Quotezone Research Suggests Auto Only Drivers Still Paying More for Insurance

It’s a curious thing that drivers of automatic cars are still paying a premium for car insurance. After all many new cars come with an auto box as standard, obviously no EV has a manual shift. Yet UK drivers with automatic licences are paying 84% more on average for insurance than manual drivers, new data reveals. It feels like the industry is assuming that every automatic only licence holder is inherently less skilled, more accident prone, than those holding a full, geared-vehicle driving licence.

Here’s the word;

Experts from price comparison site Quotezone.co.uk say drivers of automatic cars could be spending a lot more when it comes to insurance, and the higher costs don’t stop there.

In 2014, around 16.3% of cars on the road were fitted with an automatic transmission, with this number having increased to 29% by the end of 2024.

A change in driving habits has made automatics more appealing, due to their ease of use and fuel efficiency.

The rise in sales for electric vehicles, which are almost always automatic, ahead of the 2030 ban on new petrol and diesel vehicles has also significantly contributed to the demand.

However, automatic vehicles tend to come with advanced features and parts which cost more to buy and fix, pushing up the cost of insurance.

Quotezone data shows the average insurance cost between April and June was £696 for manual car drivers with a full UK licence, compared to £1,296 for those driving with a full automatic licence.

That 84% jump is a stark warning for motorists to factor in the long-term costs and the importance of shopping around to find savings.

Although drivers with a full UK manual licence can drive an automatic vehicle, many drivers are now opting for an automatic only licence as the next generation of motorists start to learn in automatics.

The already high number of new motorists choosing to take lessons in automatic cars continues to spike, with reports of a 123% increase in a year, a trend which is spurred by the increasing popularity of electric and hybrid vehicles and a bid to avoid congestion charges and green taxes.

Greg Wilson, car insurance expert and CEO at Quotezone.co.uk said: “With congestion, urban driving difficulties and more cars on the roads in general, automatic vehicles may seem like a sensible choice – but drivers should be aware that insurers often view them as higher risk, and may charge higher rates.

“The advanced technology involved with automatic cars, from complex gearboxes to integrated electronics, makes them more expensive to repair or replace after an accident – pushing premiums up.

“Our data shows that in April of this year, automatic drivers were paying £647 more for their insurance policies than manual drivers – that’s 91% more.

“With the ban on the sale of new diesel and petrol vehicles due in five years and the increase in new drivers choosing to learn in automatic cars, we are sure to see an influx in automatic vehicles in the very near future. For many, the environmental benefits and ease of driving makes for an exciting future on our roads, despite the steeper associated costs.

“However, help is at hand and there are always savings to be had – the key is to shop around.  Drivers need to compare prices and review aspects within their control, such as where they park the car, how many miles they do, and which drivers are on the policy.  It can also help to look at bespoke insurance products like telematics or insuring family cars together under a multi car policy.”  

Price comparison site Quotezone helps over 4 million customers every year compare and find savings on everything from car insurance to van, truck or courier insurance.