‘Millions’ of drivers breaking simple car insurance rule due to high costs

Experts are claiming millions of drivers are getting behind the wheel with no car insurance policies due to soaring bills. New analysis from insurance provider CRIF, up to 5% of UK motorists have previously driven without valid car insurance, despite it being a legal requirement.

This would equate to around 1.4 million drivers potentially breaking the law with rising costs one of the biggest factors. The study has indicated that a further 2.4 million drivers (8%) say that they haven’t driven without insurance to date but would be prepared to do so in the future. Car insurance is a legal requirement with road users at risk of being slapped with heavy fines and penalty points on their licence for breaking the rules.

Sara Costantini, Regional Director for the UK & Ireland at CRIF said: “UK drivers are struggling with spiralling premiums and it’s deeply concerning to see millions of people take to the road uninsured as a result. They’re not only breaking the law but also putting them and others at increased risk.

“While premiums have started to drop, they remain well above pre-pandemic levels. It’s vital the industry works to harness the latest innovations in areas like data and analytics to improve assessments and fraud detection. This would help drive costs down further and increase affordability, so that drivers aren’t forced to choose between their finances and safety on the road.”

According to CRIF, although insurance costs have started to decline, costs are still significantly above pre-pandemic levels.

Data from The Association of British Insurers (ABI) shows that premiums soared by a staggering 25% in 2023 alone.

The recent study by CRIF of 6,000 consumers across Europe in March 2025 found that 45% had noticed a sharp increase in car insurance costs over the past five years. Almost half (45%) of European car insurance policyholders believe their insurance bills are now the most expensive they have ever been.

A recent study by Which? found that record claims costs are among the reasons customers are paying a lot to insure their vehicles. Analysis found that insurers paid out £3.2billion in car insurance claims in the first three months of 2025.

Which? stressed that an increase in repair charges was putting particular pressure on providers to increase their costs.