Why your car insurance in France is expected to increase this year

Car insurance is becoming increasingly expensive in France with premiums widely expected to rise by another four to six percent in 2026, following a long-term upward trend that also saw an eight percent increase in 2025.

The national average premium is €751 per year, according to data from car insurance website Assurland.com, representing a 36% increase since 2010. 

Costs are higher in some regions, including Corsica and Provence-Alpes-Côte d’Azur, where average premiums now approach €950. 

Further increases of four to six percent in 2026 are forecast by industry analysts at Facts and Figures and Addactis - well above the 0.9% inflation rate - driven by the growing complexity of vehicles and the rising frequency of extreme weather events.

Repair costs for modern vehicles have increased significantly. Cars now include advanced electronics, driver-assistance systems, sensors, cameras and LED lighting, making even minor accidents expensive to fix. 

Replacement parts are expected to rise by six percent in 2026, with labour costs up 3.5%. 

Climate events add further pressure: hailstorms, floods, wildfires and storms across France in 2025 caused millions of euros in insured damage, forcing insurers to raise premiums. 

Severe accidents, though rare, account for a disproportionate share of compensation, further inflating costs for all drivers.

Who pays more and why

Insurance costs vary by region, vehicle type and driver profile. Coupés and cabriolets are the most expensive, people carriers are the cheapest. 

Small petrol city cars cost far less than large diesel SUVs, while electric vehicles now surpass all thermic cars, averaging €818 per year, compared with €753 for petrol and €735 for diesel. 

This represents a 45% increase in electric car insurance over the past two years, driven by expensive batteries, complex repairs and a still relatively young fleet. Premiums also vary by brand, with Dacia and Honda below €600, while Tesla can exceed €1,100.

Driver age strongly influences cost. Young drivers aged 17 to 25 pay an average €1,462 annually, almost three times the €508 for drivers aged 56 to 70. 

The bonus/malus system rewards careful driving: each accident can raise premiums by 25% if fully at fault, or 12.5% if shared. Claim-free years reduce premiums by five percent per year, up to a maximum 50% after 13 years.

Additional ways to limit costs include parking in a secure garage rather than on the street or driveway, choosing a car in a lower insurance bracket, and adjusting coverage to match driving habits. Around 27% of drivers opt for medium or basic (third-party) coverage to reduce premiums.