UK: Car insurance cost rises by 58% in 12 months

In the UK, insurance costs also vary based on location, age and gender.

According to a report, car insurance costs in the UK have increased by a staggering 58% compared to the same period last year. Reports state that a comprehensive car insurance policy, which was 336 GBP in 2022, now costs 995 GBP.

The report states that one of the reasons for the rising car insurance costs is the increasing number of vehicles. The rise in the number of vehicles since the pandemic has also increased the number of accidents, which further increased the number of insurance claims.

In addition to this, newer cars are also more costly to repair thanks to the expensive technology and equipment they come loaded with. This has led to an increase in the cost of parts & labour, which have adversely affected the insurance costs as well.

Louise Thomas, a motor insurance expert, stated, "With prices up on average £148 (19%) in just 3 months, and £338 (58%) in 12 months, drivers are likely to be paying more than ever. So those who haven’t yet been affected should be wary of how pricing may affect them at their next renewal."

In the UK, insurance costs also vary based on location, age and gender. Drivers in London pay more than those outside. Young drivers are the worst hit, with an 18-year-old having to shell out 3,162 GBP - triple the national average and an 84% increase over last year's costs. Men pay higher insurance costs compared to women.

Source: Confused.com