A new “taskforce” is looking into why UK car insurance is so expensive

Car insurance is coming under scrutiny from a new UK taskforce. Sporting significantly less latex than Spider-man (yet dealing with just as many webs we suspect), the group of experts – made up of insurers, regulators and consumer advice bodies, as well as government suits – will "identify the factors driving [motoring] costs up".

Yep, you’re right, it is about time. After all, UK car insurance premiums have risen an average 21 per cent in the last couple of years, according to government-issued figures. Apparently, folks from comparable economies on the continent haven’t seen quite the surge in pricing. No surprises there, mind.

Initially, the taskforce will be looking to "tackle the spiralling costs of car insurance" by scrutinising factors such as rising car theft and the shoddy state of the road surfaces. Potholes? Surely not. We have it on record that they were fixed with redirected HS2 funds ages ago.

In a statement, UK Transport Secretary Louise Haigh, said: “Car insurance is an essential, not a luxury. It is vital to accessing economic opportunities and this government is committed to getting costs under control. Our new expert taskforce is a major step forward in delivering a fair deal for drivers. It will give this issue the attention it deserves – rooting out the factors driving up costs for industry and ensuring drivers are able to hit the road.”

There are particular concerns that the increasing costs have been affecting certain groups of motorists unfairly. Nicholas Lyes, IAM RoadSmart Director of Policy and Standards, said: “We remain concerned that recent increases in premiums have had a disproportionate impact on younger drivers.

“Our research shows that between 2022 and 2023, the number of drivers aged 17-20 with insurance offences added to their licence increased by a quarter, meaning that eye-watering premiums may be tempting some to avoid taking it out in the first place. We support measures that encourage incentives such as lower premiums for those younger drivers taking additional training and this option should be considered as part of the solution.”

More as we get it.