High insurance costs can be a real kick in the teeth for the average motorist. You’ve got yourself a great car, it’s taxed, MoT’d and you’re ready to hit the road – save for the small matter of telling your insurance provider about it… To save yourself some cash, there are a few tips for cheaper car insurance worth noting.
Car insurance premiums can run into the thousands – especially if you’re a young driver – and, like most insurance policies, you’ll only rarely have to make a claim (hopefully). It’s a requirement to insure your motor vehicle under UK law, though, so to help shave precious pounds off your premiums we’ve come up with some handy advice to get the best deal.
On this page, we’ll break down our top tips top on how to get the cheapest car insurance, including when the best time to buy car insurance is, how to nail your quote info and other information worth knowing.
The Parkers top tips for cheaper car insurance
• Get your job title right
Research has shown that adjusting the job title on your policy could save you serious money. For example, a writer on a magazine may be charged more than an editor, and a mechanic more than an engineer, so think carefully about how you list your occupation as it could affect your premium.
Whatever you do, however, don’t be tempted to tell an outright lie – so no DJs pretending to be doctors or canvassers posing as nurses.
• Use a comparison site
There are hundreds of insurance providers out there and it would take ages to phone all of them individually. Instead, why not use a comparison site such as mustard.co.uk, as they gather prices from a wide range of providers to provide you with the best possible choices.
• Increase your excess
Insurance policies with a low excess are likely to have a high premium; conversely, policies with a higher excess are usually cheaper.
Be sure to work out exactly how much you can afford to pay should you need to claim, and don’t be tempted to state an excess beyond your means.
• Avoid paying monthly
If you can, pay for the policy upfront. On average, premiums paid upfront are cheaper than those that split the cost over 12 months. It might be tempting to pay your insurance monthly to avoid a large bill – if you’re willing to pay the higher price, there’s nothing wrong with it – but a lump sum will save you money over the course of your policy’s duration.
Better still, consider a black box to lower your premiums even further.
If you can’t quite come up with the cash, consider shopping around for a low-interest loan from lenders or family members.
• Consider different cover types
It’s a bit of a myth that third party insurance is always cheaper than comprehensive cover. Experiment with your quote to see which comes out cheaper, then decide which one to go for. We’d always recommend comprehensive insurance for peace of mind, and especially if it ends up saving you money.
• Add experienced drivers to your policy
A good one for young drivers, here. Adding your mum and dad (or any other experienced drivers) to your policy as additional drivers could cut hundreds off your policy – the idea being that it’ll lower the risk.
Be sure not to add anyone who won’t drive the car, and don’t be tempted to claim that an older, more experienced driver is the primary user. While it could save you money, it’s highly illegal and could land you in a lot of trouble.
• Shop around when it comes to renewal
Never auto-renew your policy. Compare prices every time your insurance is about to run out – even if it’s with the same provider. You might be surprised to find that you could be being charged hundreds of pounds more as an existing customer than you would as a new one.
• Eject the extras
Do you really need that windscreen cover, or legal expenses add-on? And if you do, is it worth the money the insurance provider is asking for? Expensive extras bump up your premiums, and – in many cases – won’t be used even if the policyholder makes a claim.
For example, if you’ve got access to more than one car do you really need to be paying extra for a guaranteed courtesy car?
FAQs
How to get the cheapest car insurance for first time drivers?
If you’re a new driver, it’s highly likely that your first insurance premium will be expensive. According to data collected by ALA insurance, just over one in five drivers are involved in an accident during their first year on the road. So, to compensate for such a high chance of pay out, insurers charge new drivers more.
As a first-time driver, you can lower your insurance premium by driving an insurer-friendly car. These are nearly always small hatchbacks with low power and a small engine capacity.
Having a black box installed will allow your insurer to monitor your driving style, which could result in a lower premium the following year if you drive carefully enough. The bottom line, however, is that first-year car insurance policies are pricey – especially for young drivers – but should fall over time if you don’t claim on them.
Why is my car insurance so high with a clean record?
If you’ve driven for several years without claiming on your insurance but your premiums are still very high, there could be several other factors keeping them that way. These might include:
Where you park your car at night – vehicles parked on the road at night are more vulnerable to theft than those parked in garages or even driveways. According to the DVLA, 26,117 vehicles were stolen in London in 2022; in 2023, the figure has already surpassed 31,000. So, depending on where you park your car, you might pay higher premiums due to the higher risk of theft.
Our advice? Park your car on a street away from home. This may seem counter intuitive, but insurers look more kindly on drivers who keep their cars away at night as a large number of car thefts occur after thieves break into the owner’s house, swipe the car keys and drive off with the car conveniently placed right outside. Keep the vehicle away from the house and it’ll be harder for the robber to find the car.
The size of the engine and power – faster or more powerful cars are often more expensive to insure as it’s more likely the driver will have an accident in them. If you drive a sports car with only a few years on your record – clean as they may be – it could be keeping your premiums high. Consider opting for a vehicle with a smaller engine or with front-wheel drive to bring them down.
Remember: never lie to your insurer
Not only could it invalidate your insurance, but it could also end up costing you more when it comes to paying the premium.
