Whether you own a classic car or another type of vehicle you may find it of interest to read that motor insurance companies paid out more in the second quarter of 2026 to meet claims than in any other three month period. Apparently, according to the Association of British Insurers (ABI), in quarter 2 of this year, insurance companies providing motor insurance paid out a record £3.2 billion. We are sure that you will agree that sounds like a staggering sum of money.
This sum is actually an increase of 7% when compared with the second quarter of last year and is 5% more when compared with the first quarter. Again, this appears to be a very large rise.
One of the reasons for this may be that many newer motor vehicles are being fitted with a greater number of sophisticated equipment some times of a technical nature including the likes of reversing cameras and sensors. The likes of cars are often fitted with things to help with road safety such as a warning if you get close to the staggered white line down the centre of a road. Of course these things do potentially prove beneficial but they come with a cost that is often borne by the consumer.
Many years ago, motor vehicles were not fitted with airbags so when one or more of those are set off in say a road traffic accident there is a significant cost in sorting those out by the car body repair company.
There tends to be a lot more lighting on vehicles these days both inside and outside that sometimes involves the replacement of the whole lighting unit whereas many years ago it may just have involved the replacement of a bulb. All this may cost more money.
The average cost of repairing a windscreen increased significantly when comparing the second quarter of 2026 with the first quarter of 2026 with a windscreen repair costing an average of £283 in Q2 of 2026 – a 7% increase.
You may find it of interest to read that the average amount paid out for each claim amounted to £4,900 in Q2 of 2026. This is a rise of 4% when compared with Q1 of 2026.
It begs the question what will happen to motor insurance premiums in the coming months. Well, on a personal basis, the writer of this post has recently received renewal notices for the car insurance on both his and his wife’s cars and in both cases the renewal premiums have fallen by quite a bit on a monthly basis.
So, when you receive your renewal quote for classic car insurance, you might like to consider getting a competitive quote through us.
