Dwelling insurance coverage premiums have fallen by almost 10% over the previous 12 months, however the tempo of decline is easing, in response to the most recent Dwelling Insurance coverage Worth Index from Shopper Intelligence.
Common quoted premiums decreased by 9.7% over the previous 12 months, with the common Rank 1–5 new enterprise quoted premium on value comparability web sites (PCWs) standing at £254 in March 2026, down from £296 in March 2025.
Nonetheless, in the latest quarter premiums fell by simply 0.3%, a notable slowdown in comparison with the 1.0% quarterly decline recorded in This autumn 2025, and considerably lower than the 4.8% drop seen in Q3 2025. This indicators a possible halt to the downward trajectory that has characterised the market over the previous 12 months.
“Dwelling insurance coverage premiums have now been falling for over a 12 months, providing some welcome reduction for owners. Nonetheless, with inflation returning to the UK financial system amid ongoing world uncertainty, the situations that supported this extended interval of deflation might not persist. If broader price pressures start feeding via into claims and restore prices, we may see this pattern reverse later within the 12 months,” mentioned Laura Vas, Senior Perception Analyst at Shopper Intelligence.
Each area data annual falls, however Scotland bucks the current pattern
All British areas recorded year-on-year declines. Jap England and the East Midlands noticed the most important annual decreases at -12.0% and -11.6% respectively, whereas Scotland recorded the smallest discount at -4.6%.
In the latest quarter, seven of 11 areas skilled deflation, led by the East Midlands (-2.2%) and Jap England (-1.5%). Three areas noticed premium will increase, most notably Scotland (+4.0%), adopted by the South West (+0.8%) and Wales (+0.6%). London remained broadly steady at +0.5%.
London continues to have the best common Rank 1–5 quoted premium at £397, whereas Yorkshire and the Humber now has the bottom at £211.
“Scotland’s quarterly rise was pushed by a big market share insurer implementing vital value will increase throughout the phase, decreasing the aggressive positioning of two merchandise of their portfolio and permitting increased costs to occupy the highest positions. Up to now in April we have now seen this start to partially reverse, doubtlessly signalling a poor forecast or buying and selling resolution. It highlights simply how delicate the very best obtainable costs will be to the actions of a single insurer in a extremely aggressive market,” mentioned Vas.
Annual declines broadly constant throughout age teams
Annual deflation has been largely constant throughout demographics, with under-50s seeing a 9.4% lower in premiums over the previous 12 months and over-50s experiencing a barely bigger discount of 10.0%.
In the latest quarter, premiums have been broadly steady throughout each teams, reflecting a wider market slowdown within the fee of deflation.
Older properties stay the most costly to insure
Properties of all ages have seen annual falls in premiums. Properties constructed between 1910 and 1925 noticed the smallest discount at -7.5%, whereas properties constructed between 1895 and 1910 recorded the most important annual lower at -11.3%. All different property age bands skilled double-digit declines.
Within the newest quarter, newer properties constructed post-2000 noticed a reversal in pattern, with premiums growing by 2.6% following a sharper fall of 4.7% within the earlier quarter. Most different property age teams continued to see quarterly declines.
Older properties stay the most costly to insure. Properties constructed between 1850 and 1895 carry common Rank 1–5 quoted premiums of £505, whereas properties constructed between 1970 and 1985 are presently the most cost effective to insure at £206.
Premiums stay considerably increased than a decade in the past
Regardless of current falls, house insurance coverage premiums have elevated by 44.8% since Shopper Intelligence started monitoring the market in February 2014. Premiums remained broadly steady for a lot of the interval between 2014 and 2022 earlier than a pointy acceleration pushed by the introduction of the FCA’s Normal Insurance coverage Pricing Observe regulation, which prohibited value strolling and led to a big repricing of the market.
Premiums peaked in mid-2024 earlier than starting to fall again, pushed by a mix of market adjustment and the launch of lighter-tier merchandise as suppliers competed for top-of-screen positions on value comparability web sites within the post-GIPP panorama.
Dwelling Insurance coverage Worth Index
The impartial authoritative supply of value actions within the house insurance coverage market, utilizing actual buyer quotes from PCWs and key direct manufacturers.
¹ For every threat, frequent to consecutive months, the variation is calculated from the common of the 5 least expensive premiums returned on every PCW within the earlier month to the common of the High 5 within the present month no matter which manufacturers supplied these quotes. The train is repeated on every PCW for every frequent threat. The Total Market High 5 month-to-month variation is calculated by averaging throughout all these threat stage High 5 variations for frequent dangers run in each months. The month-to-month figures are concatenated as much as produce the trended value index from a place to begin of 100% within the base month.