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UK Car Insurance Research · 2026 Edition

The average UK car insurance premium is around £600 a year in 2026.

After falling roughly 11% from the 2024 peak, comprehensive premiums have broadly stabilised in 2026 — but what you actually pay swings from under £400 for a retired driver to more than £1,800 for a 17–20-year-old, depending on your age, postcode and car. Car Insurance Expert is an independent, data-led research hub that explains exactly why, using figures from the ABI, Confused.com, DVLA and Thatcham.

Typical UK car insurance costs

Independent research from our UK cost index — sourced from ABI and Confused.com published data.

Typical comprehensive premium for a 17-24 driver · UK 2026
Indicative estimates for a typical driver with a clean licence — your price also depends on postcode, mileage, job and claims history. See full model breakdowns →

UK car insurance in 2026: the key numbers

Premiums have come off the record highs of late 2023, but the cost of repairing modern cars is keeping a floor under prices. The Association of British Insurers put the average comprehensive premium at £560 in Q1 2026 — essentially flat on the previous quarter and about £30 lower than a year earlier. The Confused.com Price Index, which models over six million quotes, reports a higher £719 for the March–May 2026 quarter, because a quote-based index captures far more young and high-risk drivers than the policies-actually-sold figure the ABI uses. The two are not interchangeable and neither is wrong: £560 is what drivers actually paid, £719 is what drivers were quoted. We deliberately anchor our research on a headline of around £600 a year for a typical comprehensive policy — a blend that sits between the ABI paid average and the Confused.com quoted index — and we name the basis every time we cite a number.

~£600
typical UK comprehensive premium a year in 2026 (ABI £560; Confused.com £719)
2.4×
a 17-year-old pays about 2.4× the all-ages average (£1,695 vs £719, Confused.com 2026)
~69%
postcode swing — £810 in London vs ~£480 in the South West (2026)
78%
of 17–20s pay less with a telematics policy — the discount is earned, not automatic
12%
Insurance Premium Tax added to every motor policy
£9.9bn
record UK motor claims paid in a single year (2023)

If you only remember one thing: the “average” premium is almost meaningless on its own. Your own price is driven by a handful of factors — age, location, the car’s insurance group, your claims and conviction history, and how you use the vehicle. The pages below break each of those down with real 2026 figures.

Average annual UK premium by age band (2026)

Age is the single biggest predictor of price. New and young drivers shoulder the heaviest loadings because they are statistically far more likely to claim — and the gap between a 17-year-old and a driver in their late fifties is enormous.

Average annual quoted premium by driver age — UK 2026
Confused.com Price Index, March–May 2026. Every bar is a quoted premium, so the bars compare like with like.
All-ages quoted avg £719 17 years£1,695 17–20£1,813 17–24£1,533 25–34£810 35–44£625 45–64£445 65+£390

Source: Confused.com Price Index Q2 2026 (March–May 2026), quoted basis. For comparison the ABI Motor Insurance Premium Tracker puts the average premium actually paid at £560 in Q1 2026 — a different measure, not a different answer.

Age bandUK average (quoted)vs. £719 all-ages average
17 years£1,695+136%
17–20 band£1,813+152%
17–24 band£1,533+113%
25–34 years£810+13%
35–44 years£625−13%
45–64 years£445−38%
65+ years£390−46%

Sources: Confused.com Price Index Q2 2026 (March–May 2026) on a quoted basis — age 17 £1,695, the 17–20 band £1,813 and the 17–24 band £1,533 against a £719 all-ages quoted average; ABI Motor Insurance Premium Tracker Q1 2026 (latest published) on a paid basis — £560 all-ages and £261 for drivers aged 66–70; NimbleFins 2026. The young-driver rows are the published Confused.com age and band figures; the 25+ rows take the NimbleFins band baselines moved by the published Confused.com quarterly change and rounded to the nearest £5. The right-hand column benchmarks each row against the £719 quoted average so the comparison stays on one basis. Where Confused.com does not publish a single-age figure (ages 18 and 19) we show the published band instead of estimating one.

The drop after 25 is steep, and on a single consistent basis it keeps going: Confused.com quotes age 20 at £1,704, age 21 at £1,542 and age 25 at £1,206, against that £719 all-ages quoted average. What moves the price is claim-free years on record rather than any one birthday. Prices bottom out around the mid-sixties, where claims experience and lower annual mileage make older drivers the cheapest group to insure — on its paid basis the ABI records an average of just £261 for drivers aged 66–70, against its £560 all-ages paid average. Premiums tick up again slightly for the over-70s. Location amplifies all of this: inner London is the most expensive place in the UK to insure a car at £1,088 quoted across all ages, while the South West and North East sit nearer £480. See the full breakdown under cover by driver.

Six ways to find your real price

Every section is independent and data-led — no insurer pays for placement. Start wherever your question sits.

  1. Cover by vehicle — 240+ make, model and year cost guides, from a Hyundai i10 in group 1 to a Tesla Model Y, each with insurance group, average premium and the cheapest specialist insurers.
  2. Cover by driver — every age band from 17 to 80+, plus learner, newly-passed, expat and foreign-licence profiles, with the premium uplift each one carries.
  3. Cover by policy type — temporary, black-box, pay-as-you-drive, multi-car, business and commuting cover, compared on cost against real use-cases.
  4. Specialist cover — classics, modified cars, imports, electric vehicles, motorhomes and kit cars, with agreed-value guidance and specialist-broker comparisons.
  5. Guides — in-depth answers to the questions UK drivers actually search: fronting, no-claims protection, conviction codes, IPT and how to cut your renewal.
  6. 2026 UK Cost Index — our quarterly premium data by age, region, vehicle and policy type, built to be citable for editorial use.

What is driving 2026 premiums

Premiums fell through 2024 and 2025, but the underlying cost of claims hasn’t. Insurers paid out a record £9.9bn in motor claims in 2023, and repair inflation has barely eased: labour rates are up around 40% in recent years and parts and paint are still climbing roughly 16% a year. Advanced driver-assistance systems are a hidden multiplier — a bumper knock that once cost £300 can run to £1,500 once cameras and radar need recalibrating. Vehicle theft payouts hit £669m, up 35%, and with more than a million uninsured drivers on UK roads the Motor Insurers’ Bureau levy adds around £15 to every honest policyholder’s bill. Layered on top of all of it is 12% Insurance Premium Tax. Convictions matter too: a speeding SP30 typically adds 10–25%, while a DR10 drink-driving endorsement can double a premium and pushes drivers towards specialist brokers.

Car insurance FAQs

The typical UK comprehensive premium is around £600 a year in 2026. The ABI reports an average of £560 for policies actually sold in Q1 2026, while the quote-based Confused.com Price Index reports £719 for March–May 2026. That gap is a difference of basis, not a contradiction: £560 is what drivers paid, £719 is what they were quoted. Prices have broadly stabilised after falling about 11% from the late-2023 peak.
Drivers aged 17–24 are statistically far more likely to make a claim, so insurers load their premiums heavily. On the Confused.com Price Index for March–May 2026 a 17-year-old is quoted around £1,695 and the 17–20 band £1,813, against a £719 all-ages quoted average — about 2.4× the typical driver, and roughly 4× the £445 quoted for a 45–64-year-old on that same basis. It is also the fastest-improving part of the market: Confused.com has 17-year-old prices down about 17% year-on-year. Figures quoted on a paid basis run higher — RAC Insurance put a 17-year-old first year at just over £2,400 in 2026 — which is why it matters which basis a number comes from. Around 78% of 17–20-year-olds pay less on a black-box telematics policy, but the ABI is clear the discount is earned through how you actually drive rather than applied automatically, so a heavy-footed telematics driver can end up paying more.
A lot. London is the most expensive region at around £810, while the South West and North East are the cheapest at around £480. Postcode reflects traffic density, theft and accident rates, so the same driver and car can cost nearly 70% more in one part of the country than another. Inner London is the single most expensive area in the UK, at £1,088 quoted across all ages on the Confused.com Price Index.
Premiums dropped roughly 11% from the 2024 peak, but the cost of settling claims hasn’t. Insurers paid a record £9.9bn in motor claims in 2023, repair labour is up about 40%, parts and paint are rising ~16% a year, and ADAS recalibration can turn a £300 repair into £1,500. Add 12% Insurance Premium Tax and the floor under prices stays high.
Yes. Cars are rated in insurance groups 1–50 (or the newer Vehicle Risk Rating 1–99 introduced in August 2024). Group 1–5 city cars such as the Hyundai i10, Kia Picanto and VW Up are the cheapest to insure, while high-performance and high-value cars sit at the top. Choosing a lower-group car is one of the most effective ways to cut a premium — see our cover by vehicle guides.
It depends on the code. A common SP30 speeding endorsement typically adds 10–25%. A DR10 drink-driving conviction often doubles a premium, stays on your licence for 11 years, must be declared for about five, and usually needs a specialist broker. An IN10 (no insurance) is loaded heavily for four years, and a TT99 totting-up ban means specialist cover afterwards. Our cover by driver section covers every DVLA code.

Our sources

  • Association of British Insurers (ABI) Motor Insurance Premium Tracker, Q1 2026 — paid basis — £560 average comprehensive premium actually paid, and £261 for drivers aged 66–70; £9.9bn record annual motor claims; ~£15 MIB levy per policy; guidance that telematics discounts are earned through driving data rather than applied automatically.
  • Confused.com Price Index (powered by WTW), Q2 2026 / March–May 2026 — quoted basis — £719 all-ages average; age 17 £1,695; 17–20 band £1,813; 17–24 band £1,533; age 20 £1,704, age 21 £1,542, age 25 £1,206; 17-year-old prices down about 17% year-on-year; regional spread (inner London highest at £1,088, South West cheapest near £480).
  • RAC Insurance, 2026 — a 17-year-old first-year cost of just over £2,400 on a paid basis, and the real-world ranking of the cheapest cars for new drivers.
  • NimbleFins, 2026 — the 25–34, 35–44, 45–64 and 65+ band baselines, which we move each quarter by the published Confused.com quarterly change and round to the nearest £5.
  • Thatcham Research & DVLA — insurance groups, the Vehicle Risk Rating scale, ADAS repair-cost data and conviction-code rules.
  • gov.uk & FCA — 12% Insurance Premium Tax and motor insurance regulation.

Reviewed by the Car Insurance Expert editorial team

Figures are compiled from named UK authorities and refreshed quarterly; every page is reviewed for accuracy by our editorial team and we take no payment from insurers for placement.

Last updated: 2026-07-29