The average quoted price of van insurance rose by 24.7% in the year to June, according to the latest Consumer Intelligence Van Insurance Price Index.
However, Consumer Intelligence noted that the rate of increase is slowing, with prices increasing only 2.7% in the past three months, the lowest rise in five quarters following a 3.3% increase in the previous quarter.
In June 2024, the quoted premium for a new van insurance policy most commonly ranged between £750 and £999, with 16.4% of quotes falling within that bracket. Direct insurers provided 37% of the top five quotes in June this year, up from 28% last year, indicating higher inflation among intermediaries.
Laura Vas, senior insight analyst at Consumer Intelligence, highlighted how van drivers of all ages have experienced rising new business quotes over the past year.
“Van drivers of all ages have seen new business quotes rise over the last year, but inflation was less extreme for younger drivers. However, premiums for the younger end of the market remain considerably higher. During the last three months, quoted premiums increased 2.7% ̶ the lowest quarterly increase seen across the last five quarters,” Vas said.
Data from the past year shows that 28.5% of under-25s received quotes below £1,500, compared with 89.3% of those aged 25 to 49, and 97.5% of those over 50. Additionally, 5.7% of under-25s obtained quotes below £750 in June this year, compared with 35.7% of those aged 25 to 49 and 64% of those over 50.
Since Consumer Intelligence began tracking quoted van insurance premiums in April 2014, average overall premiums have risen by 210.3%. Premiums for the under-25s have nearly doubled, increasing by 96.8%, compared with a 235.9% rise for those aged 25 to 49, and a 223.7% increase for those over 50.
The increases in quoted premiums also varied slightly based on the usage of the vans. Owners using vans for social, domestic, and pleasure purposes saw a 26.5% increase, while tradespeople experienced a 24.1% rise.
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