Hundreds of thousands of people of colour may be paying an “ethnicity penalty” of at least £250 a year each in higher car insurance costs, an investigation by Citizens Advice has claimed.
The charity said it uncovered a "shocking trend" of people from ethnic minority backgrounds paying hundreds of pounds a year more for their car insurance than white people.
As part of a year-long investigation, the charity analysed 18,000 car insurance costs reported by people across England and Wales who came to Citizens Advice for debt help in 2021.
