Your car insurance renewal price explained

Every UK insurer is seeing an increase in the amount and cost of claims, which have been affected by inflation and world events. Although we’re doing as much as we can to manage price rises, we need to make sure that we’re still offering a great service to all our customers – especially when they need us most.

Why has my price gone up?

There’s many things that can affect your price - some are factors you might have changed like your car, but others are out of our control, such as world events.

The number of claims we’re seeing is rising, as well as the cost due to labour, materials and repairs going up. So, this means you’re likely to see an increase in your insurance price too, even if you haven’t claimed.

Here’s some reasons for your price going up


Availability of parts

Due to car parts being more difficult to find, people need courtesy cars for longer, which means that costs for them have risen by 47%1.


Increased payouts

Between Jan & Mar 2023, insurers have paid out £2.41 billion in claims, which is 14%1 more than the same period last year. This includes claims like whiplash and personal injury.



Repairs costs jumped 32%1 in 2023, largely driven by increases in the cost of labour and materials.

Car tech

Car tech

Cars are more sophisticated now, so the cost to fix them is increasing. Most notably with electric cars, which cost approximately 25%1 more to repair and take 14%1 longer to fix.



Payouts for vehicle thefts rose 35%1 from Oct  Dec 2023, compared to the previous year.

1 Stats are from the Association of British Insurers (ABI), who collate data for the whole insurance industry.

What if I make changes while my policy is active?

If you update or change your details during your policy period, the price of your premiums could change. For example, if you buy a new, more expensive car, you may have to pay more to insure it. 

Make sure your policy details are up to date and correct. If you don’t, this could invalidate your policy. The quickest, easiest way to make changes to your insurance policy is in your online Swiftcover Account. You have 24/7 access, so you can make changes any time. You'll also save £25, as there’s no admin fee for making changes online.

For more details about making changes to your Swiftcover Car Insurance policy, visit our handy FAQ page.

Frequently asked questions

I haven't made a claim, so why has my price gone up?

As the cost and amount of car insurance claims goes up, the combined pot with yours and other policyholders' premiums needs to stretch even further. This means that even if you haven’t made a claim yourself, you’re more likely to see your price increase to cover this.

For example, major incidents involving serious injuries can cost millions of pounds, and what you pay for your insurance wouldn’t cover the full cost of this claim. There still needs to be enough money in the pot for future claims too, so if you do need to make a claim you know you’ll get a great service from us.

On average around 60% of your insurance premium goes towards claim payouts. 

You can see a full breakdown of how your premium is split on our premiums explained page.

Will a new customer get a cheaper price?

The FCA changed some of their rules in 2022, so this now means that existing customers will get the same (or sometimes a cheaper) price than a new customer, as long as they get a quote on the same day, using the same details.

To find out more about this, head to our pricing and renewals page.

How can I lower the cost of my insurance?

There are ways to lower the cost of your insurance, but you still need to make sure that you’re covered for your needs. As if the worst happens and you don’t have the right cover, you might not get your claim paid out.

Here are some things you can check:

  • General review of your policy

    make sure that all details are correct and up to date, as even the smallest of changes can affect your price

  • Any optional extras

    check your optional extras to make sure these still suit your needs at renewal

  • Your mileage

    review your mileage to ensure it reflects your current driving patterns

Can I get financial support?

It’s important that you keep up to date with your payments, but we know sometimes things aren’t that simple.

If you need to speak to us about your payments, please contact us so we can try to help.

There’s also some online resources to help you with your finances:

Citizens advice


Money and Pensions Service

Government advice on benefits