There are still an awful lot of people struggling to pay their household bills every month. A number of those people are possibly going to be taxi drivers. So, you are likely to be pleased to read that the average cost of car insurance has dropped yet again with average premiums being lower than at any time in over 2 years.

Every 3 months, the price comparison website Confused.com publishes its car insurance price index with the last one being issued on the 17th September 2025.

You can view the report on there website but we highlight some of the data from the index below: –

It is pleasing to read that the average cost of car insurance for the 3 months to the end of August 2025 amounted to £735 per annum. In the space of a year premiums have fallen by an average of £136 per annum – a16% reduction that we are sure you will agree is a sizeable sum of money. In fact, in the last 3 months premiums have fallen by an average of £22 per annum.

You will probably know that there are a number of things that dictate how much car insurance companies charge. For instance, the make and model of the vehicle you drive, how many miles you drive in the car each year, your claims history in say the last 5 years, where you live and how old you are.

As a general rule, on average, it is the younger driver who usually pays more to insure their car than a more mature motorist. For instance, an 18 year old pays an average of £2,342 per annum yet a 30 year old is charged an average of £997 per annum and a 60 year old an average of £494 per annum. On a positive note, 18 year old are paying an average of £569 per annum less than he or she was a year ago.

If you live in Inner London then, on average, you are paying more to insure your car than anywhere else in the UK with premiums averaging £1,149 per annum. That is 3228 per annum less than a year ago. Those living in the West Midlands pay an average of £896 per annum with this being £179 per annum less than 12 months ago – quite a drop. The cheapest region is the South West with car insurance premiums averaging £499 per annum with this being £82 per annum lower than a year ago.

Whilst the index refers to car insurance, it may be that the average cost of taxi insurance has also fallen. So, if your existing cover is coming up for renewal or you are looking to insure a taxi for the first time why not get in touch with us to obtain a quotation and see if we can help save you some money. We look forward to hearing from you.