The number of UK motor insurance claims settled last year fell 19% as vehicle journeys declined due to COVID-19 lockdowns, while the cost of individual claims continued to rise.

The Association of British Insurers (ABI) says total payouts fell 6% to £8.3 billion ($14.9 billion), while the overall average value of a claim paid rose 17% to £4000 ($7164) due to rises in personal injury and vehicle repair costs.

“Predictably, lockdowns have led to far fewer vehicles on the roads, reflected in the fall in the number of motor claims,” ABI Manager General Insurance Laura Hughes said.

“As we edge back to some form of normality, cost pressures remain, such as increasing vehicle repair costs, reflecting ever more complex vehicle technology.”

Insurers settled 2.1 million motor claims last year, with claims in the fourth quarter showing a typical weakening trend due to the Christmas break.

Government figures showed a 14% fall in road traffic in the year to June.