Almost four million motorists let their annual premiums automatically renew last year instead of shopping around for cheaper options.
Drivers said their insurer had the cheapest rate in the previous year and believed it was good value to stick with them again this year.
However, despite sticking with their current policy, more than 80 per cent of surveyed motorists saw their premiums increase over the past year with 10 per cent automatically renewing their car insurance policy, without hesitation.
The results of the survey found London to have the highest number (16 per cent) of motorists anywhere across the UK who let their insurance renew, compared with just four per cent from the East Midlands.
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35 per cent of motorists aged 18 to 24 did not want the hassle of cancelling a direct debit
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Out of those who renew automatically, 49 per cent of elderly people aged 65 and over said they believed their current policy to be the cheapest as the reason why for not switching or considering other options.
Tom Banks, car insurance spokesperson for Go.Compare, said: “With premiums still on the increase, it’s now more important than ever to shop around at renewal.
"Insurance companies will change how they price for certain risks and, just because one insurance company was the right policy or cheapest for you last year, it doesn’t mean it will be the same this year.”
Almost a quarter of motorists said loyalty to their existing provider was a major factor in their decision not to switch over to somewhere potentially cheaper.
Between 15 and 20 per cent said the hassle of having to cancel a monthly direct debit and setting up a new one, or the idea of switching would be a lot of hassle or very difficult, prompting them to stick with their insurance provider.
Similarly, 35 per cent of motorists aged 18 to 24 did not want the stress of cancelling a direct debit and setting up a new one.
Banks added: “Shopping around at renewal also remains one of the best ways to save on your insurance.
“Simply letting your insurance renew may seem like an easy option, but this could actually end up hitting you in the pocket in the event of making a claim – particularly if you haven’t checked you still have the cover that you need or if there have been any changes from last year.”
Meanwhile, 10 per cent of surveyed drivers said they were worried they would lose their no claims bonus if they switched or were concerned they could end up without insurance if they made the move over to another provider.
Car insurance premiums have been rising over the past few years, with inflation and increases in thefts not helping.
New research showed that by a large margin, the South West of England, which includes popular cities such as Bristol, Plymouth and Exeter, came out as the cheapest place for car insurance premiums.
The South West saw monthly car insurance premiums average £512 per month in the last quarter of 2023, compared with £459 recorded at the beginning of last year.
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Car insurance prices last year jumped by roughly 25 per cent with London being hit worse
Go.Compare
Car insurance prices last year jumped by roughly 25 per cent with motorists in London being hit the hardest.
Speaking to GB News, Greg Wilson, CEO of Quotezone, said: "Londoners have witnessed probably the most dramatic surge in car insurance premiums over the last 12 months as inflation and claims rates spike insurance costs to a level never seen before.
“These drivers are caught in a triple threat where the value of the vehicles, the crime rate and traffic volumes are high – increasing the probability of an incident and a costly one at that.”