When Insurance Premiums Rise and Cover Doesn’t: A View from Absolute
Every month, we carry out a detailed review of pricing and protection levels across the military insurance market. It’s something I believe we have a responsibility to do – because the people buying these policies are serving their country, and they deserve to know exactly what their insurance premiums buys them.
This months review raised some questions I think are worth sharing openly.
What the April data shows
Across both the budget and mid-range Kit & Contents segments, our monitoring recorded significant premium increases from other providers in the market in some cases exceeding 20% with no corresponding improvement in cover.
In the mid-range segment, at least one provider is now pricing above £490 for a product that scores in the bottom quartile for primary feature protection. That is a significant sum for military personnel to be paying for cover that, on the metrics that matter most, sits at the bottom of the market.
MARKET PRICE HIKE (SOME PROVIDERS)
20%+ April 2026, no cover improvement
ABSOLUTE PRICE CHANGE
£0.00 No change. No cover change needed.
The path we’ve chosen at Absolute
While others moved insurance premiums upward this spring, we didn’t. Our entry-level policy remains at £84.00. Our Level 2 mid-range policy is £159.00. Our Level 3 sits at £315.00. None of those prices changed in April – because nothing about the cover changed.
That is a deliberate choice, not a coincidence. Our view has always been straightforward:
Price movements should follow product improvements. If we cannot point to better protection as the reason for a higher insurance premium, we do not raise it.
What that means in practice is that our primary feature scores continue to lead the market across every tier. We hold the number one features rank at entry level, mid-range, and insurance premiums. We are rated Great Value at every price point.
High-range Kit & Contents – April 2026 market snapshot
Source: Fairer Finance Fair Value Table April 2026
Absolute Insurance is ranked in these tables. We publish this data in full, including results that are unfavourable to us.
Mid-range Kit & Contents – April 2026 market snapshot
Source: Fairer Finance Fair Value Table April 2026
Absolute Insurance is ranked in these tables. We publish this data in full, including results that are unfavourable to us.
Primary Features* Primary Features represent the core components of the kit /PA policy. This category covers essential protections such as your total kit sum insured, “new for old” replacement, and specialized military-specific benefits like extended unoccupied periods. These features are the foundation of your coverage and received a 67% market performance score.
Secondary Features* Secondary Features are additional protections that enhance your policy beyond the basics. This classification includes high-limit liability coverage (up to £5,000,000), specialized limits for bicycles and high-value items, and practical support such as alternative accommodation and key replacement. These features scored 76% against the market.
Tertiary Features* Tertiary Features provide coverage for more specific or niche risks. This includes protection for items stolen from unattended vehicles, licensed firearms cover, and smaller household incidents like the loss of metered water or freezer contents. These supplemental features achieved a 45% performance score compared to market standards.
Great value isn’t just about being the cheapest; it is about the fairness of the total cost.
Benchmarking: Fairer Finance is an FCA-authorised independent consumer group. We publish their monthly military insurance ratings because we believe every service member deserves to see this data.
Ancillary Charges: High-value products avoid excessive or hidden fees, such as high interest on premium finance or “ancillary charges” like transfer fees.
The value gap is not subtle
At mid-range, a service member choosing the most expensive option in the market would pay over £333 more per year than they would with Absolute Level 2 – and receive 28 percentage points less primary cover in return.
At entry level, the gap is even wider. Our 1st Choice policy at £84.00 carries a 67% primary feature score. The highest-priced budget option in the market sits at £296.16 with a 46% primary score. That is more than three and a half times the premium for meaningfully inferior protection.
Entry Level range Kit & Contents – April 2026 market snapshot
Source: Fairer Finance Fair Value Table April 2026
Absolute Insurance is ranked in these tables. We publish this data in full, including results that are unfavourable to us.
A note on Personal Accident insurance
The PA sector saw no price movement across the market in April, but the value gap is just as significant. Some economy-tier PA products carry primary feature scores in low single figures – meaning the cover is near-minimal despite carrying a recognisable premium label. Our PA policy scores 73% on primary features at £18.95.
A low headline price that provides near-zero primary protection is not competitive pricing. It is a coverage gap waiting to be discovered – usually at the worst possible moment.
Personal Accident – April 2026 market snapshot
Source: Fairer Finance Fair Value Table April 2026
Absolute Insurance is ranked in these tables. We publish this data in full, including results that are unfavourable to us.
What I’d encourage service members to ask
If your insurer has increased your premium this spring, ask them one question: what changed in your cover to justify it?
If the answer is nothing, you are entitled to look at alternatives – and the data suggests those alternatives offer meaningfully better protection at a lower price.
Military personnel take calculated risks in everything they do. The insurance protecting their kit, their equipment, and their income shouldn’t be one of them.
Steve Anderson
Managing Director, Absolute Insurance