New figures from Consumer Intelligence’s Van Insurance Price Index reveal that the average cost of van insurance has fallen by 4.7% compared to the same period last year. The data, covering the year to May 2025, also shows a 4.2% reduction in premiums over the three months to the end of May.
This is largely attributed to heightened market competition and falling rates from leading insurers, and van drivers aged between 25 and 49 who use their vehicles for work have seen the most significant savings, with average premiums down by 5.8% year-on-year. Meanwhile, premiums for under-25s dropped by 3.5%, with 44% of young drivers now able to insure a van for under £1,500 annually (up from 32% the year before).
Nearly half (48%) of drivers aged 25 to 49 can now secure a van insurance policy for under £750, while 44% of drivers aged over 50 are finding deals below £500. In terms of pricing distribution, the most common insurance quotes in May fell between £500–£749 and £750–£999, each representing 19% of all quotes issued. Tradespeople benefited the most, with a 5.8% reduction in premiums. In contrast, vans used solely for social, domestic, and leisure purposes saw a more modest decline of 1.1% year-on-year.
Despite the recent dip, van insurance premiums have risen steeply in the longer term, increasing by 191% since 2014. The sharpest rises have been experienced by older drivers, with over-50s seeing a 213.1% increase. Those aged 25 to 49 saw premiums rise by 211.6% over the same period, while under-25s experienced a more moderate 88.5% rise.
Laura Vas, Senior Insight Analyst at Consumer Intelligence, commented:
“The deflationary trend began as we entered 2025. Over the past three months, a number of leading insurers have reduced their prices, particularly major direct brands, which has helped them strengthen their position in the market.
“These insurers have increased their share of the most competitive quotes and continue to maintain strong visibility on comparison sites. The top provider has extended its lead by offering affordable options to a growing number of van drivers.”