- However they rose simply 0.5% prior to now three months, signalling a doable slowdown
- Motorists’ mostly obtained a quote between £500 and £749, Shopper Intelligence knowledge reveals
The typical quoted value of automotive insurance coverage rose by 56.4% within the yr to February however that’s down on earlier file rises and common quoted premiums solely rose 0.5% prior to now three months, the newest Shopper Intelligence Automobile Insurance coverage Value Index ¹ reveals.
Drivers can take some consolation from the newest enhance being decrease than the 67.2% recorded within the yr to the tip of November and the 61% within the yr to August 2023. It’s nonetheless the third highest annual enhance since Shopper Intelligence first began monitoring knowledge in October 2012.
Hopes that value rises may be slowing are rising – the three months to February noticed will increase of simply 0.5% which is the bottom quarterly enhance since November 2021 and considerably down on rises of 10.6%, 22% and 15.2% within the earlier three quarters.
Knowledge reveals that in February, drivers mostly obtained a quote between £500 and £749 with 21% of quotes falling on this value vary. Round 65% of quotes have been beneath £1,000.
“The New 12 months noticed some main manufacturers make aggressive actions and scale back premiums. Nevertheless a few of this was unwound in February, indicating it might have been extra of a tactical transfer than a long-term pattern,” says Max Thompson, Insurance coverage Perception Supervisor at Shopper Intelligence.
Telematics suppliers have grow to be much less aggressive accounting for 15% of the highest 5 quotes in contrast with 18% within the three month to the tip of November. The proportion of prime 5 quotes supplied by telematics insurance policies is now at a five-year low.
Among the many under-25s, the proportion of prime 5 quotes from telematics suppliers has dropped to 36% which is the bottom since Might 2016.
“Insurers are higher balancing their methods between telematics and necessities merchandise. Quotability is decrease for many telematics manufacturers as age will increase, with the other being true for Necessities merchandise,” provides Thompson.
Lengthy-term view
Common total quoted premiums have greater than doubled by 125.5% since October 2013 when Shopper Intelligence first began gathering knowledge.
They’ve elevated probably the most for the over-50s with an increase of 173.0% and the least for the under-25s at 34.7% whereas drivers aged between 25 and 49 have seen common quoted premiums rise 145.8%.
Age variations prior to now yr
Youthful drivers have skilled the most important rises in quoted premiums of 66.9% in contrast with 49.0% for the over-50s and 55.6% for motorists aged between 25 and 49.
Telematics
The proportion of prime 5 quotes supplied by telematics polices for the under-25s dropped by 7% throughout the previous three months to 36%. For these aged 25 to 49 telematics insurance policies supplied 13% of rank one to 5 quotes in contrast with 14% within the earlier three months whereas for the over-50s the proportion dropped to five% from 7%.
Regional variations
Common quoted premiums rose probably the most in London, Scotland and the West Midlands with will increase of 64.8%%, 61.9% and 61.2% respectively within the yr to finish February.
All areas noticed large will increase in quoted premiums for the previous 12 months with Wales the bottom at 47.5%. Nevertheless over the previous three months common quoted premiums have fallen in 4 areas with Yorkshire & The Humber seeing the most important drop at 2.2%.
|
Area |
Value Index previous 12 months (February 23 to February 24) |
Value Index previous three months (November 23 to February 24) |
|
London |
+64.8% |
+0.9% |
|
Scotland |
+61.9% |
+1.0% |
|
West Midlands |
+61.2% |
+2.6% |
|
South East |
+60.9% |
+1.0% |
|
Jap |
+57.7% |
+1.5% |
|
North East |
+55.5% |
-0.2% |
|
East Midlands |
+52.8% |
+0.1% |
|
South West |
+50.9% |
+2.8% |
|
North West |
+50.8% |
-1.3% |
|
Yorkshire & The Humber |
+49.8% |
-2.2% |
|
Wales |
+47.5% |
-1.0% |
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