Insurance

Exploring The Status Of UK's Home Insurance Market

insurance-policyThere are millions of homeowners throughout the United Kingdom. These individuals have helped to make the country a profitable one for home insurance agencies. Until recently, consumers have been plagued with unrelenting price increases. If you reside within the UK, you could soon be hit with some good news. Where is the home insurance market within the United Kingdom headed? What should you expect from future premiums? You'll find out below.

Dropping Premiums

The biggest news and undoubtedly the best is the fact that United Kingdom residents will be paying less for their home insurance this year. In fact, the premiums have fallen 12% this year. The prices haven't been this affordable, since 2010! On average, the prices have decreased as much as £7, but some portions of the country have seen even bigger drops.

In fact, those within Shrewsbury have benefited the most. Residents within this region will pay 12% less this year than they did the year before. On average, this will save Shrewsbury residents as much as £13.28 on their monthly premiums. Dudley residents will pay £13.19 less. The savings might not seem like a great deal initially, but they'll begin to add up and Englanders will benefit enormously.

What Is Driving The Changes?

Too much of a good thing can be somewhat frightening. This has led to many within the UK to ask what has brought about the decrease in premiums. What precisely is driving down the rates? According to the experts at http://motorhomeinsurance.org.uk/, the decrease has been brought about, due to the dropping crime rates within the United Kingdom. In fact, it has been revealed that the premiums within most postcodes have dropped steadily for the past six years and decreasing burglary rates can be credited. Some experts have also concluded that switching providers now would be incredibly wise and would undoubtedly result in even lower premiums.

Flood Re

Another massive change coming out of the United Kingdom is the government's brand new Flood Re program. The governmental program has been designed to provide relief to residents, who reside in regions deemed to be high-risk for floods. Previously, residents residing in such areas would find it nearly impossible to gain access to reliable coverage at an affordable price. With the government's plan, consumers would be able to acquire insurance protection against floods, without being hit by massive insurance premiums. Previously, residents that lived in these areas were required to pay premiums as high as £5,000 from private insured. Through the brand new Flood Re program, homeowners will be able to acquire rates ranging from £600 and lower.

Although the program sounds great for those living in high-risk areas, it should be known that it would be partially funded through new taxes on all homeowner insurance policies. It is also unknown whether or not the program will offer any relief to landlords or businesses.

Overall

All in all, residents in the United Kingdom should expect a lot of changes in regards to their home insurance. The good news is that the majority of these changes will prove to be beneficial. Most will agree that the benefits outweigh the cons, especially when it comes to lower premiums for all.

Do you have any questions? Please ask.