UK Van Statistics 2024

Van insurance helps to protect you financially if your van is involved in an accident, is stolen, or becomes damaged. It can also help cover the cost if you injure someone else or damage their property/vehicle with your van. 

Commercial van insurance is a type of insurance taken out for a van that you use for work purposes, including commuting. Sometimes referred to as business van insurance, it can also provide cover for your personal and professional possessions (such as tools), as well as the transportation of goods and materials should they become damaged, stolen, or destroyed.

Generally speaking, yes. Vans can be more expensive to insure compared to other road vehicles.

A study from Consumer Intelligence found that, in December 2023, more than a third (36%) of van drivers were quoted between £500-£999 for their van insurance – the most commonly quoted price for the year. On average, the average cost of van insurance rose by more than a third (35.9%) between 2022 and 2023.

Van insurance can be more expensive compared to other vehicles for several reasons. Vans are normally larger and have more powerful engines, which may increase the risk of crashing for unskilled drivers. Plus, they’re generally more expensive to repair. Insurers tend to perceive work vans as higher risk, due to the fact they’re likely to drive more miles per year compared to cars. They also tend to store tools and materials, which is appealing for potential criminal activity and further increases the risk factor.

Van insurance tends to be more expensive for younger drivers as they are less experienced and statistically pose a higher risk. Young drivers are also less likely to have a clean, no-claims bonus (NCB) history, which keeps van insurance premiums high until they can display a proven track record of competent driving. 

A young driver is generally classified as someone under the age of 25 who has passed their driving test. However, some insurers impose minimum age limits for van insurance. So, if you’re under 21, you may find you’re offered less competitive prices for your van insurance. Therefore, it’s worth shopping around to find the best deal for you.

Van insurance has gone up in recent years due to several factors. The cost of living crisis has seen a rise in the average cost of repairs and labour. It’s estimated that insurers paid around 10% more on claims in 2022 compared to the money made from premiums, hence why a further increase in claims in 2023 has led to a rise in the average cost of van insurance. 

Fleet News claims that there were over 631,000 pothole-related incidents reported in 2023 – the highest figure in five years and further increases the pressure on the van insurance industry. Vans also tend to have more complex components compared to other vehicles. 

The rise of electric vans, for example, means replacement parts can be more expensive and harder to source, further increasing the cost for insurance companies and consumers.

The cheapest van insurance tends to be for drivers using their van for social use only, with an average quote cost of £432.32 (according to Confused.com data analysed from March 2023 - March 2024).

Just like cutting the cost of your car insurance, there are many ways in which you can get cheaper van insurance in the UK. Here are just some of the ways that you can do it:

1. Consider the size of your van - Smaller vans tend to be cheaper to insure as they have smaller engines and are less powerful. So, insurers generally classify them as a lower risk. 

2. Compare different types of van insurance - Your van insurance costs can vary depending on whether you select third-party only, third-party fire and theft, or a fully comprehensive policy. However, the cheapest doesn’t always equal the best, so make sure you select a policy that provides you with adequate coverage. 

3. Select the right payment method - Annual payments tend to be cheaper than paying monthly for van insurance. 

4. Make sure your work status and van usage are accurate - Consider the purpose of your van (commuting, transporting goods) as well as your job description as this can affect your premiums. Just remember to be honest - if not, you could invalidate your policy. 

5. Consider adding van security features - Alarms, trackers, and immobilisers can help bring the cost of your van insurance down.

Van insurance groups are categorised by the Association of British Insurers (ABI) based on their levels of relative risk. Every make and model of a van in the UK is assigned to an insurance group, of which there are 50 in total. Generally speaking, the lower the group your van is in, the less your van insurance should cost. 

You can check which insurance group your van is in before buying it, so you can see what the van insurance prices might be like if you went ahead with the purchase. 

Vans produced before 2016 are put in groups one to 20. Those produced after 2016 are put into groups 21-50. However, van insurance should not be purchased solely based on which group it falls into – this is only a guide and just one factor that can help determine the final cost of your van insurance.

Much like car insurance, there are many ways you can check when your van insurance runs out: 

1. Look for your van insurance renewal date on your policy documents or van insurance certificate.

2. Contact your provider and ask them directly or sign into your online van insurance account with them. 

3. Review your bank statements to track when your first payment date was. 

You can find out who your van insurance is with using a variety of different methods:

1. Check your emails for a confirmation email from an insurance provider containing policy details. 

2. Check your bank statements within the last year as your insurer should appear whether you pay monthly by direct debit or made an annual payment when you took out the policy. 

3. Check your paperwork as some insurers send hard copies of your policy documents through the post. 

4. You can also visit askMID.com (a motor insurance database) for free to check if your vehicle is insured.