Car insurance has jumped 13% in the last year, according to a fresh analysis that also shows the over-50s are being hit hardest.

Consumer Intelligence studied the market and found the significant increase took the average premium to £683.

But those over 50 have been stung with a 15.3% increase, compared to a rise of 9.3% for under-25s.

However, the average 'best-buy' premiums for the younger age group is still £1,600 per year. This is still lower than in October 2013, Consumer Intelligence reports, but is a nonetheless hefty annual expense.

The company also says that increasing uptake of telematics-based insurance policies is calming premium inflation for the young drivers these systems are primarily designed for.

Some 48% of the lowest-priced policies for the under-25s are now based on telematics, compared to 33% in October 2013 – the time the company started monitoring the insurance market.

Ian Hughes, chief executive of Consumer Intelligence, said: 'Average motor insurance premiums are heading upwards at a rapid rate with the insurance premium tax a major factor.

'Under-25s, who pay the highest average premiums at £1,600, need to seriously look at black-box technology as a way of limiting price rises, but can take some comfort from the fact that prices are still lower than they have been.

'All customers, however, need to ensure they are receiving the best value for money from their insurer which is being made easier as providers need to make it clear what last year's premium was when they send renewals.'

Have you seen a hefty rise in your insurance premium? Email motoring@archant.co.uk