UK drivers are being warned to stay alert as new insurance data shows car insurance claims typically surge by around 40 per cent on New Year’s Eve.
With millions travelling to see friends and family, insurers say the final days of the festive season remain one of the most accident-prone periods on Britain’s roads.
The findings are based on a comparison between New Year’s Eve claims and the daily average for the same festive period from 2020 to 2024, highlighting a consistent and worrying trend for motorists.
Why Do Car Insurance Claims Spike at the New Year?
Despite roads often feeling quieter than earlier in December, insurers say this can create a false sense of security. Drivers may take risks they would normally avoid, such as speeding or paying less attention at junctions and roundabouts.
James Armstrong, CEO of Veygo by Admiral, says reduced traffic does not mean reduced danger.
“Despite New Year’s Eve being quieter than the start of the festive season, it’s imperative that drivers still pay attention.
Some motorists think quieter roads mean they can take more risks, but that’s often when accidents happen,” he said.
What Types of Car Insurance Claims Are Most Common?
Insurance providers report that the majority of claims made between Christmas Day and New Year’s Day involve everyday driving mishaps rather than high-speed crashes.
Damaged windscreens are particularly common due to winter grit and debris, while rear-end collisions tend to happen in stop-start traffic around town centres and residential areas.
Another frequent issue is drivers clipping or hitting parked cars, often while manoeuvring in narrow streets near family homes.
Does Driving in Unfamiliar Areas Increase the Risk?
Yes, and insurers say this is a major factor behind the seasonal rise in claims. Many motorists spend the festive period driving in areas they do not usually visit, dealing with unfamiliar parking layouts, poorly lit roads and unexpected traffic restrictions.
Hesitation at junctions, misjudging kerb space and uncertainty when reversing are all common contributors to low-speed accidents.
UK insurers note that a large number of claims occur just minutes from a destination, particularly outside relatives’ homes.
This risk is higher when drivers borrow or share vehicles during the holidays, leading some motorists to rely on temporary cover when they are not the main policyholder.
How Alcohol and Festive Errands Add to Insurance Costs
The festive clean-up also plays a role. Claims data shows a noticeable increase in incidents when drivers make short trips to the tip to dispose of packaging and Christmas waste. Overloaded vehicles can obstruct rear visibility, increasing the chance of collisions.
Experts also continue to warn against driving after drinking alcohol. Even small amounts can slow reaction times and lead to judgment errors that result in costly claims, higher premiums and potential driving bans.
What Role Does Winter Weather Play?
Cold, wet and icy conditions significantly increase stopping distances, even at low speeds. Insurers say many claims could be avoided with basic vehicle checks, especially after a car has been left unused for several days.
Mr Armstrong advises drivers to take a few minutes before setting off.
“Check your tyre pressure and tread, make sure all lights are working, top up washer fluid and ensure your wipers are in good condition. These simple checks can make a real difference in winter driving,” he said.
What Drivers Can Do to Reduce Their Risk
Planning ahead is key. Drivers are encouraged to allow extra time for journeys, avoid overpacking cars with gifts, and stick to familiar routes where possible. Paying close attention in residential areas and car parks can also help prevent the low-speed accidents that make up a large proportion of festive claims.
