Quoted home insurance prices rise at fastest rate in five years – Consumer Intelligence

The average quoted price of home insurance across the UK rose by 6.7% in the 12 months to April 2023, according to Consumer Intelligence’s Home Insurance Price Index.

In a statement released today (30 May 2023), Consumer Intelligence said the average quoted premiums for buildings and contents policies was £162.

It said this was the highest annual increase since 2018 – and warned that it had seen prices rise sharply in recent months as well.

The business claimed quoted prices rose 9.3% in the past three months – the second highest quarterly increase since it started tracking.

Georgia Day, senior insight analyst at Consumer Intelligence, said: “The sharp increases in quoted premiums in the past three months point to continuing rising prices for the rest of the year as insurers keep pace with inflation in the wider economy.”

Regions

The Consumer Intelligence Home Insurance Price Index is compiled using real customer quotes from price comparison websites (PCWs) and key direct providers.

It said that since it began collecting data in February 2014, overall quoted premiums had experienced a 12.2% increase.

In London, figures showed residents were facing quoted prices one-third higher than the UK average for insuring their property and contents.

However, Londoners saw the lowest rise in quoted prices at 6.4% over the last year, while homeowners in Scotland saw the biggest annual increases in quoted premiums at 12.1%, followed by Welsh customers with rises of 11.5%.

The biggest increases in quoted prices in the last three months came in Scotland and the east midlands at 8.7% and 8.1% – the lowest increases were in the west midlands at 4.2%.

Day added: “Healthy competition in the home insurance market has historically tended to keep prices in check.”