Home Insurance Premiums are on the rise with premiums rising at the fastest rate for three years according to data released this week.
Research by Consumer Intelligence demonstrates that on average home insurance rose by 7% this year on average annually. This is more than double the Consumer Price Index rate of inflation at 2.6%. The largest increases were for over-50 householders and the highest average premiums are paid by residents of London properties. An increase in IPT, the weakening of the pound due to Brexit and the increasing the cost of repairs and homeowners building more extensions with more claims for leaks from new bathrooms in the home, all attributed to causing premiums to rise.
However John Blevins, Consumer Intelligence pricing expert, stated that.
“The home insurance market is very competitive so it is unlikely prices will rise as quickly as in the car insurance market unless bad weather claims increase.
“But it is likely we will see a slow and steady rise in prices in line with inflation and the value of the pound.””