19% annual jump in average home insurance premiums

The average home insurance premium jumped by 19% or £60 annually in the first quarter of 2024, according to figures from the Association of British Insurers (ABI).

The association said that home insurance premiums rose by 3% in the first quarter of 2024, following a severe winter for weather damage.

The average home insurance (combined buildings and contents cover) premium paid rose to £375. In the first quarter of 2023 it was £315.

The 3% quarterly rise is lower than a 4% quarterly increase recorded in the fourth quarter of 2023.

It said that 2023 was marked by bad weather, with weather-related home insurance claims totalling £573 million.

Towards the end of the year, storms Babet, Ciaran and Debi caused £352 million of damage to homes, according to the ABI.

It said that flooding is behind the biggest chunk of weather-related damage.

As well as flood defences, Louise Clark, ABI’s policy adviser, general insurance, said: “There are other important steps we need to consider too, including reform of planning laws to prevent home-building on high flood-risk areas and a greater focus on climate-resilient properties.”