10th August 2015
Home insurance premium costs have dropped by 6.6% over the past year claims new research from Consumer Intelligence.
The insurance market research group found that between June 2014 and June 2015, the cheapest home insurance premiums fell by 6.6%. But just over a third of this fall happened in just two months – between April and June 2015 – when the average of the lowest five premiums fell by 2.3%.
Overall, the average of the five most competitive home insurance policies in June 2015 was £115, a reduction of £13 a year earlier.
With such significant falls in average home insurance premiums, those switching providers could enjoy significant savings.
Consumer Intelligence’s research, based on responses from more than 11,000 home and motor policyholders, highlighted that 35% of home insurance customers switched in the year to May with 50% doing so to benefit from lower premiums.
Overall, between June 2014 and June 2015, the average of the cheapest five home insurance quotes for those aged over 50 fell by 6.8%. This age group can now expect to pay on average £106 for their home insurance. The corresponding figures for people aged 50 and under are 6.3% and £125 respectively.
Ian Hughes, chief executive of Consumer Intelligence said: “This fall in premiums can be explained by a big reduction in burglaries, and far fewer claims for flood and storm damage.
“In 1995, just under 9% of homes suffered from a burglary compared to a little under 3% last year. Those switching home insurers this year could see significant savings.”