Home insurance premiums have fallen for the first time in a year in what’s being described as a ‘small reprieve’ ahead of storm season.
The average combined buildings and contents insurance premium was £229 in Quarter 2 (Q2) 2025 (1 April through to 30 June), according to the latest price index from Go.Compare.
This was down 1.3% on the previous quarter when the average premium was £232.
Go.Compare said while prices peaked at £241 in Q2 2024, they have since shown signs of stabilising, with the latest figure representing a 5% year-on-year drop.
And both buildings-only and contents-only policies saw slight declines this quarter. The average buildings-only premium fell to £199 (from £208), while contents-only policies edged down to £62 (from £63).
Property size also plays a key role when it comes to premiums, Go.Compare revealed. Its index showed a one-bedroom home cost around £170 to insure, compared to £281 for a four-bedroom property.
However, homeowners are being warned, despite the overall dip in the cost of home insurance premiums, costs may rise again as autumn weather sets in.
The Association of British Insurers (ABI) reported insurers paid out £1.6 billion in property claims in Q2 2025, of which £322 million was weather-related. This highlights the risks of storms, flooding and freeze events as the UK heads into the colder months.
The experts are warning that weather-related claims remain high and could push prices up again in future, especially in higher-risk areas
Nathan Blackler, expert at Go.Compare home insurance, said: “It’s encouraging to see premiums come down slightly after months of increases. But with autumn storms around the corner, now is the time for households to prepare.
“The cost of claims has increased in the last quarter by 7% for insurers, so while prices have softened this quarter, they are likely to rise again – particularly for homes in higher-risk areas.
“Shopping around, maintaining your property and bundling cover are three of the most effective ways to keep costs down.”
Cut your home insurance premiums
Go.Compare has offered the following tips to help you achieve cheaper home insurance premiums this autumn.
Compare before you renew – don’t be one of the 25% of Brits who auto-renew without checking other options. You could be missing out on savings.
Bundle your cover – combined buildings and contents insurance is usually cheaper than two separate policies.
Pay annually – monthly instalments often include added interest and data shows paying monthly for a combined policy could mean you £50 more.
Get storm-ready – clear gutters, trim back trees and check your roof tiles before the bad weather hits.
Upgrade security – smoke alarms, burglar alarms and strong locks can reduce your premium.
You can find more tips to help you save money on your home insurance here.
