The average annual premium is now £564.19 – almost 20pc more than it was this time last year, according to market research firm Consumer Intelligence.

Motorists renewing car insurance policies face the largest annual hikes ever recorded, according to research from independent market research firm, Consumer Intelligence.

The average annual premium is now £564.19 – almost 20pc more than it was this time last year, according to market research firm Consumer Intelligence. Those who have endured the biggest rise are 17-24-year-olds, with the average going up nearly 25pc to £1,489.

Men are facing the most significant increases on their insurance premiums. In the last 12 months the average policy for a man has increased by 20pc to £599.65. This compares to an increase of 19.1pc to £523.55 for women.

Ian Hughes, managing director, Consumer Intelligence, said: “The advent of price comparison websites had actually kept a lid on car insurance premiums for some time, but these figures show the upward pressure on pricing has well and truly broken through. The worry, obviously, is that this could result in more motorists simply choosing not to insure their vehicles and drive illegally, or feel that they can no longer afford to run a car.

“In order to reduce their car insurance premiums, motorists need to consider what sort of vehicle they drive, and make sure that they shop around for cover. With such a large number of providers to choose from, the difference between the best and worst quote can be huge.”

Consumer Intelligence’s research, which is based on over 100,000 quotes from providers across the entire car insurance sector for 2,000 different risk profiles, reveals that the average cost of an insurance policy in the most expensive quartile is now £646.25 – £188.42 higher than the average policy in the bottom quartile.

Telegraph.co.uk

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