Massive premium rises

snaver

I heard Martin say that premiums on motor insurance have come down radically. Is it only for motor insurance? The premiums on my home and pet insurance have shot up radically (by nearly 50%) despite never having made a claim. Is this right? I'll certainly be comparing prices while the supposed sweet spot is active.

user1977

Any such trends are averages, it doesn't mean everybody's premiums move in the same way.

elsien

As above, it really isn’t that simple. Premiums for pets shoot up as the animal gets older, for example.

dunstonh

The premiums on my home and pet insurance have shot up radically (by nearly 50%) despite never having made a claim.

Home insurance is not about you. It's about everybody. it's a collective pot of different risks. Indeed, lots of collective pots. Claims always go up after drought years. So, expect premiums to continue increasing for a few years.

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/6686195/massive-premium-rises

In principle you should expect premiums to go up each year as inflation bites.

In practice the insurance market typically is on a cycle of hard and soft times. We had seen motor rates go up a lot in 2022 and 2023 due to inflation and in particular cost of vehicles repairs and those premium increases likely overshot and so they have started coming down in 2025. This was then helped by the government changing the Ogden discount rate so in a large claim when an insurer has to pay someone their loss of earnings or future care as a lump sum that got cheaper and so reinsurance prices also got cheaper.

Home insurance has its own cycle and they dont align to the motor cycle. Unsurprisingly Home is much more subjective tot he weather and last years long dry summer resulted in a 85% increase in subsidence claims. Claim volumes are down a but average claim cost is up a lot and more than exceeds it. Plus given the summer we have just had its not looking good going forwards. Add to that Flood Re has increased it prices

daveyjp

Until you shop around to see if all renewal quotes are 50% higher, the increase from your current insurer is irrelevant. Some people are lazy and will accept without question.

I can understand pet insurance as the pet is a year older.

maman

https://forums.moneysavingexpert.com/discussion/comment/82163845#Comment_82163845

I've just had my renewal quote and the increase is around 14% ,about £40 increase for a 4 bed, 2 bathroom semi.

I'm probably being lazy but any views from others renewing recently? Is it worth looking at other quotes? 🤔

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/comment/82164472#Comment_82164472

unless you have complex needs then most can get quotes from aggregators in about 15 minutes, do you value your free time at over £160 an hour?

maman

https://forums.moneysavingexpert.com/discussion/comment/82165907#Comment_82165907

Good point @MyRealNameToo .