50+ home insurance statistics 2026
As of Q2 2025, UK insurers paid out £1.6 billion in property claims, reflecting the scale of cover that home insurance provides against risks such as flooding, subsidence, and burglary.
This quarterly figure was 7% higher than the £1.5 billion recorded in Q1 2025, highlighting the growing cost of supporting households through unforeseen damage and losses.
Top 10 must-know home insurance statistics for 2026
- Uswitch forecasts that the UK home insurance market will grow to £12.55 billion by 2030, after a brief dip in 2025.
- The average UK combined home insurance premium in Q2 2025 was £391.
- UK insurers paid out a record £585m in 2024 for weather-related home damage.
- Quoted home insurance premiums fell across every UK region, with annual drops ranging from -2.0% in the South West to -10.5% in the North East.
- 76% of UK homes may be underinsured, leaving many families without sufficient cover.
- As of September 2025, Kensington and Chelsea had the UK’s highest burglary rate at 7.09 incidents per 1,000 residents, a risk factor that can contribute to higher home insurance premiums.
- UK insurers paid out £1.6 billion in property claims in Q2 2025, up 7% from the £1.5bn in Q1.
- Properties built before 1850 have average premiums of £800+ per year, the highest of any property age group.
- New builds from 2000 onwards have the lowest average premiums at around £280 per year, reflecting modern construction standards and lower risk.
- Around 8 in 10 customers who negotiated at renewal saw a reduction in their insurance price, though negotiation remained the least used option.
Average home insurance costs and pricing statistics
Home insurance cost in the UK
According to the latest Uswitch data, UK home insurance premiums remained largely stable throughout 2025. The average combined policy in Q2 2025 was £275, showing little movement from earlier in the year.
When comparing buildings with contents cover, the cost difference is clear. Buildings insurance is generally more expensive because it covers the cost of repairing or rebuilding the structure of a property. Contents insurance protects personal belongings inside the home.
In Q2 2025, buildings cover averaged around £265, while contents cover was approximately £99. The data shows that both buildings and combined cover experienced a slight rise from Q1 to Q2 before gradually decreasing towards the end of the year.
Contents cover followed a similar pattern, peaking in Q2 and then falling steadily through Q3 and Q4.
The highest average premium recorded was £404 for buildings cover in Q1, while the lowest was £66 for contents cover in Q4. This contrast highlights how structural cover tends to fluctuate more sharply, potentially due to factors such as repair costs or inflation in the construction sector.
Overall, the figures indicate a steady year for home insurance pricing. It is also important to note that the Q4 data excludes December, meaning the figures represent only October and November 2025.
Average home insurance premiums by contents value
Uswitch data shows a strong link between the value of home contents and the cost of insurance. As the total content value increases, both the median top annual premium and the average top premium rise substantially.
For households with contents valued between £0 and £10k, the median top annual premium is around £132. That’s compared with £282 for those with contents valued above £75k, which represents an increase of 114%.
The average top premium also rises from £166 to £432, an increase of around 160%. These figures show that insurers adjust premiums in line with the higher financial risk associated with high-value possessions (e.g., jewellery).
The most notable increase occurs once contents exceed 40k, suggesting that higher-value properties attract sharper cost rises. The data highlights the importance of accurately estimating the contents value to avoid underinsurance.
Average top home insurance premium by county in the UK
According to the latest Uswitch data, there are notable regional differences in the cost of home insurance across the UK.
Argyll and Bute have the highest average premium at around £1,522, followed by the Isle of Cumbrae at £1,310 and Lambeth at £978. These areas include both rural and urban locations, suggesting that a range of regional factors may influence premium levels.
At the lower end of the top ten, Londonderry, Isle of Bute, and County Fermanagh record the smallest averages, ranging between £599 and £641.
Although these regions still feature within the higher-cost bracket nationally, the difference compared with the top 3 highlights how local conditions and insurer evaluations can influence pricing.
Median top annual home insurance premium by county in the UK
Argyll and Bute once again records the highest median top annual premium at around £1,522, followed by the Isle of Cumbrae at £1,310 and Selkirk at £1,060.
This highlights that the top area is around 42% higher than the area with the third-highest median price. It’s more than 2.5 times higher than the lowest figures in the top 10, indicating that certain regions in Scotland tend to have higher typical premiums.
At the opposite end, Londonderry, Clackmannan, and Armagh record the lowest median figures at £660, £655, and £635, respectively. This shows that even among higher-cost regions, there is still a notable difference between the top and bottom of the list.
Overall, the data highlights that median home insurance premiums vary significantly across the UK, with regional and local conditions influencing the typical cost of cover.
Regional home insurance costs across the UK
According to Consumer Intelligence, quoted home insurance premiums have fallen across every UK region over the past year, but the scale of the reductions is uneven. Some areas are experiencing sharp declines, while others have seen only modest changes.
The largest annual decreases were in the North East (-10.5%), Wales (-10.4%), and the West Midlands (-10.4%). These regions appear to be benefiting from stronger insurer competition and lower rebuild values. These factors are helping to drive down costs more quickly than in other parts of the country.
Regional changes in quoted home insurance premiums (2024–2025)
By contrast, the smallest falls were recorded in the South West (-2.0%), Scotland (-4.7%), and the South East (-6.4%). Here, premiums have been slower to come down, reflecting higher rebuild costs and weaker competition between insurers.
This suggests that homeowners in these regions are less likely to see the same scale of reductions as those in the North and Midlands.
Overall, the figures highlight a clear regional divide. While competition is driving down quoted prices significantly in parts of the country, high-cost areas such as London and the South East remain more insulated from these changes.
Home insurance claims statistics UK
Home burglary crime rates by region
Burglary crime rates vary widely across the UK. As of September 2025, Kensington and Chelsea tops the list at 7.09 incidents per 1,000 residents, showing that even affluent areas with high-value homes are at risk.
Leeds and Middlesbrough follow closely, with rates of 6.75 and 6.74, respectively. In these cities, the higher likelihood of burglary makes contents insurance cover for theft particularly important.
Top 10 UK towns and cities with the highest burglary rates
At the other end of the top 10, Islington records the lowest rate at 5.42, with Enfield and Southwark only slightly higher. This highlights that burglary and theft home insurance concerns remain relevant across London, though the frequency differs between boroughs.
For insurers, regional burglary rates feed into how risk is assessed and priced. For homeowners, this means that living in areas with higher burglary rates can lead to higher premiums. It also underlines the value of a cover that protects against burglary and theft.
Weather and flooding impact on home insurance
Adverse weather has become a major driver of insurance costs in the UK. In 2024, insurers paid out a record £585 million for weather-related home damage, including flooding, storms and burst pipes.
This was £127 million and £77 million more than in 2023 and 2022, respectively, underlining the escalating financial toll of extreme weather. The storm season brought 12 named storms, the most since the 2015–2016 season, which intensified damage to homes across the country.
In 2024 overall, total property claims reached £5.7 billion, the highest annual payout on record. In the final quarter of the year alone, weather-related damage to homes cost £146 million, marking the seventh consecutive quarter in which these claims exceeded £100 million.
Businesses were also significantly impacted, with insurers paying £102 million for storm and flood damage, as well as business interruption, a 16% increase compared to the same quarter in 2023.
Average home insurance premiums by flood risk history
According to Uswitch analysis, properties that have experienced flooding in the past 10 years have notably higher home insurance costs.
The median top annual premium for these homes is around £482, compared to £176 for properties that have never flooded. The average top premium follows a similar pattern, reaching £579 for recently flooded homes and £238 for those with no flood history.
Comparison of home insurance premiums by flood history
Homes that flooded more than 10 years ago also show higher costs. These have a median premium of £385 and an average premium of £471, indicating that previous flood incidents continue to influence pricing in the long term.
Factors that affect home insurance premiums
Impact of high-value contents on home insurance premiums
Uswitch data shows a clear upward trend in home insurance costs as the number of high-risk items increases.
Homes without any high-risk possessions have a median top annual premium of about £163, while those with 6 or more reach £343. The average top premium also climbs steadily from £215 to £506 across the same range.
Average and median premiums based on the number of high-risk items
The consistent rise across both measures reflects how insurers associate a greater number of valuable items with increased potential payouts. Properties containing more high-value possessions often attract higher premiums due to the elevated replacement costs and higher perceived risk.
Average property age and home insurance premiums
Older homes are generally more expensive to cover because they’re more vulnerable to structural problems, often require specialist materials, and can be costlier to repair after damage.
Properties built before 1850 have the highest average premiums at £800 or more per year, reflecting both their age and the likelihood of expensive repair work. Homes built between 1850 and 1900 average £650, while those from 1900 to 1950 fall to around £450. This shows how premiums drop as homes become easier and cheaper to maintain.
Average home insurance premiums by property age
In comparison, newer homes benefit from modern construction standards. Properties built between 1950 and 2000 average £350, and new builds from 2000 onwards are the cheapest to insure at about £280. These properties are considered lower risk due to newer materials, updated safety features and fewer historical issues.
Impact of pet ownership on home insurance premiums
There are small but clear differences in home insurance premiums based on pet ownership.
Households with both cats and dogs record the highest median top annual premium at around £211, followed by dog owners at £191 and cat owners at £184. Homes without pets have the lowest median premium at £171.
Comparison of home insurance premiums by pet ownership
A similar pattern appears in the average top premium, which rises from £225 for pet-free households to £308 for those with both cats and dogs. The Uswitch data suggests that pet ownership may have a modest influence on premiums, possibly due to an increased likelihood of pet related accidental damage claims.
Subsidence risks in home insurance
Homes in the UK are facing rising risks from subsidence, especially following the record-breaking warmth of spring 2025. According to ABI data, insurers paid out £153 million in subsidence claims in just the first half of 2025. This helped about 9,000 households with an average claim value of £17,264.
Subsidence occurs when the ground beneath buildings sinks, usually due to clay soils drying out, or nearby trees and shrubs drawing moisture from the soil. Prolonged dry conditions like those in 2025 can make the problem worse, increasing both the number and cost of claims.
For homeowners, this highlights the importance of having cover in place, although policies may rise in price in high-risk areas. Checking the type of soil, managing vegetation near your home, and maintaining good drainage and plumbing can all help reduce risk.
Home Insurance Renewal and Switching Insights
Best time to renew home insurance
Research from the Financial Services Consumer Panel (FCA) shows that renewal timing has a clear impact on costs. 72% of home insurance customers saw their premiums rise at renewal, yet many who acted early achieved better outcomes.
The survey found that 64% of customers took action, such as shopping around or negotiating for better terms. Negotiation was especially effective, with 81% of those who tried it cutting their premium, though it was the least used option.
According to Uswitch, pricing varies throughout the year. Looking first at the most recent year available, 2025 shows its lowest average premiums in September at £155.56 and July at £160.82.
Based on the data available, this suggests that mid-year to later-year home insurance renewal may offer the strongest value. December 2025 has not yet been recorded as of November 2025, so the full picture may change once that final month is added. However, from the data we do have, the middle to latter part of the year is where the lowest averages appear.
Premium comparison identifying the cheapest month to renew home insurance from 2024 to 2025
In comparison, 2024 follows a different pattern. In January 2024, the average premium was one of the lowest at £161.03. Prices gradually increased through the year and reached their highest point in November at £267.99, which is the most expensive month across the entire dataset.
This variation between years shows that renewal costs do not follow a single fixed pattern and that relying on assumptions can lead to higher premiums.
Overall, the findings indicate that checking quotes before renewal and comparing prices across multiple months increases a homeowner's chances of securing a lower premium.
Home insurance when moving home
Moving costs have risen sharply. When expenses such as the deposit, Stamp Duty, conveyancing, mortgage fees, and removals are included, the average moving cost in England now is close to £52,000.
This compares with £34,429 in Wales, £32,172 in Scotland, and £31,353 in Northern Ireland. At the same time, the average asking price reached a record £380,000 in May 2025, further adding to the financial pressure on buyers and movers.
Higher property values often translate into higher rebuild costs, which can push up home insurance premiums. This makes arranging cover at the point of exchange especially important, so the property is protected immediately.
Many policies also include or offer legal expenses cover as an add-on, which can support homeowners in disputes linked to moving, such as contract or conveyancing issues.
UK Home Insurance Market Outlook and Future Trends
UK home insurance market size in 2025 and 2030
The size of the UK home insurance market, measured by gross written premiums (GWP), grew from £9.0 billion in 2018–2021 to £11.1 billion in 2024. This reflects rising rebuild costs and stronger pricing.
According to Uswitch’s forecast, the market is expected to ease slightly in 2025 to £10.89 billion (a 1.9% drop from 2024), suggesting a short period of cooling after 2 years of rapid growth.
Personal property insurance market size 2018 to 2030 (gross written premiums)
From 2026 onwards, the market is projected to reach £12.55 billion by 2030. That equates to an average growth of 2.9% per year between 2025 and 2030 (or 2.1% per year from 2024 to 2030).
Uswitch’s analysis indicates that the UK home insurance sector is moving from a flat period before 2022 into a phase of stronger growth. This is followed by a brief dip in 2025 and then a gradual climb to new highs by 2030.
The forecast also suggests that the UK home insurance market share of total insurance premiums is likely to remain resilient, supported by sustained demand and the ongoing impact of rising claims costs.
Digital transformation in home insurance statistics
Digital transformation in insurance is reshaping how home cover is delivered, with AI in insurance playing a central role. McKinsey research shows that insurers embedding intelligent automation into insurance processes, such as underwriting, claims, and distribution, are seeing measurable results.
For example, AI-driven insurers report 10–20% improvements in sales conversion, 10–15% premium growth, 20–40% lower onboarding costs, and 3–5% better accuracy in claims.
Impact of AI on Insurance business performance
Over the past 5 years, AI leaders in insurance have also achieved 6.1 times higher total shareholder returns (TSR) compared to laggards. This underlines the scale of advantage for early adopters.
These shifts are driving the growth of smart home insurance, with more personalised policies, quicker claims handling, and fairer pricing. As insurance automation continues to expand, customers can expect smoother digital experiences and greater value from insurers investing in AI and digital infrastructure.
Home Insurance Contents and Possessions Statistics
Impact of accidental damage cover (contents) on home insurance
Homes that include accidental damage cover for contents tend to have slightly higher premiums than those without.
According to Uswitch, the average top home insurance premium for policies with accidental damage cover is £250, compared to £221 for standard cover. The median top annual premium also increases from £160 to £187, while the average number of displayed premiums remains almost identical at around 52 for both policy types.
Comparison of home insurance metrics with and without accidental damage cover (contents)
This suggests that while accidental damage cover adds to overall costs, the difference is relatively modest given the additional protection it provides. A similar number of displayed premiums also indicates that this feature is widely available across providers, giving customers plenty of choice when comparing policies.
For many households, the small premium increase may be seen as worthwhile peace of mind against unexpected damage in the home.
The problem of underinsurance in UK home insurance
Underinsurance is a significant issue across both households and businesses in the UK. Around 76% of homes may be underinsured, leaving many families without sufficient cover to fully replace possessions or rebuild after a loss.
Commercial property data shows the same trend on a larger scale. Almost 9 in 10commercial buildings (88%) are underinsured on building values, with more than half (54%) falling short by over 25% of required cover.
In total, over 40% of commercial properties are affected, underlining how widespread the problem is.
Key statistics on underinsured home and property insurance
The challenge extends beyond buildings, with 77% of plant and equipment underinsured, exposing businesses to major financial gaps in the event of damage.
These figures highlight that underinsurance is not limited to businesses but is also a pressing concern for homeowners, reinforcing the importance of regularly reviewing and updating cover levels.
Home Insurance Statistics FAQs
How much is home insurance?
The average UK home insurance premium in Q2 2025 was £391 for a combined buildings and contents policy. Buildings cover costs £321, and contents cover averages £129.
What does home insurance cover?
It depends on the type of policy, but most home insurance is split into 2 parts. For instance, buildings insurance protects the structure of your home, covering risks such as fire, flooding, storms, subsidence and vandalism.
Some policies also include cover for legal expenses, home emergencies such as a boiler breakdown, and personal items you take with you outside the home.
What does contents insurance cover?
Contents insurance covers your belongings inside the home, paying out if they’re damaged, stolen or destroyed, with optional extras for accidental damage.
How does home insurance work?
When you buy home insurance, you pay a monthly or yearly premium to stay covered. If something happens that your policy includes, you make a claim and contribute the agreed-upon insurance excess. The insurer then pays the remaining costs, up to the policy limit.
How long do home insurance claims take?
The time it takes to settle a claim depends on the situation. Simple claims may be resolved within a couple of weeks, while larger or more complicated cases, such as those involving major repairs, can take longer.
Your insurer should give you updates throughout the process, and you can ask for a timeframe if it isn’t clear.
Does home insurance cover flooding?
Most buildings insurance policies include cover for flooding, helping with the cost of repairs to the structure of your home. Contents insurance can also cover damaged belongings. In 2024, UK insurers paid a record £585 million for weather-related home damage, showing how important flood cover can be.
For homes in areas at high risk of flooding that may struggle to find affordable insurance, Flood Re is a government-backed scheme helping make flood insurance more affordable. Most major insurers offer Flood Re backed home insurance policies, helping to offer more choice and variety of cover.
How much does home insurance increase after a claim?
There is no set amount as it depends on the insurer, the type of claim and your circumstances. ABI data shows that when claims rise, premiums follow.
For example, in Q2 2024, insurers paid a record £1.4 billion in property claims.The average combined home insurance premium increased to £396, which was 6% higher than the previous quarter and 19% higher than a year earlier.
This indicates that making a claim can lead to higher renewal costs, especially for larger claims such as flooding or subsidence.
Does home insurance cover accidental damage?
In most cases, accidental damage is not included as standard but can be added as an optional extra. Contents insurance often allows you to include this cover, which means your belongings are protected if they’re unexpectedly broken.
What happens if you are underinsured?
If you are underinsured, your coverage may not be enough to repair your home after a loss.
Research suggests that 76% of UK households may be underinsured, meaning many families would struggle to fully rebuild or replace possessions if they had to make a claim. This can leave you paying a significant share of the costs yourself.
Will home insurance costs rise in 2026?
According to our latest forecast at Uswitch, costs are expected to rise in 2026 after a small dip in 2025. The personal property insurance market is projected to grow from £10.9 billion in 2025 to £11.2 billion in 2026, which points to higher average premiums for households.
Is smart home technology reducing insurance costs?
Smart home technology can help lower insurance costs because devices such as leak detectors, connected alarms and security cameras reduce the risk of damage or theft.
Industry analysis in 2025 suggests that insurers are starting to factor these technologies into pricing, as they can limit losses and make homes safer. The level of savings depends on the type of technology and the insurer’s policies.
Methodology & Sources
Methodology
The data in this report combines official statistics, industry research, and independent analysis from multiple verified sources. Core market and claims data were sourced from the Association of British Insurers (ABI), Uswitch internal datasets, and Bank of England publications.
Additional insights on burglary, property values, and regional premiums were collected from CrimeRate, Consumer Intelligence, and trusted financial publications, including The Guardian.
Where figures are attributed to Uswitch, they are based on anonymised customer quote data aggregated from partner insurers and price comparison platforms. These datasets were reviewed for accuracy and adjusted to reflect average market conditions as of 2025.
Forecasts, including projected market values through to 2030, draw on trend analysis from Uswitch and Bank of England reports.
All monetary values are in pounds sterling (£) and rounded for clarity. Regional and category averages represent either median or mean values, depending on the availability of data. This methodology ensures a reliable overview of current and emerging trends within the UK home insurance market.
Sources
https://www.abi.org.uk/news/news-articles/2025/7/1.6-billion-paid-in-property-claims-in-q2-2025
https://crimerate.co.uk/burglary
https://www.hsbc.co.uk/insurance/what-is-insurance-excess/
https://www.bgs.ac.uk/geology-projects/shallow-geohazards/clay-shrink-swell
https://www.themoneypages.com/insurance/whats-the-best-and-cheapest-day-to-buy-home-insurance/
https://www.fca.org.uk/panels/consumer-panel/publication/fscp_insurance_research_final_deck.pdf
https://www.commercialriskonline.com/underinsurance-remains-an-issue-in-uk-as-tariffs-loom/
https://www.uswitch.com/home-insurance/what-is-home-insurance/
https://www.investopedia.com/terms/p/premium.asp
https://www.abi.org.uk/products-and-issues/choosing-the-right-insurance/home-insurance/
https://www.investopedia.com/terms/t/tsr.asp
https://www.investopedia.com/terms/w/written-premium.asp
https://www.hsbc.co.uk/insurance/what-is-insurance-excess/
https://www.lawsociety.org.uk/public/for-public-visitors/using-a-solicitor/legal-expenses-insurance
