Motor Insurance: Low Incomes
The question
To ask the Secretary of State for Transport, with reference to the Motor Insurance Taskforce’s final report, published on 10 December 2025, what steps she is taking to assess and help tackle barriers facing low‑income and financially excluded consumers in the motor insurance market; and whether she plans to introduce targeted interventions for those groups.
Answered by Lilian Greenwood
The taskforce considered proposals related to subsidising motor insurance for households on low incomes but the consequences of direct market intervention are often hard to predict and could result in increased costs for others. The government has no plans to take these proposals forward at this time.
Instead, the taskforce has focused on driving down the cost of claims – rooting out inefficiencies, increasing safety, and reducing opportunities for fraud and theft – to stabilise and ultimately reduce the premiums that all motorists pay, including those on lower incomes.
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