Older drivers are seeing the ‘biggest’ car insurance premium increases as costs rise

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They said older drivers were “on the roads more” which in turn “increased” the risk of suffering an accident. They said those aged over the age of 40 were set to be the most affected with costs only slightly increasing for younger road users.

Kate Devine, car insurance expert at MoneySuperMarket said the cost increases were partly down to people returning to their cars as the pandemic begins to ease.

She said: “Following significant drops in average premiums prices at the start of the year, prices might be on the rise as the economy re-opens and more of us return to our cars.

“Regionally, we continue to see big differences in costs with cities like London seeing higher premiums than more rural places such as the South West.

“This is because insurers factor in a driver’s location when pricing policies – so if you’re in a built-up area, you’re perceived as having higher exposure to accident risk.

“Age, too, also has a bearing, with drivers aged 40 plus seeing the biggest premium increases.

“This is probably due to older drivers being on the roads more which increases their risk factors.”

MoneySuperMarket said older drivers between the age of 40 and 49 have seen the highest quarterly price increases of 1.8 percent.

This is the equivalent of a £7 quarterly increase or around £28 extra per year.

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Drivers aged between 50 and 64 have also been hit with higher prices for basic insurance policies.

Average costs are up from £271.07 in Q2 to £273.51 in Q3 in a 0.9 percent increase.

The increase means road users in this age range will pay £2.44 more for cover this quarter.

Meanwhile, younger drivers aged 17-19, 31-24 and 25-29 saw lower price rises of one percent and 1.6 percent.

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