Go.Compare car insurance says car insurance costs are beginning to fall, with the average insurance premium now at £447.
The comparison website’s latest price index has revealed that even though the average cost of car insurance fell by £18 in the last quarter – from £465 to £447 – prices are still up on 2023 figures, with the average policy costing £343 this time last year.
Across the UK, the data has also revealed that drivers in Greater London have the highest premiums, at an average cost of £650, meaning London drivers are paying 78% more on average than those in Wales and the South West.
And when it comes to how jobs impact the price of car insurance, the report has shown that the profession paying the least for their policy – aside from retirees who pay an average of (£389) – are ‘administration assistants’, with an average cheapest quote of £490. This is just ahead of civil servants (£492) and shop assistants (£525).
Tom Banks, motoring expert at Go.Compare, said, “It’s an encouraging sign to see that car insurance premiums have started to decrease. With the recent price rises hitting headlines, the cost of car insurance has been a hot topic – so this is news that will be welcomed by many.
“However, while it’s good news that premiums are starting to stabilise, the current cost of car insurance is still £100 more on average than it was this time last year. This means it’s more important than ever for policyholders to get the best deal. We always recommend taking some time to shop around well in advance of your renewal and consider all your options in order to get the best cover for less.”
A recent piece of research from Go.Compare showed that 55% of respondents now make sure they shop around when the time comes to renew their policy.
Tom offered some further tips on how to get cheaper car insurance:
- Renew early: Don’t leave it until the last minute to renew your premium. Our data shows that the best day to renew your car insurance is 26 days before your renewal is due – and generally, the longer you leave it to renew, the more you are likely to pay.
- Pay annually: If you can, paying for your insurance policy all in one go rather than monthly could save you money, as this helps you avoid interest and additional fees.
- Only pay for what you need: Opting for add-ons that you don’t need could hike up your premium without any added benefit to you, so always read the policy wording carefully and only pay for what you need.
- Pick the right car: If you’re thinking about purchasing a new vehicle then it might be worth considering how much it will cost to insure. Smaller, less powerful cars are likely to cost you far less to insure – so, check online before you commit to a purchase.
