News from Wales

Cardiff combined home insurance premiums rise by a quarter since 2017

Cardiff homeowners are paying nearly a quarter more for combined home insurance than they were in 2017, according to new research by MoneySuperMarket.

Based on more than seven years of data and millions of home insurance customer quotes, the research shows that the average combined home insurance cost for Cardiff now stands at £129.06, nearly a quarter more than 2017.

Cardiff combined home insurance has risen £24.43 (+23%) since January 2017 from £104.63 to £129.06 in July 2020. Cardiff combined home insurance for July 2020 is £24.46 less than the national average (£153.52).

Across the nation, combined home insurance costs are 29% higher in July 2020 (£146.20) than they were in early 2017, when they were at their lowest (£113.30). Premiums rose by 4.16% nationwide over the past year and 2.08% between March and July 2020.

Looking at buildings-only insurance, the lockdown months of April, May and June saw the highest average premiums ever recorded by MoneySuperMarket (£112.59). This trend was clearly visible across the UK, with nearly half (46%) of all areas recording their highest ever buildings-only premium.

Year-on-year, average buildings-only prices rose by 11% to £112.59. Meanwhile, contents-only policies increased by 6% over the same time period.

Kate Devine, Head of Home Insurance at MoneySuperMarket, commented: “There are several possible drivers behind the continuing rise in premiums. Covid-19 lockdown – which ran from 23 March until restrictions started to ease in June – may have played a part. With many people remaining constantly at home – schooling, working and even exercising – the rate of accidental damage becomes significantly higher, and more claims spell higher costs for insurers.

“In the coming months, as the nation maneuvers the recession, it’s likely the home insurance costs will fluctuate. For example, the government’s stamp duty break is encouraging a spike in home moves, which could potentially cause a subsequent impact on home insurance costs.

“Our advice to consumers is to shop around for the best deals. This has never been more important to ensure you are able to stay on top of your finances. By comparing the best home insurance deals and switching to more favourable rates, there are good savings to be made.”

You can find out more about home insurance prices and how they have changed in your area on the MoneySuperMarket website.

Exit mobile version