The average quoted price of home insurance jumped by 41.6% in the 12 months to April, according to an index.
This is the biggest jump since Consumer Intelligence started tracking prices in 2014.
Data has also revealed where in the country insurance has increased the most.
Premiums are most commonly being quoted at between £150 and £199, Consumer Intelligence said.
Matthew McMaster, senior insight analyst at the firm, said: “The increase in building and contents insurance new business quoted premiums is the largest yearly increase we have seen since tracking began in 2014.”
Consumer Intelligence analyses quotes on price comparison websites to compile the data, using averages taken from the cheapest premiums for common risks.
Here are increases in quoted premiums in the 12 months to April 2024, according to the research:
– London, 49.9%
– South East, 45.8%
– Eastern England, 41.9%
– Yorkshire and the Humber, 41.9%
– Scotland, 41.3%
– South West, 40.6%
– Wales, 40.6%
– East Midlands, 38.9%
– West Midlands, 37.9%
– North East, 37.8%
– North West, 37.6%
Louise Clark, the Association of British Insurers’ policy adviser for general insurance, said: “Insurers appreciate the strain many household budgets are currently facing.
“Despite the rising cost of raw building materials and labour, insurers remain committed to continuing to offer competitively priced home insurance.”
She said the ABI’s own data, which is based on prices paid rather than quotes, shows that the average combined home and buildings insurance premium for the first quarter of this year was £375 – a 19% increase on the same period in 2023.
Ms Clark continued: “The market remains competitive so we’d encourage anyone looking for insurance to shop around but be sure to get the policy that meets your needs.
“In the last year we’ve seen a succession of storms sweep across the UK, and insurers paid out £352 million to support customers whose homes were damaged by Storms Babet, Ciaran and Debi alone.
“As such events become more common, it’s vital more is done to protect people and their property from the impact of these storms.”
She added: “Properties also need to be more resilient to climate change and we’ve called for changes to the planning system to discourage building where flooding might be more likely.”
