5 Largest Auto Insurance Companies in UK
Table of Contents
Introduction
According to data gathered by personal finance research and analytics website NimbleFins, the 5 largest auto insurance companies in the UK underwrite more than 40% of the country’s auto insurance policies, with combined gross written premiums amounting to £7.726 billion in 2021. These firms also hold a dominant market share, controlling 48.4% of the market.
To determine the top car insurance companies in the UK, NimbleFins gathered data on each company’s gross written premiums (GWP) by analyzing regulatory reports, press releases, annual financial statements, and risk management reports from the SFRC. The website also obtained financial strength ratings from credit rating agencies Fitch, Moody’s, and Standard & Poor’s (S&P), as well as complaints data from the Financial Conduct Authority (FCA) and Financial Ombudsman Service (FOS).
Despite the relatively small number of leading industry players that dominate the auto insurance market in the UK, the products, services, and benefits offered by these companies vary significantly.
What are the largest players in this game?
Admiral Group
Car insurance company Admiral offers coverage through various brands, with different levels of protection and benefits. Its comprehensive plan provides the highest level of protection, including coverage for windshields, stereos, child car seats, and replacement for vehicles less than a year old. The policy also includes extended coverage for policyholders driving in Europe for up to 90 days.
In the past year, Admiral has introduced several car-related products, including insurance policies for delivery drivers and couriers, and a low-cost plan called Admiral Essentials that is sold through price comparison channels.
The insurer has also launched the Admiral virtual assistant (AVA), which helps address common questions and concerns from customers and allows them to update their policies, make a claim, or view policy details.
- Market share: 14%
- Gross written premiums: £2.237 billion
- Distribution channels: Own brands, price comparison websites
- Car insurance brands: Admiral, Bell, Diamond, elephant.co.uk, Gladiator
- Financial strength ratings: A (Fitch)
Direct Line Group
Direct Line offers car insurance policies with a range of standard features, including vandalism protection, used car replacement, and a fair claim commitment, at competitive prices. The insurer also has a reputation for excellent customer service, as reflected in its top 10 rating on review website Trustpilot.
Direct Line has a partnership with Volkswagen, offering short-term and annual policies to customers purchasing new and used cars from Volkswagen, SEAT, Audi, and Škoda dealers through its UK Insurance unit.
In recent years, Direct Line has focused on digitalizing its claims operations to make the experience faster and simpler for clients. It also invested £2 million in a new car technology center to enhance its efficient repair capabilities and launched coverage for electric vehicles.
- Market share: 10.8%
- Gross written premiums: £1.73 billion
- Distribution channels: Own brands, price comparison websites
- Car insurance brands: Direct Line, Churchill, Darwin, Privilege
- Financial strength ratings: A1 (Moody’s)
Aviva
Aviva is known as one of the leading multi-car insurance providers in the UK, offering clients up to a 10% discount on premiums. It also has a strong presence on price comparison websites, with its Quotemehappy.com brand offering some of the cheapest rates. Aviva has received high customer ratings on Trustpilot, ranking among the top companies on the list.
In the past year, Aviva has expanded its personal lines motor insurance products to include a range of protection options for electric vehicles (EVs), including coverage for roadside breakdowns, electrical surges, and accessories.
- Market share: 10.5%
- Gross written premiums: £1.677 billion
- Distribution channels: Own brands, price comparison websites
- Car insurance brands: Aviva, Quotemehappy.com, One Call, General Accident
- Financial strength ratings: Aa3 (Moody’s), AA- (S&P), AA- (Fitch)
Hastings Direct
Hastings Direct offers flexible car insurance with a range of benefits, allowing policyholders to add optional features such as enhanced personal accident cover, breakdown protection, motor legal expenses, and key protection. Its Hastings Essential car insurance is the cheapest option and can be accessed exclusively through price comparison websites, while its Direct and Premium policies offer higher levels of coverage.
Hastings Direct is committed to improving its digital capabilities, enabling customers to easily purchase insurance online and conveniently manage their accounts through a customer portal and app.
- Market share: 7%
- Gross written premiums: £1.112 billion
- Distribution channels: Own brands, price comparison websites
- Car insurance brands: Hastings, insurePink, People’s Choice
- Financial strength ratings: A- (Fitch)
AXA
AXA offers auto insurance under its own brand as well as underwriting policies for several external brands, such as mypolicy.co.uk and By Miles, which provides pay-per-mile coverage. The company offers standard coverage with a range of features and discounts, which are expected from a large international insurance company. These include a lifetime guarantee on repairs, 90-day European driving cover, and protection for audio and navigation systems.
- Market share: 6.1%
- Gross written premiums: £969 million
- Distribution channels: Directly, outside brands, broker partners
- Financial strength ratings: Aa3 (Moody’s), AA- (S&P), AA- (Fitch)
FAQs
What are the five largest auto insurance companies in the UK?
The five largest auto insurance companies in the UK are Direct Line, Aviva, Hastings Direct, AXA, and Admiral.How do these companies compare in terms of coverage options and benefits?
While each company offers its own unique set of coverage options and benefits, they generally provide a range of options to meet the needs of UK drivers. It is important to carefully compare the specific coverage and benefits offered by each company to determine which one is the best fit for your needs.Can I purchase auto insurance from these companies online or do I have to visit a physical location?
Most of the largest auto insurance companies in the UK offer the option to purchase insurance online or through a local agent or broker. It is worth checking the specific policies and methods of purchasing offered by each company to find the one that works best for you.Do these companies offer discounts for bundling auto insurance with other types of insurance?
It is possible that some of the largest auto insurance companies in the UK may offer discounts for bundling auto insurance with other types of insurance, such as home insurance or life insurance. It is worth checking with each company to see if they offer any bundling discounts.Do these companies have a good reputation for customer service?
Overall, the five largest auto insurance companies in the UK have a good reputation for customer service. It is worth reading online
Conclusion
In conclusion, the five largest auto insurance companies in the UK are Direct Line, Aviva, Hastings Direct, AXA, and Admiral. These companies hold a significant market share and offer a range of coverage options and benefits to meet the needs of UK drivers. While they may vary in terms of the specific products and services they offer, all five companies have a reputation for providing reliable and competitively-priced auto insurance. It is important for consumers to carefully compare their options and consider factors such as coverage, cost, and customer service when choosing an auto insurance provider.
