Heidelberg. Shortly before the start of the changing season in motor vehicle insurance, the price spiral continues. On average, vehicle insurance is currently 21 percent more expensive than last year. This is shown by the vehicle insurance index from the comparison portal Verivox. By switching insurance, drivers can counteract the higher prices and save up to 31 percent.
Liability premiums are 25 percent more expensive
Motor vehicle insurers’ expenses continue to exceed their income. The result: further price increases. Shortly before the changing season, insurance premiums are on average 21 percent higher than the previous year. The price increases are highest for those with liability insurance: prices here have risen by 25 percent. The premiums for partially comprehensive insurance are 21 percent higher than the previous year and for fully comprehensive insurance, 20 percent higher.
“The first insurers have updated their tariffs and are implementing further price adjustments,” says Wolfgang Schütz, managing director of Verivox Versicherungsvergleich GmbH. “Last year’s price increases were not enough to compensate for the motor vehicle insurers’ deficits. That is why BaFin, as the supervisory authority, intervened and asked insurers to take further measures.”
Last year the price increases were already in the double-digit percentage range. But while the general price increase has recently fallen significantly, the claims inflation relevant to insurers remains unabated. Contributing factors include higher spare part costs and hourly rates in the workshops.
Up to 31 percent savings potential
Even though prices are rising in all segments, drivers can still find cheap rates on the market and can often save a quarter of the premium by switching insurance. The difference between the medium and the affordable price segment for insurance changers is on average 26 percent. The savings potential is greatest at 31 percent for those with liability insurance.
“Despite the necessary price adjustments, low prices for those willing to change remain an important sales tool for insurers,” says Wolfgang Schütz. “Motorists therefore don’t simply have to accept price increases. By switching insurance, they can continue to benefit from low prices for new customers.”
Car insurance index: methodology
Verivox calculates the vehicle insurance index together with statistics expert Professor Wolfgang Bischof from the Augsburg University of Technology. “We use a complex statistical procedure to determine the real price development. We also take changes in customer groups into account,” says Wolfgang Bischof. The user calculations at Verivox from September 1st to 25th, 2024 and for the same period in 2023 were anonymously included in the evaluation. The statistical model shows the price development for people switching insurance.
