In today’s buzzing digital world, there’s been a lot of chatter about rising car insurance costs. Even those boasting flawless driving records aren’t spared from escalating premiums. If you’ve been caught off-guard by your recent renewal quote, you’re not alone.
A report by the Office of National Statistics (ONS) highlighted a startling rise in motor insurance, outpacing CPI inflation at 43.1% compared to 8.7%.
So, what’s driving this surge? A cocktail of factors. Insurers are grappling with increasing operational costs, from surging wages—BBC News points out a record 7.8% hike in wages in 2023, the highest wage increase since records began in 2001—to higher expenses for raw materials vital for vehicle repairs, not to mention the ballooning costs of total losses.
Though regulators are stepping in to level the playing field (like the Financial Conduct Authority’s 2022 ‘Loyalty Premium ban’), insurers still find avenues to adjust premiums.
But it’s not all gloom and doom. You have options to counteract these hikes:
Here’s another secret weapon: car trackers. Having one installed can often tip the scales in your favour when negotiating premiums. Some areas even mandate trackers for insurance coverage. Their prices and functionalities vary, from basic self-managed units at £40 to sophisticated, fully-managed systems with built-in immobilisation costing over £1000.
At Trackstar, quality meets assurance. We proudly offer Thatcham-approved models, each undergoing rigorous testing to guarantee global vehicle tracking prowess.
Explore our diverse tracker portfolio here.