New rules are being brought in to end the controversial insurance “loyalty premium” - where customers who automatically renew pay more than new customers.
The idea is that it will stop loyal customers who don't want to switch insurance providers from being ripped off.
The new measures will come into force from January 2022 and will save Brits an estimated £4.2billion over ten years.
But the changes may not necessarily mean cheaper bills for absolutely everyone, as experts predict it could mean an end of cheap new customer deals.
Speaking of the new rules, Sarah Coles, personal finance expert at Hargreaves Lansdown, said: "This will effectively kill off the practice of ‘price walking’.
"It’s good news for those who stick with one provider, but it’s likely to mean the end of very cheap deals for those who are prepared to keep switching ."
A similar warning was issued by MoneySavingExpert founder Martin Lewis back in October - who said insurance firms will balance things out by upping the price of their cheapest deals.
He said: "My guess is firms won't just cut renewals to match newbies' prices.
"They'll drop 'em somewhat, and increase new-customer rates - meeting towards the middle."
How to lower your car or home insurance
Of course, it is hard to know for sure how prices will be affected until the new rules come into force.
But there are a few things you can do to make sure you're getting the best deal for your home and car insurance.
Make sure you always compare prices on multiple sites - some insurance firms won't be covered across all the major comparison websites.
Some of the most popular ones include CompareTheMarket.com, GoCompare.com and Confused.com.
Do you find yourself consistently overpaying at renewal? Let us know in the comments below
MoneySavingExpert says 23 days before your car insurance is due to expire is the prime time to find the cheapest deals.
For home insurance, you should be checking 21 days before.
If your household has more than one car, you should check if a multicar deal could save you cash.
You should also see if you'd be eligible for cashback on your car or home insurance on sites such as Topcashback and Quidco.
Finally, if you're happy with your current insurance provider, you can still try haggling for a lower price.
Check if there are cheaper deals out there, then call your provider up and ask if they can match it.