ABI releases Q2 figures from household premium tracker

Numbers based on price paid, not price quoted
ABI releases Q2 figures from household premium tracker
PROPERTY
By Terry Gangcuangco
25 Aug 2022

The Association of British Insurers (ABI) has unveiled the latest quarterly figures from its household premium tracker.

Here are the numbers for the second quarter, according to the ABI tracker:

Type of insurance

Average price paid in Q2 2022

Change from Q2 2021

Buildings insurance

£228

Down 10%

Contents insurance

£116

Down 10%

Combined buildings and contents

£299

Down 7%

 

“Falls in the average cost of home buildings and contents insurance will be welcomed by households facing rising bills, as the cost-of-living crisis shows no signs of easing,” said ABI general insurance manager Callum Tanner.

“Despite more expensive building materials and higher labour costs, property insurers continue to do all they can to deliver competitively priced home insurance.”

The trade body’s tracker is based on actual premiums paid, instead of the prices customers are quoted.

The ABI added: “While it is still too early to fully assess the impact of the Financial Conduct Authority’s changes to the rules on the pricing of home and motor insurance introduced on January 1, 2022, indications show a fall in average renewal premiums paid by existing customers.”

It was noted that the average renewal premium for contents insurance stood at £124; buildings, £247. The average premiums for new policies, meanwhile, were slightly up for both contents and buildings cover since the change in pricing rules.

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