average of £989 per annum.
Another factor that is taken into account by motor insurance companies when deciding how much to charge you to insure your car is where you live. If you happen to reside in Inner London then unfortunately you will be paying more to insure your car than in any other region in the UK with the average premium being £1,503 per annum – a rise of £567 per annum compared to 12 months ago. If you live in the West Midlands then the average premium was £1,139 per annum – £442 per annum more than a year ago.
Motorists who are looking for cover for the first time or those whose existing policy is shortly due for renewal may like to consider shopping around for their cover. There are dozens of car insurance companies in the UK so you might like to consider using a price comparison website. Why not get in touch with us to obtain a quotation without any obligation to proceed.
