ACCORDING to research conducted by Go.Compare Van Insurance a surge in mileage covered by LCVs has significant implications for insurance premiums, which can increase depending on the number of miles driven.
Vans travelled 57.5 billion miles in 2022 – up 35% from the previous year
Van owners covering 10,000 to 14,000 miles annually pay a median insurance price of £544, according to the insurance comparison site. As mileage increases, premiums rise, reaching £634 for those covering 15,000 to 19,000 miles per year, and soaring to £871 for those surpassing 20,000 annual miles – a notable 60% increase on the lowest tier.
Tom Banks, motoring expert at Go.Compare, said: “As we witness a record-breaking increase in van mileage, it’s crucial to understand the ripple effect on insurance premiums. This surge not only signifies a fundamental change in transportation patterns but also raises valid concerns about the financial implications for van owners.
“Insurance premiums are sensitive to factors like mileage, and as van drivers clock more miles, the risks of incidents and wear and tear naturally escalate. Staying on top of maintenance and taking care of your vehicle can help to alleviate future mishaps.
“Van owners should also be vigilant, making sure to accurately estimate their annual mileage and compare deals to navigate potential premium increases effectively. By doing so, they can safeguard both their vehicles and their wallets.”
Rising van traffic is closely tied to the flourishing e-commerce sector, which constituted 30% of the total retail market in the UK during the same period. The boom in online shopping has fuelled a demand for delivery services, translating to more vans on the road.
