Insuring your home in Scotland was 14.9% more expensive than in 2024, according to the Consumer Intelligence Home Insurance Price Index.
The lowest increase in the UK was in the West Midlands, where the cost of cover increased by 4%.
While there were price increases noted in every region of the UK, over the last three months, quoted premiums for building and contents insurance dropped by 2.2%.
On average, insurance premiums to protect your home costs between £150 and £199, with just under a quarter of all quotes falling into that range.
Over the last 10 years, home insurance premiums have soared by 65% since Customer Intelligence’s data began.
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In terms of age, quotes for households with residents in their 50s and over rose the most, with premiums shooting up by 13.6% in the year up to December 2024.
If you had to make a claim due to a robbery, premiums cost 14% more than they did a year ago, with claims under buildings – which covers the cost of repairs – rising by just 3%.
Policyholders who did not make a claim saw their premiums fall 2-4% on average in the last three months.
Matthew McMaster, senior insight analyst at Consumer Intelligence, said: “Most of the inflation in quoted premiums happened in the first four months of last year, with the rest of the year seeing relative stability and decreases.
“The last three months of 2024 saw the entry of two new brands – Super and Epic – from Lemonade and the continued roll-out of the company’s most affordable product Lemonade Ace, making them one of the most competitive brands in the marketplace.”
Meanwhile, there is a review by the Financial Conduct Authority (FCA) into whether customers are receiving fair, competitive deals on their cover.
One aspect under review is insurance paid for by premium finance, where customers borrow the premium amount with an average yearly rate added on top at a price of between 20% and 30%.
‘Service provided by home insurers is not getting any better’
Rocio Concha, Which?’s director of policy and advocacy, said: “Which? research has found that, despite higher premiums, the service provided by some home insurers is not getting any better.
“Our researchers found that during the claims process, customers can be asked multiple times to submit the same evidence, have to chase their insurer for a decision, and are either offered meagre payouts or have their claim rejected, often without an explanation.
“Customers who wish to escalate their claim to the Financial Ombudsman Service then have what are often stressful ordeals prolonged in a bid to simply receive what they are owed.”
Concha added: “The Financial Conduct Authority must get tough with home insurers letting their customers down. That means clamping down on insurers that are making the claims process needlessly more stressful.”
