Premium Drivers index

Each quarter, Compare the Market publishes research on the latest savings for car insurance premiums by comparing our ‘cheapest’ and ‘average’ motor premiums across all age groups to determine something we call the ‘savings variable’. The results help to give you an idea of how much it would pay to shop around for your car insurance.

Each quarter, Compare the Market publishes research on the latest savings for car insurance premiums by comparing our ‘cheapest’ and ‘average’ motor premiums across all age groups to determine something we call the ‘savings variable’. The results help to give you an idea of how much it would pay to shop around for your car insurance.

View our latest Premium Drivers Report

Go to the report


Our latest report suggests that average insurance premiums have fallen by £71 over the last year, with the average now standing at £631. The cheapest average premiums have also fallen over the last year, with a £60 drop year-on-year leaving the average for cheapest premiums at a six-year low.

Car insurance prices at their lowest since 2015

While the quarterly average price of car insurance remains relatively flat, with only a £2 rise to £631, the cheapest car insurance premiums are at a six-year low of £533. Insurance prices have continued to fall, despite traffic returning to pre-pandemic levels.

This is surprising, given that insurance premiums fell because national lockdowns were seeing fewer claims being made. These savings for insurers were then passed on to their customers with cheaper premiums. Despite the Department for Transport announcing that road traffic has returned to pre-pandemic levels, the cheapest premiums remain at their lowest since 2015. This suggests that car insurance providers are pricing themselves lower in order to attract new customers.

However, as the UK continues to return to normal life, and traffic levels continue to return to pre-pandemic levels, we could begin to see a steady rise in premiums.

Want to check that you’re paying the right price for your premium? Use our interactive comparison tool to see the average premiums for similar drivers to you.

Interactive comparison tool

Ursula Gibbs

Director at Compare the Market

"Many motorists will be thrilled that the cost of car insurance has fallen. Premiums were expected to increase as traffic, and claims, returned to pre-pandemic levels. Instead, insurers have continued to cut the cost of car insurance for new customers. As the FCA's new rules that ban loyalty penalties come into force at the start of 2022, insurers may be particularly keen to attract customers from rivals ahead of this deadline.

"Drivers should take advantage of this situation by shopping around for a cheaper deal when their policy ends. Motorists may lose out by choosing to auto-renew their policy if the price given by their insurer is roughly the same or slightly cheaper than last year. Our figures show motorists could save almost £100 by switching to the cheapest premium available. These savings increase to more than £200 for drivers below the age of 25."

Past reports

We carry out this research every quarter to find out what the current landscape means to you when it comes to buying your car insurance. Here you can see our previous reports to see how the industry has changed over the past year and what this means for your car insurance premium.

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