Based on the latest data from comparison experts at Quotezone.co.uk, the UK average cost of car insurance has continued to witness a decrease in price in Q2, dropping from £668 in April to £648 in June.
After a dramatic surge in 2023, car insurance costs have fallen across the country over the last 12 months, with motorists paying an average of £664 in 2025 Q2, versus £806 in the same quarter the previous year.
This decrease should come as a welcome relief for motorists across the country, with rising repair costs, car tax hikes and new low emission zones all contributing to higher bills.
According to the index, all regions saw a decline in costs from May to June, however, motorists in London are still suffering from expensive policies, with premiums as high as £951 in June.
Drivers in the West Midlands and North West England are also some of the highest paying in the country, with average premiums over £700 for the second quarter of the year.
While the insurance experts hope the prices will continue to taper off throughout 2025, they have provided tips to help motorists keep their insurance costs as low as possible.
Quotezone is urging all drivers to check their policies and make sure all the information they have told their insurer is fully accurate and up to date.
Factors such as driver age, job title, mileage and where the vehicle is kept overnight can all affect the premium cost.
Even modifications such as vehicle branding, spoilers or alloy wheels can affect pricing and need to be declared, or drivers could run the risk of invalidating their insurance policy. It’s vital all drivers check the full modifications list and update where appropriate when finalising their details as some can be quite surprising, such as roof racks, towbars and bike carriers.
Greg Wilson, CEO and car insurance expert at Quotezone.co.uk, said: “With household budgets under increased pressure, the stabilising of insurance premiums is a welcome relief for many drivers.
“Young drivers – especially those aged 17-24 – typically face higher premiums due to their inexperience and increased accident risk. It’s great to see that these lower costs apply to the youngest motorists on the road as well, as 17–24-year-olds were paying an average of £2130 in October, versus £1986 in December – dropping to £1251 in June 2025 – a saving of 37%.
“While we hope the cheaper insurance premiums continue throughout 2025, it’s still essential that drivers take steps to ensure they’re not overpaying for cover.
“There are several surprising factors that can drive up the cost of insurance, or worse, invalidate it. Simple changes like moving house, switching jobs, or altering mileage can have significant impacts if they’re not kept up to date.
“We urge motorists to regularly review their policies, ensure their details are accurate, and explore smart ways to save. Even the time and day you choose to buy insurance can have an impact.
“Keeping your insurer informed, staying proactive and shopping around are key to staying protected and keeping insurance premiums as low as possible – even if your renewal cost is lower this year, shop around to explore your options, there could be greater savings to be had.”
