North and north-east motorists are paying up to £30 more for their annual car insurance, compared with a year ago.
The latest quarterly figures from comparison website Confused.com show those in the north-east are now typically paying £ 399, which is £27, or 7% more than a year ago.
But total annual insurance premiums for these drivers are down by £2, or 1% from the previous quarter.
Motorists in the Highlands and Islands are now paying an annual sum of £394, on average – £30, or 8% more than a year ago and about the same quarter-on-quarter.
Prices in Northern Ireland have increased by £64 (12%) year-on-year to £594, on average, while those in inner London have seen the biggest monetary increase to £882, following a £74 (9%) increase.
UK-wide, average annual car insurance has reached its highest level in nearly two years following the steepest year-on-year increase since the start of the Covid-19 pandemic.
Motorists across the UK are now paying £554, on average, following a £32 (6%) rise.
Confused.com urged drivers to shop around ahead of their renewal date and also consider annual payments, which could save them as much as 10% on their insurance.
‘Disheartening’
Louise O’Shea, the group’s chief executive said: “With millions stung by the current cost of living, it can be disheartening to see that car insurance prices are also on the rise.
“As the latest data shows, we’re seeing the highest spike in prices since before the pandemic.
“With us all still adjusting to life after lockdown, it’s likely this is due to the number of insurance claims being made increasing as we get back into some sort of routine.
“Unfortunately, this means you might notice a price increase when renewing or shopping for your car insurance.”
Ms O’Shea added: “While prices are increasing, car insurance is one area where you can still save money, which will help to balance out price hikes in other areas.
“It’s clear from research that renewal prices are often more expensive, and it can be easy to accept a higher price if it doesn’t look too bad, given the expectation that everything is increasing at the moment.
“But please don’t do this. You can pay less. The car insurance market is very competitive right now, which is the perfect time to be savvy and shop around for a better deal.”
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Further research by Confused.com shows many loyal customers are taking a bigger blow, having seen their renewal increase more than the price of a new policy, on average. But those who shopped around after receiving a more expensive renewal price saved £54, on average, after using a price comparison website and switching insurers.
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