The Guardian’s move came after the NFRN appealed to all national publishers to review the rates, says the NFRN.
It is the second newspaper publisher to respond positively, as Mail Newspapers announced that it was improving its rates in January.
Guardian’s head of supply chain Roger Clapham said the new rates would be backdated to January 1 2019.
Welcoming the move, NFRN National President Mike Mitchelson said: “The extra weight caused by these third party inserts does require more work for those retailers offering a home news delivery service and that’s why we have been making clear our unhappiness about current insertion rates.
“We are pleased that, like the Mail, the Guardian has listened to our concerns and has agreed to reward HND retailers accordingly.
“We will continue to press other publishers to improve the rates they pay for third party advertising inserts.”
To receive payments, HND retailers must register with their news wholesalers or NFRN members can contact NFRN Connect who will advise their wholesaler on their behalf.
Mr Mitchelson added: “I would urge all NFRN members to check that they are registered and, if not, then please contact NFRN Connect to process this for you, otherwise you will miss out on these payments.”