Most Expensive Regions for Car Insurance

New data has shown that young drivers living in London are forking out almost twice as much for car insurance as those in South West England.

Car insurance comparison experts at Tiger.co.uk say that the national average insurance costs for drivers aged 17-24 fell significantly throughout 2024, from a record high of £2,951 in January to £1,986 in December.

However, the disparity in insurance premiums across the different regions of the UK remains stark, with a typical young Londoner paying an average of £3,229 a year – a staggering £1,441 more than the same age group in South West England.

Motorists in Northern Ireland are the cheapest overall for annual cover, paying £238 less than the UK average.

Drivers aged 17-24 continue to face the highest average premiums out of all age groups, paying £1,737 on average more for their car insurance when compared to 45–65-year-olds.*

In London, young motorists can expect to pay a staggering 273% more than drivers aged 45 to 64 in the same area.

When combined with the steep costs of learning to drive, purchasing a first car and paying for fuel and tax, young drivers face significant obstacles when it comes to motoring.

Tiger.co.uk has crunched the UK-wide car insurance index numbers to reveal the average insurance cost across each region, helping young drivers ensure they are getting the most competitive prices.

Ian Johnson, car insurance expert and Managing Director at Tiger.co.uk, said: “It is good news for drivers of all ages that the average cost of car insurance has fallen to £769 in the last quarter of 2024. This represents an average saving of £116 compared to the same period in 2023.**

“Despite these reductions, premiums for those in the 17-24 age group remain 73% higher than at the start of 2023.*** This is especially concerning for young motorists in areas like London, the West Midlands and North West, where insurance costs are the most expensive.

“Apart from high insurance rates, young drivers continue to face other financial challenges that impede their ability to get on the road, including costs associated with learning to drive, taking out car tax and buying the vehicle itself.

“Thankfully, there are several steps young drivers can take to bring down the cost of their insurance premiums, such as looking at where the car is parked overnight and adding the driver to the policy. By following these tips and checking the car insurance index to see the average insurance rates in their area, young drivers can start to make some real savings – they need to be careful that any tweaks made to the policy are still accurate, or they could invalidate their cover.”

Tiger Tips to Help Young Drivers Cut Insurance Costs:

1. Park in a Safe Place

Insurance providers consider where you park your car when assessing risk, so drivers should (where possible) use their garages or driveways for overnight parking rather than parking in the street. Secure locations like these are considered safer and can reduce premiums.

 2. Fit a Telematics or ‘Black Box’

Newer drivers could save money by opting for a telematics or ‘black box’ insurance policy. This involves having a small device fitted to your car to collect driving data, which can help the insurer analyse risk and provide a more accurate quote. By demonstrating safe driving habits, young drivers can be rewarded with savings on their policy.

3. Add a More Experienced Driver

Young drivers can save over £350 on their insurance by adding a low-risk named driver – typically a parent – to their policy, particularly if they are experienced and have a clean driving record. We found that, on average, the greatest reduction in car insurance premiums came from adding female family members to a policy over male family members.  This is because, whilst insurers cannot consider gender when evaluating premiums, male drivers are statistically more likely to have motoring convictions and make more costly claims.****

4. Always Shop Around

Never allow a policy to auto-renew without first shopping around for a better deal. Tiger.co.uk helps users across the UK compare and find savings every year on car insurance.

* This Data Uses a Random Sample of over 100,000 UK Car Insurance Policies from October 2024 to December 2024.

** This Data Uses a Random Sample of over 100,000 UK Car Insurance Policies from January 2023 – December 2024.

*** This Data Uses a Random Sample of over 100,000 UK Car Insurance Policies from January 2023 – December 2024.