Believe it or not, London posted the smallest increase in car insurance premiums from May 2021 to May 2022, based on the latest motor insurance price index released by Consumer Intelligence.
Here are the numbers, according to the analytics firm:
|
Region |
Change (May 2021 to May 2022) |
Change (February to May 2022) |
May 2022 average premium (five cheapest) |
|
Scotland |
8.4% |
4.3% |
£580 |
|
South West |
7.8% |
2.2% |
£482 |
|
Wales |
7.3% |
3.8% |
£611 |
|
South East |
6.7% |
2.8% |
£783 |
|
East Midlands |
6.5% |
5.2% |
£559 |
|
Eastern |
6.4% |
2.3% |
£658 |
|
Yorkshire & Humber |
4.4% |
1.4% |
£811 |
|
North West |
3.3% |
4.6% |
£858 |
|
West Midlands |
3.2% |
3.2% |
£892 |
|
North East |
3.1% |
2.8% |
£736 |
|
London |
1.9% |
4.1% |
£1,296 |
The cheapest prices, said Consumer Intelligence, were calculated by comparing the figures offered for 3,600 people by major price comparison sites and key direct insurers. The index was produced by comparing the top five prices for each person to those in the previous month and averaging the variations.
Insurance insights manager Mike Miskelly noted: “While we continue to see varied strategies at a brand level, we are starting to see signs of inflation taking hold with a further uptick in premiums for new business customers. As we predicted earlier this year, this was inevitable considering the enormous upward pressure from claims costs and repairs. It was only a matter of time until we saw this come through at a market level.
“Right now, the market is behaving in two very different ways – prices are going up for new business customers, and for renewing customers they are going down. Making a claim, moving house, buying a new car, or mid-term adjustments could be the deciding factor in which side of the coin a customer will fall. Customers forced back out into the new business market right now may feel frustrated by the quotes they get.”
As of May, the average motor insurance premium on the index stood at £786, representing a 7.8% climb over the first five months of the year.
