A third of British drivers are worried that high car insurance premiums could force them off the road, according to new research.
Many cash strapped motorists have been feeling the pinch following a dramatic surge in insurance costs over recent years, with quoted prices skyrocketing by 82% between May 2021 and June 2024.
While the latest figures show that prices have started to drop slowly, the cost of insuring a car in still significantly more expensive than it was just three years ago. In 2022, the average UK premium was just £561, compared with £769 at the end of last year.
A new survey from the car insurance experts at Tiger.co.uk has found that a significant number of motorists are struggling to afford insurance, with 33% saying they would reconsider driving altogether.
The poll also found that over two-thirds (69%) of motorists have been forced to change their driving habits to keep up with insurance costs – with some reducing their mileage, sharing one vehicle for the whole family and using their cars exclusively for social journeys rather than commuting.
The continued high price of car insurance across the UK is being driven in part by record claims costs. The latest figures from the Association of British Insurers (ABI) show insurers paid out an unprecedented £11.7bn in car insurance claims in 2024, as increases in theft and repair costs continued to impact premiums.
Ian Wilson, car insurance expert and Managing Director at Tiger.co.uk said: “Motorists have been hammered by the accelerating cost of car insurance over recent years, leaving many people with no choice but to give up on driving completely, as they are being priced out of the market.
“While the average cost of car insurance in the UK has started to decrease slightly – a trend which will hopefully continue throughout 2025 – the reality is that premiums currently remain significantly higher than they were just a few short years ago. When coupled with the soaring costs of running a car such as road tax, repairs and servicing, many drivers are being stretched to the limit financially.
“Thankfully, our latest survey results indicate that drivers are increasingly shrewd when it comes to finding savings on their insurance, with 80% of respondents saying they shop around using a price comparison site.
“Impressively, over three quarters (77%) of people also said they don’t let their policies automatically renew, which is one of the best ways to find big savings on your annual premium. A further 70% said they switch providers each year in search of a better price – another very useful money saving hack.
“Additional savings can be made by improving the security of the vehicle by adding a tracker, dash cam or immobiliser, or by parking the vehicle in the garage or driveway overnight.
“By following these tips, drivers can start to find some real savings that will help make the cost of car insurance more manageable.”
