Motor premiums up a modest two per cent
6th December 2022Tweet
Average motor insurance premiums have risen two per cent in the last year, according to the ABI’s latest Motor Insurance Premium Tracker.
It found the average premium had risen slightly to £436 in the last 12 months.
However, the ABI said insurers were finding it increasingly difficult to keep premiums low in the face of rising costs. The average cost of repairing a vehicle jumped by 16% in the last year, while global supply chain issues have led to longer waiting times for parts and contributed to a 30% rise in the value of second hand cars.
Jonathan Fong, ABI’s Senior Policy Adviser, General Insurance, said, “Insurers recognise that these continue to be difficult times for many households dealing with the rising cost of living. Like many other sectors, motor insurers are facing sustained higher costs, which are becoming increasingly challenging to absorb. Despite this, they continue to do all they can to keep motor insurance as competitively priced as possible.”Tweet