As a taxi driver, you will have taxi insurance in place so that should your car be stolen or involved in a road traffic accident your motor insurance provider will hopefully meet your insurance claim. In this respect, you may find it of interest and hopefully feel somewhat reassured that in Q2 of 2026 motor insurance companies paid out a record sum to meet claims.

According to figures published by the ABI (Association of British Insurers), motor insurance companies here in the UK paid out £3.2 billion to meet motor insurance claims in the second quarter of 2026. That was a rise of 5% when compared with the first quarter of 2026 and was 7% higher than in the second quarter of 2025.

Another interesting statistics was that the average amount paid out to meet each claim in Q2 of 2026 was £4,900. That is a rise of 4% when compared with Q1 of 2026.

There will be a number of reasons why the amounts paid out to meet motor insurance claims increased in Q2 of 2026. For instance, cars manufactured in recent years tend to have more technological equipment with great advances being made in various types of equipment. For example, air bags in cars, complex sat navs, more lighting both inside and outside the vehicle, better barking systems, reversing sensors and even reversing cameras making it easier to reverse both in daylight and in the dark which is particularly useful for taxi drivers. A wing mirror these days can often be heated, be electrically operated from inside the vehicle and have an indicator light attached. All these things have to be paid for.

The average cost of repairing a vehicle’s windscreen has increased to £283 – a rise of 7%.

If you are setting up a taxi service for the first time or your existing taxi insurance is shortly coming up for renewal then why not make contact with us with a view to obtaining a competitive taxi insurance quotation. We provide access to a reputable panel of insurance companies. We look forward to hearing from you.