Irish motorists can reduce their annual motor insurance expenditure by roughly €300 simply by comparing policies across providers, according to new Central Bank research published on Friday.
Pricing Varies Across Consumer Profiles and Underwriters
- Central Bank analysis of 16 distinct consumer profiles shows widespread pricing variations for identical driver coverage across eight major domestic underwriters.
- Only 9% of motorists actively switch insurance providers, while one in five renew existing policies without engaging with their provider.
- Higher-risk profiles—including motorists with penalty points, business users, and learner drivers—frequently require broker channels or direct insurer contact because online platforms omit them.
Central Bank Research Reveals €300 Saving Potential
The regulator examined online new-business quotes gathered in June from eight primary insurers controlling more than 90% of the Irish private motor insurance market, RTÉ reported. The findings indicate that shopping around yields an average cost reduction of around €300 for identical driver profiles. Data from the Central Bank’s National Claims Information Database (NCID) 2025 report establishes the average motor insurance premium in Ireland at approximately €655.
Despite these potential savings, consumer engagement remains low. The study discovered that just 9% of motorists switch insurers at renewal, while 20% renew their policies without communicating with their provider at all.
“It is not just about price,” said Seána Cunningham, Director of Insurance with the Central Bank. “Consumers should also compare the level and type of cover provided to make sure they are getting the right cover for them.”
Consumers Use Different Methods to Purchase Insurance Policies
The research maps out how policyholders purchase coverage across the market. Over half of consumers (53%) call their insurer directly, 20% use a broker, 18% buy through an insurer’s website, and 4% rely on price-comparison websites.
Industry representatives welcomed the data while emphasizing broader market context. Moyagh Murdock, Chief Executive of Insurance Ireland, said that pricing trends remain favorable for policyholders.
“Motor insurance prices are down more than 5% on last year, there is real choice in the market and, importantly, almost eight in 10 customers say they are satisfied with their current insurer,” Murdock told RTÉ.
| Metric | Data Point |
|---|---|
| Average Motor Premium (NCID 2025) | €655 |
| Potential Savings via Shopping Around | ~€300 |
| Active Switcher Rate | 9% |
| Market Share Underwritten by Insured Sample | >90% |
Higher-Risk Profiles Face Hurdles with Online Portals
The regulatory review highlighted structural hurdles for specific demographics. Online portals do not consistently generate quotes for higher-risk profiles, forcing individuals with limited driving experience, penalty points, or business vehicle use to search more widely.
“For learner drivers, progressing to a full licence is one of the most straightforward ways of improving your risk profile,” she told RTÉ. “Building driving experience, maintaining a safe driving record, avoiding penalty points and developing a claims-free history all matter over time.”
Disclaimer: The information provided in this article is for educational and informational purposes only and does not constitute financial advice.
