Every month, Compare the Market compiles its Motor Snapshot which uses interactive tools to look at the cost of insurance depending on your age and where you live. Find out more in this month’s report.
The data is based on all motor insurance quotes undertaken via Compare the Market in April 2019-2020.
Head of Motor, comparethemarket.com
“With the coronavirus putting the UK into its second month of lockdown, we are seeing a number of unintended consequences emerge. One of these is that motor insurance premiums continue to reduce and have now plummeted to £697, the lowest level seen in over four years. The latest drop follows a decrease of £33 in month-on-month car insurance prices in April – a total fall of £56 since February when the effects of the virus began to take hold in the UK. The last time premiums were this low was March 2016, prior to hikes in Insurance Premium Tax.
“As the Government lockdown has led to fewer cars on the road, there has been a drop in claims, possibly allowing some insurers to offer lower prices to customers. The latest reductions in car insurance costs are good news for drivers and should help to ease some pressure from those who are concerned about their household finances.
“Drivers aged between 17-24 stand to benefit most from the latest reductions in car insurance prices, as premiums for this age group have dropped by £69 month-on-month during April, a total decrease of £154, or 12%, since February. With young drivers facing higher driving costs than any other age group, and 63% of those aged 16-24 having previously said they will no longer be able to afford to run a car if motor costs rise, this reduction in premiums should go a long way in keeping our younger drivers on the road.”