Market Trends of France Motor Insurance Industry
Increasing Number of Passenger Car Sales Witnessing France Motor Insurance Market Growth
New passenger car sales underwent a downward trend before two years in France. There was a continuous year-on-year decline in the number of new passenger cars registered in France. However, the trend has been reversed in the past two years, and the French automotive market has since experienced a recovery. Market analysis of the French new car market showed a continued increase in the popularity of electric cars and plug-in hybrid vehicles, while diesel-engined cars made up only a fifth of the market. The Stellantis Group was the largest carmaker in France, and Peugeot was the best-selling brand. Consequently, passenger car sales are increasing and are expected to increase further during the forecast period.
Increase in Premium of Car Insurance
The motor insurance costs in France increased. The average motor insurance premium has increased by 3% in the current year compared to the previous year. This increase is mainly due to an increase in spare parts costs of more than 10% and repair costs of more than 3%. Motor insurance rates in France vary according to the motorists' age due to their lack of driving experience because the young age group is the most involved in road accidents and also rates fluctuate depending on the region.
