Car insurance facts, trends and stats - 2025

Updated: 15 May 2025

In this guide / article

Find the latest car insurance statistics and trends in 2025, including the average cost of insuring your car, how different factors impact the price you're quoted, and the latest data on new and young drivers.

Car insurance trends and statistics

Fully comprehensive cover is the cheapest option for most drivers - jump to data
It costs extra to pay monthly. Those paying annually pay £535.17^* on average, while those paying monthly pay £564.44^* - jump to data
Drivers in London pay a premium on car insurance, while those in the South West pay the least - jump to data
Building a no claims bonus is one of the most effective ways to bring down the cost of insurance - jump to data
Only 27%^* of drivers purchase add-ons like breakdown cover, spending £33^* on average - jump to data
Car-related crimes in your area could be affecting your car insurance
The best time to renew your car insurance is likely to be 28^* days before your renewal date - jump to data

Car insurance pricing over time

We've plotted car insurance pricing over the last three years - jump to the data

All drivers

Month on month, car insurance prices for all drivers have changed 1%^*.
Year on year, car insurance prices for all drivers have changed -4%^*.

Drivers under 25

Month on month, car insurance prices for drivers under 25 have changed -4%^*
Year on year, car insurance prices for drivers under 25 have changed -12%^*

Drivers over 60

Month on month, car insurance prices for drivers over 60 have changed 0.0%^*
Year on year, car insurance prices for drivers over 60 have changed -8%^*

Key trends for new and young drivers

17-19 year olds pay far more for car insurance than any other age group, paying £1407.06^* a year - jump to data
Although it's cheaper, young drivers between the ages of 20-29 are still paying £1024.45^* a year for car insurance - jump to data
Overestimating your annual mileage could lead to higher premiums - jump to data

Car insurance pricing insights

Price by policy type

Policy type	Average total price when you pay annually	Average total price when you pay monthly
Fully comprehensive	£535.17^*	£564.44^*
Third party, fire and theft	£610.17^*	£766.15^*
Third party only	£719.40^*	£928.49^*

Despite offering the highest level of cover, fully comprehensive is also the cheapest choice for most drivers. And it's cheaper to pay your car insurance up front if you can. Insurers charge interest on top of monthly payments.

Regional pricing trends

Region	Average annual premium
London	£846.65^*
West Midlands	£611.40^*
North West	£574.01^*
Yorkshire and the Humber	£546.17^*
East Midlands	£500.68^*
South East	£486.49^*
South West	£408.72^*

London drivers pay the highest average annual premiums at £846.65^*. Drivers in the South West of England pay the lowest average annual premiums at £408.72^*.

Country	Average annual premium
Northern Ireland	£558.60^*
Scotland	£455.92^*
Wales	£425.25^*

Drivers in Wales typically pay less for car insurance.

Car models and how they impact annual premiums

Automatic cars are more expensive to insure, with average premiums sitting at £616.87^*
Manual transmission cars were less expensive to insure, coming in at £460.27^*

Automatic cars typically come with higher claims costs and are generally more expensive to repair than manuals, resulting in higher premiums.

Car usage's impact on annual premiums

Social use vs social and commuting

If you just use your car for social use (no commuting), you can expect cheaper premiums than motorists who use their car for commuting.

Business use

On average, it's more expensive to insure your car for business use by any driver (£548.55^*) than it is to insure the policyholder alone (£480.08^*).
Adding your spouse or civil partner to your business use insurance policy can be cheaper than taking out a business use policy for the policyholder alone.
- Business use policies with a spouse/civil partner cost £423.47^*, whereas business use policies for just the policyholder cost £480.08^*.

Only insure your car for how you plan to use it. It's worth adding your spouse or civil partner to your business use policy when getting a quote to see if it brings down your premiums.

Annual premium by age group

Age group	Average annual premium
17-19	£1407.06^*
20-29	£1024.45^*
30-39	£662.26^*
40-49	£537.35^*
50-59	£419.28^*
60 and over	£378.75^*

Insurance is up to 77% more expensive for drivers aged 17-19 vs. drivers in their twenties.

Annual premiums by no claims discount length

No claims discount	Average annual premium
0 Years	£1134.49^*
1 Year	£927.69^*
2 Years	£805.74^*
5 Years	£627.38^*
10 Years	£427.89^*
15 Years	£416.49^*
20 Years	£364.23^*

Building a no claims discount is an effective way to bring down the cost of your insurance over time.

Annual premiums by how long you've held a license

Years with license	Average annual premium
Under 1 Year	£1504.43^*
1 Year	£1195.71^*
5 Years	£887.72^*
10 Years	£666.67^*
20 Years	£529.87^*
30 Years	£424.46^*
40 Years	£363.63^*
50 Years	£379.87^*

New drivers can expect premiums to drop significantly after their first year of driving; and the longer you drive the less your insurance will cost.

Annual premiums by mileage

Annual mileage	Average annual premium
0-5,000	£539.67^*
5,001-10,000	£530.25^*
10,001-20,000	£516.68^*
20,001-30,000	£601.77^*
30,001-40,000	£766.90^*
50,000+	£664.31^*

Insurance premiums start to rise when you pass 20,000 miles. This is partly because cars driving under 20,000 miles a year are typically cars driven for pleasure, which tend to be more expensive vehicles that cost more to repair.

Annual premiums by vehicle insurance group

Vehicle insurance group	Average annual premium
1-10	£442.90^*
11-20	£497.85^*
21-30	£557.29^*
31-40	£679.84^*
41-50	£861.06^*

If your vehicle falls into a lower insurance group, it's likely going to cost you less to insure it. Cars in lower groups are typically lower-spec and cheaper to repair.

Check which insurance group your call falls into by entering your registration:

Retrieving data...

Your car

Your car insurance group

Group 8/50

This car is among the lower insurance groups which should be good news for your premium. Cars in lower groups are typically cheaper to insure.

This car ranks in the middle insurance groups so it isn’t among the cheapest cars to insure, but it won’t be one of the most expensive.

This car is towards the higher end of the scale which means it could be relatively expensive to insure.

Get a car insurance quote

Car insurance add-ons and costs

Add on	Uptake	Cost
Breakdown cover	20%^*	£31^*
Courtesy car	29%^*	£20^*
Legal cover	32%^*	£27^*
Personal injury cover	20%^*	£22^*

On average, 27%^* of motorists purchase an add-on with their car insurance policies, costing £33^* on average .

Cheapest time to renew

Number of days before the policy renewal date	Average premium
0 - renewing on the day your insurance ends	£716^*
1 - renewing the day before	£668^*
10	£502^*
20	£443^*
25	£409^*
26	£405^*
27	£407^*
28	£381^*
29	£478^*
30	£718^*

The best time to renew your car insurance is likely to be 28^* days before your renewal date.

Telematics insurance statistics

Policy type	Average annual premium
Telematics	£1119.86^*
Non-telematics	£498.90^*

Telematics policies are more expensive on average because policyholders tend to be younger. Car insurance for younger drivers is typically more expensive.