Rising motor claims costs in the UK

According to the Association of British Insurers (ABI), motor insurance companies paid out 2.4 million claims in the 2024 financial year.

The total cost of claims reached a record level of 11.7 billion GBP (14.7 billion USD), up by 17% compared with the end of 2023.

This increase is mainly due to higher vehicle repair costs, which amounted to 1.9 billion GBP (2.4 billion USD) in the fourth quarter of 2024.