South Antrim MP Robin Swann has called on both the UK Government and the Northern Ireland Executive to take coordinated action to reduce motor insurance premiums in Northern Ireland, following an update from Westminster on the progress of its motor insurance taskforce.
Minister for local transport Lilian Greenwood MP said the taskforce is focusing on reducing claims costs by addressing inefficiencies and limiting fraud and vehicle theft – factors long linked to rising premiums.
Swann welcomed the progress but cautioned against complacency.
“I am pleased the taskforce has identified the inefficiencies and safety issues that push up costs for motorists,” he said. “However, the Government must not stop their work on this now that a report has been published. We need to see these actions translate into lower premiums for drivers who are struggling with the current cost of insurance.”
Younger motorists continue to bear the highest costs. CompareNI.com data from January 2026 showed average premiums for young drivers in Northern Ireland at £1,470, making it the second most expensive region after London for teenage motorists. The region also recorded the steepest quarterly rise in Q4 2025, with premiums increasing by £152.
Seven district council areas reported teenage premiums exceeding £2,000, including Belfast; Lisburn and Castlereagh; and Fermanagh and Omagh.
The taskforce’s work centres on improving claims processes and tackling fraud and vehicle theft, both of which contribute to higher premiums.
The UK Government also highlighted progress on a new Road Safety Strategy and a consultation in England on stricter penalties for uninsured or unlicensed drivers. While these measures apply mainly to England, they form part of broader efforts to improve compliance and reduce risk.
Underlying structural factors also play a role. The Association of British Insurers has noted that Northern Ireland experiences a higher proportion of deaths and serious injuries from road collisions than the rest of the UK, affecting how insurers assess risk.
Greenwood acknowledged that Northern Ireland faces distinct challenges, including road safety outcomes and judicial costs – both devolved matters under the Northern Ireland Executive.
Unlike England and Wales, where fixed compensation tariffs apply to minor injury claims, Northern Ireland has yet to introduce similar reforms. A government review of personal injury claims could reduce premiums by around £90 on average.
Swann said meaningful change would depend on coordinated action.
“Addressing the high cost of car insurance requires effort in both Westminster and Stormont,” he said. “While the Department for Transport tackles UK-wide issues like fraud, the Northern Ireland Executive must address the specific regional factors that keep our costs high. I will continue to press both the Government and the Executive to work together to ensure NI motorists get a fair deal.”
