The latest car insurance premium data from Go.Compare;
Go.Compare’s latest car insurance price index has revealed that the average cost of a car insurance policy between April and June 2026 was £399 – £14 more than in the previous quarter, equal to an increase of 3.6%.
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As well as uncovering that prices are on the rise, the Go.Compare Index also highlights that the most basic level of cover is on average the most expensive. The average price of an annual third party only policy is £546 – over a third more expensive than third party, fire and theft cover at £382. Comprehensive policies are slightly more expensive than third party, fire and theft, which are in line with the overall average at £399 but offer a higher level of protection.
Other insights from the index include the UK’s cheapest region for car insurance, with Wales currently having the lowest premiums at an average of £327. In contrast, prices in London sit at £577 – around 75% more than in Wales.
Meanwhile, young drivers continue to face the highest costs, with the median policy price sitting at £746 for under-25s, and by occupation, maintenance workers have the lowest at an average of just £266.
Cover is still currently cheaper than it was in both 2024 and 2025, according to the index, but experts at Go.Compare are warning that costs are expected to continue rising into next year.
Tom Banks, spokesperson for Go.Compare Car insurance, said of the latest figures: “Car insurance prices have mostly been on a steady decline since the end of 2024, but our latest data shows that premiums have now risen back to the same level as they were in Q3 2025.
“While this is still less than drivers were paying a few years ago, we’re expecting prices to continue rising into next year, with some projections suggesting increases as high as 12%.[6] If your car insurance is up for renewal in the next few months, it’s as important as ever to compare policies rather than just auto-renewing. This will allow you to check what the rest of the market is doing and identify whether your current insurer is offering you a competitive price to stay with them, or whether you could find lower premiums elsewhere to better mitigate the impact of the price rises.
“Remember that there are plenty of things you can try in order to lower your price, too, such as removing extras and timing when you buy – our research shows purchasing your policy 26 days before it’s due for renewal can save you over £150.[7] Make sure you don’t remove anything you might need though, otherwise you could be left without the protection you need when you go to make a claim.”
For more tips on how to save money on your car insurance policy, visit here.
To read the full report on the cost of car insurance, visit here.
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