Car insurance premiums have increased for the first time in nearly three years, rising by an average of £8 compared to three months ago, according to recent data from Confused.com. Despite this uptick, the cost of a new policy remains £38 lower than the average price recorded 12 months earlier.

Matt Crole Rees, motor general manager at Confused.com, explained that insurance costs typically reflect risk and claims activity. He noted that although the number of reported claims has decreased in recent years, the current rise in premiums may be linked to higher expenses insurers face when settling claims.

To mitigate rising costs, experts recommend consumers begin shopping for quotes well ahead of their renewal dates. Obtaining price comparisons around 28 days before a policy expires can lead to significant savings, with potential reductions of up to 53 percent. Early planning and proactive renewal management are advised as effective strategies to manage premium costs.