Every driver warned to prepare for major changes around car insurance

Drivers are being told there could be big changes to how much they pay for car insurance. Premiums have skyrocketed over the past few years, with millions of drivers reporting staggering charges.

But drivers are now being promised changes to the car insurance system and lower prices. The pledge was made by the new Labor government which insists motorists are being stung by car insurance prices that are too high.

The party says tolls are “out of control” and a major contributor to cost of living problems because insurance is a legal requirement and drivers have no choice to have it. Labor is set to pressure the Competition and Markets Authority and the Financial Conduct Authority to force insurers to cut costs.

READ MORE: Labor set for £1,654 rise under new Labor government

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It remains unclear how long households will have to wait before seeing their premiums start to drop. Money expert Martin Lewis was among the fiercest critics of rising insurance costs, insisting they were far too high. Some drivers have reported costs rising by hundreds or even thousands of pounds, with the worst-off forced to give up driving because of unaffordable charges.

New Transport Secretary Louise Haigh told the Mirror: “Car insurance is a legal requirement and an essential – not a luxury. Labor will not stand by and watch while drivers are punished by the out-of-control cost of coverage.

“We will urgently call on regulators to clamp down on any unfair practices and clarify the causes of the increased costs for consumers.” Labor also pledged to fix a million potholes on Britain’s crumbling roads to reduce damage to cars and subsequent claims to insurers.