Car insurance costs can vary depending on your age and where you live in the country, regardless of the car you’re insuring or your driving history. In this guide, we’ll look at the UK car insurance average and compare it across different regions and age groups to give you an idea of what you can expect to pay. The data used in this article were collected between April 2025 and March 2026, from a random sample of 100,000+ consisting of 12 different regions and 5 age groups. (Source: Quotezone Car Insurance Price Index)
Whether you’re a first-time driver based in London or an over-60 living in Yorkshire, our useful insights will ensure there are no big surprises when it comes to your next car insurance application.
Key Takeaways:
The average cost of UK car insurance across different age groups and regions
Insights into car insurance trends over the last decade
Things to remember before your car insurance is up for renewal
What is the Average Cost of Car Insurance in the UK?
The average cost of car insurance in the UK in 2026 (as of March 2026) is £579.52, down 9% year-on-year. This represents a saving of £62 compared to the previous year. We’ll break down this average, considering differences across age groups and how your premium can be affected by where you live in the UK.
Cost of Car Insurance for Young Drivers Vs Older Drivers
Drivers who are between the ages of 17 and 24 pay an average of £1,099, compared to over-65s, who pay an average of £407. The cost of car insurance for people over 80 varies significantly due to limited market competition, leading to regional and other factors.
The good news is that car insurance premiums for young drivers have fallen to their lowest point for a decade, down from £1,437 in 2016. At the most expensive end of the scale, a 17-year-old living in London can expect to pay £2,555, with this figure dropping to £1,331 for 21-year-olds.
New drivers can bring the annual cost of their car insurance down with telematics and black-box policies, which monitor driving behaviour.
How Car Insurance Differs by UK Region
People living in South West England benefit from the cheapest car insurance, with an average of £471, £97 lower than the national average of £579.52. Unsurprisingly, Londoners have the highest car insurance premiums on average at £798, £218 more than the national average.
Yorkshire and the North West are paying the closest to the national average. The average premium cost for car insurance in Yorkshire is £577, while in the North West it’s £583.
Outside England, the average car insurance cost in Scotland is £516, while in Wales it is £499. The Northern Irish market is more expensive at £624.60, the third-highest premium in the UK, due to reduced market competition compared to England, Scotland, and Wales.
Things to Consider When Renewing Your Car Insurance
Car insurance costs have declined since the start of last year; however, it is important to remember that premiums can fluctuate significantly from month to month. For example, in 2026, people who renewed in February were quoted around £22 less than people who renewed in March.
It is generally a good idea to renew your car insurance 20-25 days before it is due, as waiting until the exact day of renewal could result in a large increase.
Car Insurance FAQs:
Why is car insurance more expensive for young drivers in the UK?
Young drivers typically pay more because they are statistically more likely to be involved in accidents and make insurance claims.
How can I reduce the cost of my car insurance renewal?
Compare car insurance quotes, renew around 20–25 days before your policy expires, maintain a good credit record, and consider a black box or telematics policy.
Does where I live affect my car insurance premium?
Insurers use your postcode to assess risk, which means areas with higher rates of accidents, theft, or claims often have higher premiums.
Glossary
Car Insurance Premium: This is the amount you pay to an insurer for your car insurance policy, either annually or through monthly instalments.
Telematics Insurance: Telematics insurance involves a device being fitted to a car to record data such as speed, braking, mileage, and driving times.
Black Box Insurance: Black-box insurance is a form of telematics, using a device or smartphone app to monitor driving behaviour. Safer driving habits can result in lower insurance costs.
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Editorial Disclaimer: This content is provided for general informational purposes only and should not be considered advice. It is not intended to provide personalised recommendations or guarantees of any outcomes.
This content reflects general information at the time of publication and is not endorsed by any company. You should always consider your own circumstances and, where appropriate, seek independent advice before making decisions. Nothing in this content should be interpreted as a recommendation to take, or refrain from taking, any specific action.
Page Last Reviewed: 19/06/2026