Home insurance cost drops, despite rising subsidence claims
In spite of rising subsidence claims, the average overall premiums in now £134, a drop of 1.2%.
The under-50s have benefitted most. Their premiums have fallen 1.7%. Premiums for the over-50s have also fallen, but only by 0.6%. However, their premiums are cheaper – at £128 versus £139.
Regionally, the lowest premiums belong to the North East with average prices of £116, with London suffering the most expensive at £176 despite seeing one of the largest reductions in the past year (-2.1%).
The West Midlands was the only region to see higher premiums, which rose by 0.3%.
Properties built before 1895 are the most expensive to insure, with an average premium of £152. However, the trend to renovate older properties has seen claims costs fall. Modern properties tend to have lower costs because they are fitted with the latest anti-theft technology.
John Blevins, pricing expert at Consumer Intelligence, said “While shifts in premiums over the past year have not been huge, it remains a competitive marketplace. Despite rises in subsidence and escape of water claims, customers have benefited from stable pricing across the board.
“In the shorter term, last year’s fairly benign winter helped to keep premiums at bay. However, with increasing concerns around global warming, there is a likelihood of more extreme weather in the future. The impact of this remains to be seen, but it could threaten the fairly low premiums we have seen for so long.”