If your car insurance renewal looks higher this year, you are certainly not imagining it.

The latest September 2026 motor insurance figures show that car insurance prices have risen by 9.7% over the last year. Drivers under 25 have seen an even sharper increase, with premiums up by 18.7% annually.

But there is a twist. Van insurance premiums have moved in the opposite direction, falling by 4.5% in the three months to August.

That might seem odd. After all, cars and vans both use the same roads, face similar repair bills and occasionally encounter the same enthusiastic supermarket trolley. But insurers price each type of vehicle and use differently.

So, whether you insure a family car, a work van or something in between, your renewal is worth a proper look. Here is what the market shift could mean for you – and how to approach your next quote more sensibly.

A market swing

Car insurance prices have not followed a straight line recently.

After a period of falling premiums, prices have now started to rise again. The 9.7% annual increase suggests that many drivers are feeling renewed pressure when their policy comes up for renewal.

Several factors can influence this wider movement:

  • More expensive vehicle repairs and replacement parts
  • Higher labour costs in repair centres
  • Increasing technology in modern vehicles
  • Changes in theft and claims patterns
  • Insurers adjusting prices to reflect their view of future risk
  • Competition changing between different types of policies and drivers

This does not mean every driver will see a 9.7% increase. Your own premium is based on your circumstances, vehicle, postcode, driving history and cover requirements.

A clean driving record may help, but it is not the only factor. A relatively small change – such as a different job title, a new address or a higher annual mileage – can affect the quote.

And importantly, a renewal price is not necessarily the best price available in the market.

Why vans differ

The fall in van premiums is based on a different period from the annual car figure. Car prices are up over 12 months, while van premiums fell during the latest three months to August. So the two figures are not a perfect like-for-like comparison.

Still, the difference is worth noting.

Van insurance is influenced by factors such as:

  • The size and value of the van
  • Whether it is used privately or for business
  • The type of goods or equipment carried
  • Where it is kept overnight
  • The number of drivers
  • The distance travelled
  • Whether the van is used by one person or several employees
  • The claims experience within that part of the market

A self-employed electrician, a florist delivering wedding arrangements and someone using a van to move house may all need different cover. The vehicle might look similar, but the risks are not.

That is why it is important to compare van insurance with the correct details. A cheaper quote based on the wrong use could cause problems later.

Check the vehicle use

One of the most useful things you can do before renewing is check that your policy still reflects how you use your vehicle.

For a car, think about whether you use it for:

  • Social, domestic and pleasure purposes
  • Commuting to one regular place of work
  • Travelling to different work locations
  • Occasional business journeys
  • Regular business mileage

For a van, the distinction can be even more important. You may need cover for carrying tools, stock, materials or goods belonging to customers. You might also need cover for multiple drivers or for deliveries.

It is worth being accurate rather than optimistic. Reducing your declared use or mileage simply to obtain a lower quote may not be a sensible saving if the policy no longer matches reality.

And if your work has changed since last year, update your insurer. A policy that suited your old job may not be suitable for your new one.

Revisit your mileage

Annual mileage is another area that deserves a quick check.

If you worked from home more often, changed jobs or stopped making a long daily commute, your mileage may have fallen. On the other hand, a new role or growing business may mean you are driving further.

Have a look at your last MOT records, service paperwork or vehicle mileage display. You do not need to predict every mile perfectly, but a realistic estimate is helpful.

Avoid guessing too low. If your mileage is clearly inconsistent with how you use the vehicle, it could create unnecessary questions if you need to make a claim.

For vans, also consider the pattern of use. A low annual mileage may still involve frequent short business trips, while a higher mileage might result from occasional long-distance journeys. The detail matters.

Compare before renewal

Shopping around remains one of the simplest ways to test whether your renewal price is competitive.

You can start by checking your existing insurer’s offer, then compare it with alternatives. T&R Direct Insurance Services offers motor insurance from a panel of leading UK insurers, including options for cars, vans, commercial vehicles and other types of motor cover.

When comparing quotes, try to keep the details consistent. Check:

  • The level of cover
  • The policy excess
  • Annual mileage
  • Vehicle use
  • Driver details
  • Optional extras
  • Whether courtesy car cover is included
  • Whether legal expenses cover is included
  • Whether breakdown cover is included

A quote that is £40 cheaper may not be better value if it has a much higher excess or leaves out an important feature.

It is also worth starting before your renewal date. That gives you time to check the details rather than making a hurried decision while the countdown clock is ticking.

Review the excess

Your excess is the amount you may have to pay towards a claim. It usually includes a compulsory excess set by the insurer and, in some cases, a voluntary excess you choose yourself.

Increasing the voluntary excess can sometimes reduce your premium. But make sure you could comfortably pay the total excess if something happened.

For example, a small annual saving may not be worthwhile if it leaves you facing a large bill after an accident. The best excess is not necessarily the highest one available – it is the one that fits your budget and circumstances.

It may also be helpful to check whether the excess changes for windscreen damage, theft or young drivers. Policy details vary, so read the wording rather than relying only on the headline price.

Be selective with extras

Add-ons can be useful, but they should earn their place on your policy.

You might want to consider:

  • Breakdown cover
  • Motor legal expenses cover
  • Courtesy vehicle cover
  • Personal accident cover
  • Key cover
  • Replacement vehicle cover

If you already have breakdown cover through another provider, a bank account or a vehicle manufacturer, you may not need to buy it twice.

On the other hand, breakdown cover can be reassuring if you depend heavily on your vehicle. T&R Direct offers RAC Breakdown Insurance, with cover levels including roadside assistance, recovery and home assistance.

The key is to choose extras based on your situation – not because they happen to appear in a colourful online bundle.

Car or van?

Sometimes the biggest renewal question is not which insurer to choose. It is whether you have the right type of policy.

If you use a car to carry tools or equipment for work, ordinary social and commuting cover may not be enough. If you use a van mainly for private purposes, a commercial policy may still be appropriate depending on the vehicle and its use.

Do not assume that changing the vehicle category will automatically reduce your premium. The right cover depends on what you do with the vehicle, who drives it and what it carries.

Explain your circumstances clearly when requesting a quote. This gives insurers a better chance of offering suitable cover and helps you avoid unpleasant surprises later.

A smarter renewal checklist

Before accepting your next quote, take a few minutes to:

  1. Check that your address and occupation are correct.
  2. Review the vehicle’s use and estimated mileage.
  3. Confirm who will drive it.
  4. Compare the renewal price with alternative quotes.
  5. Check the compulsory and voluntary excesses.
  6. Review optional extras and remove anything duplicated.
  7. Make sure a van policy reflects business use, goods carried and drivers.
  8. Check the start date so you do not create a gap in cover.
  9. Read the important exclusions and limitations.
  10. Ask questions if any part of the quote is unclear.

This process will not guarantee a lower premium. Market prices are moving, and some changes are outside your control. But it should give you a clearer view of what you are paying for.

The road ahead

The latest figures show that motor insurance is not moving in one single direction. Car premiums have risen by 9.7% over the year, while van premiums have fallen by 4.5% over the latest quarter.

That difference is a useful reminder that insurance prices are personal. Your renewal may not match the headline trend – and another driver’s result may not tell you much about your own.

So when your renewal arrives, try not to accept it automatically. Check the details, compare suitable cover and make sure the policy reflects how you actually drive.

For a competitive motor insurance quote from a panel of leading UK insurers, you can contact T&R Direct. A few minutes of careful checking could help you find cover that fits your vehicle, your work and your budget more comfortably.