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Van insurance costs have sky-rocketed in recent months, so much so that the typical van driver will now have to pay twice as much as their car-driving counterparts to insure their vehicle, with the average policy clocking in at over £1,500.
That's according to research from Consumer Intelligence, which found that van insurance premiums hit an average of £1,591 in October, after rising by 11.7% in the last year. Indeed, the average cost of insuring a van is now double the best buy premium for car insurance (£788), so white van men everywhere could have a disproportionate bill to pay.
This is particularly the case for younger drivers, who despite avoiding the worst of the price rises – average costs for under-25s rose by 3.6% in the year to October – still have to pay the highest prices overall, with it costing an average of £4,770 a year to insure their vehicles. Conversely, those over 50 pay just £405 (up 10.7% year-on-year), and 25-49 year-olds have seen prices rise by 14% to £742.
So how can you cut the cost of van insurance? One way could be to opt for "carriage of own goods" cover. Average best buy premiums for this form of cover – which is suitable for workers such as builders, carpenters, plumbers and shoppers who commute – are £1,364, having risen by a lesser 10.9% in the year to October.
Compare this with the average premium for those who choose "social, domestic and pleasure" cover, which clocks in at a whopping £2,529 after rising by 15% in the last year, and you'll soon see which option is more cost-effective.
"Van drivers are paying double the average car insurance premium of £788, and with more people using their vans for work, that adds to the costs of doing business," said Ian Hughes, chief executive of Consumer Intelligence.
"Researching the market is crucial and shopping around will help as prices vary month on month and between providers. Choosing the appropriate cover is also important and opting for carriage of own goods can keep costs down. However, the general trend is up across all segments of the market."
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