Van insurance has risen by 33.2%, that’s according to the latest Consumer Intelligence Van Insurance Price Index report.
The latest annual increase is lower than the 35.9% recorded last year and in the last three months quoted premiums rose by 3.3% which is the lowest quarterly increase across the last five quarters.
Most van insurance policies cost between £750 and £999 according to the report data for March, with 18% of all insurance quotes for vans falling within that range. The next most common price was between £500 to £749 where 17% of quotes were recorded.
According to Consumer Intelligence, the rising cost of claims and repairs fuelled by increased prices for replacement parts continues to drive inflation in quoted premiums.
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“The rising costs of claims in relation to the increased price of sourcing replacement vehicle parts and completing repairs has pushed van insurance premiums higher. However, the recent two quarters movements suggest that the rate of inflation is showing signs of slowing,” Laura Vas, senior insight analyst at Consumer Intelligence, said.
Amazingly, young van drivers haven’t fared as badly as the rest of the market, with a considerably lower increase in premiums. However, young van drivers were already paying massive insurance premiums.
Van drivers under 25 has the smallest increase in premium quotes with a 20.8% hike, compared to 36.6% for the over-50s. Van drivers aged between 25 and 49 saw an increase in quotes by 34.7% for their insurance premiums.
Of course, insurance prices for young van drivers have been at higher levels for years and just 7% of the under-25s found a quote of less than £1,000 which compares to 44% of those aged between 25 and 49. A massive majority of the over 50s managed to find a cheaper insurance quote with, 65% getting prices below the £1,000 level.
Average quoted van insurance prices have more than trebled in the past 10 years. They have risen by 202% since April 2014. Premiums for the under-25s have also doubled but for anyone aged between 25 and 49 the price has gone up by 224% - the highest of any group. The over 50s have seen an increase of 217%.
