Motor vehicle insurance: Prices will rise by up to 8 percent in 2026!

Motor vehicle insurance: Prices will rise by up to 8 percent in 2026!

Drivers in Germany will have to prepare for higher costs in the coming year, as car insurance prices could rise by around seven percent on average. This reports daily news. This increase in prices is primarily due to increased workshop costs and the drastically increased prices for spare parts, which have increased by around 80 percent since 2015.

With the price increases, consumers are faced with the challenge of reviewing their vehicle insurance contracts in a timely manner. Drivers have until the end of November to change their current insurance, but only around 15 percent actually use this option. One reason for the low willingness to switch is the opaque offers and package sales, which sometimes combine different types of insurance such as liability and household contents insurance.

Switching options and savings potential

In order to counteract the rising costs, it is advisable to pay attention to a few factors, such as the workshop connection. This can help reduce insurance costs. Increasing your own contribution, limiting the number of kilometers driven and limiting the number of drivers can also reduce premiums. Many insurers also offer low initial premiums, which often increase later, making the situation even more difficult for consumers.

The price adjustments cover different types of insurance. While fully comprehensive insurance is becoming 8 percent more expensive and partially comprehensive insurance is increasing at 6 percent, liability insurance is recording an increase of 5 percent. In the cheaper price segment, the price increase is 7 percent. Insurance market dynamics remain volatile, and some insurers may continue to struggle to offer competitive pricing due to high repair costs, notes Verivox to.

Recommended actions for consumers

Consumer advice centers advise people to be careful when switching home insurance because there are only small price differences. When it comes to car insurance, drivers should compare the different tariffs carefully before switching, as the price difference between medium and cheap tariffs can be up to 52 percent. For example, a 45-year-old VW Golf driver from Berlin could save 836 euros by switching tariffs.

In order to reduce vehicle insurance premiums, it is also recommended not to report minor damage, otherwise the insurance company could terminate the contract. It may also be worth considering a deductible of 500 or 1,000 euros to significantly reduce premiums.