Motor insurance premiums fall for third straight quarter
Motor insurance premiums have fallen every quarter this year, according to the latest figures from the Association of British Insurers.
Its ABI tracker revealed that premiums dropped by a £13 between July and September to an average price of £551, which is £56 lower than the same period in 2024.
It also reported that ABI members paid out £3bn in motor claims in the third quarter, with repair costs accounting for 64% of that (£1.9bn).
Meanwhile, the cost of theft-related claims totalled £142m.
Tough times
Chris Bose, director of general insurance policy at the ABI, said: “Three straight quarters of falling motor premiums will be welcome news for drivers and the industry alike. However, these continue to be tough times for many families facing higher cost of living bills, and underlying pressures on claims haven’t gone away.
“The industry continues to drive forward its 10-Point Roadmap to help tackle the underlying cost of insurance. Government can back the sector too by investing in training for the repair sector and improving road safety. Crucially, any rise in Insurance Premium Tax in the Autumn Budget risks reversing months of hard-won progress.”
