AD | Car insurance. It’s one of the biggest expenses for first time drivers, isn’t it? And one of the subjects closest to my heart after having to shell out for two of our cars recently. I’m all about ways to find the cheapest car insurance if possible because it’s also a must have for so many reasons (legal being one of them). So, whether you’re a new driver or an experienced one, if you want to save money on your car insurance, here are my top 11 tips to help.
- 1 How can I get cheaper car insurance as a new driver?
- 1.1 Shop around for the cheapest car insurance
- 1.2 Pay annually
- 1.3 Third party vs. fully comprehensive
- 1.4 Consider the extras
- 1.5 Choose your car carefully
- 1.6 Consider a telematics black box
- 1.7 Increase your excess if you can
- 1.8 Set a mileage limit for cheaper car insurance
- 1.9 Add another experienced driver
- 1.10 Consider an advanced driving course
- 1.11 Car safety
- 2 Bonus tips on how to find the cheapest car insurance after your first year
How can I get cheaper car insurance as a new driver?
Unsurprisingly, the Internet is your friend here. In fact, if you type in “cheapest car insurance for first time drivers” the majority of the top searches are along these lines:
- Who has the cheapest insurance for first time drivers
- How do you lower your car insurance
- What can I say to make car insurance cheaper
- How can young drivers get cheaper car insurance
- Car insurance save money
- Cheap car insurance
You get the idea. And why not? I mean no-one wants to be paying more money than they have to, especially as a new driver or first time driver. So the first thing you need to do is…
Shop around for the cheapest car insurance
Online comparison sites are without doubt the easiest and quickest way to find the cheap car insurance quotes, although admittedly it’s faff to have to input all your details every time. My favourite is uSwitch, partly because it’s easy to use, and partly because the television adverts of some other car insurance companies drive me up the wall! But no pain, no gain and if you want to compare car insurance, it’s the best way to go.
Undoubtedly paying all in one go, rather than in monthly instalments, is the most cost-effective option when purchasing a car insurance policy. But… if you use a credit card, please remember that’s not free money. You will have to pay it all off, unless you’re prepared to face swingeing interest payments on top.
Third party vs. fully comprehensive
There are three different types of car insurance to choose from: third party, third party fire and theft, and fully comprehensive. Tempting as it may seem, don’t assume third party insurance is the cheapest car insurance to go for. Statistics show more claims are made on third party insurance, so costs can be higher than fully comprehensive.
Consider the extras
Car insurance tends to come with add-ons such as courtesy car cover, legal cover and windscreen cover. You should check if these are part of the standard benefits of your car insurance policy, or whether you have to pay extra for them. If you do have to pay extra, then it’s worth considering if you really need them all?
Choose your car carefully
Passing your driving test and choosing your first car is exciting. But if you go for a big car, be prepared to pay higher premiums for that larger engine. Whereas a smaller car with a smaller engine will attract a lower premium – like our current runaround, a nippy and practical little Suzuki Swift (my first car was a little white Fiat 126). And if you’re lucky enough to buy a classic car, for example, choose a specialist classic car insurer for tailored premiums too.
Consider a telematics black box
Not just for pilots, telematics (minus the Head Up Display) can be very beneficial for first time drivers or younger insurers. Your insurer sends you a telemetric monitoring device to install in your car (on the battery) so they can track your driving remotely. Yes, it’s a little Big Brother, but if you drive carefully, you’ll qualify for lower premiums thanks to a good driving record. We had a telematics tracker on one of our cars and it prompted us to drive a lot more carefully. No more gunning the accelerator and burning rubber (ouch, those tyres) when pulling out of junctions!
Increase your excess if you can
All insurance premiums have a compulsory excess that you have to pay in the event of any claim. But there’s a voluntary excess too, and if you choose to pay a higher voluntary excess, it will help you get cheaper car insurance. Just bear in mind you will have to pay this in the event of any claim though.
Set a mileage limit for cheaper car insurance
Car insurance companies calculate the less time you spend on the road means there’s less chance that you’ll have an accident. I mean, it makes sense, doesn’t it? If you’re working from home and not travelling as much, then set your mileage limit at, say, 5000 miles a year. Or, as I did recently, 4,999 miles for a lower premium. Although we do plan on a few staycations this year, so I may need to increase that limit later.
Add another experienced driver
Insurance companies like to see older drivers or more experienced drivers on the car insurance policy, for example, your mum, dad, or partner. Studies have shown that shared driving tends to encourage more careful driving, which in turn leads to finding the cheapest car insurance for first time drivers in particular.
Consider an advanced driving course
It might seem like an extra hoop to jump through, particularly if you’ve only recently passed your driving test. But taking an advanced driving course may help you find cheaper car insurance. Courses typically take between three and six months to complete and focus on things like control, observation, timing, positioning, and the ability to deal with unpredictable roads. Not all insurers offer a discount though, so if you’re after the cheapest car insurance as a first time driver, do your research carefully.
If you can, keeping your car in a garage or on a private drive will attract lower premiums. Obviously this isn’t always possible in towns and cities, so factory fitted immobilisers and trackers are also ways of reducing those new driver insurance costs.
Bonus tips on how to find the cheapest car insurance after your first year
Once you’ve clocked up your first year as a new driver, here are a couple of bonus tips to help you find cheap car insurance as a younger driver. Including looking after your car in all weathers too, of course.
Don’t auto renew
When you get the renewal letter, call your insurer and ask what they can offer you. And when they ask if you’ve had any comparable quotes, tell them not yet, because you’d like to give them the first chance. Or, if you have shopped around, then tell them the package they need to beat to keep your custom. I do this every time and I’ve saved between £30 and £70 on my annual premiums.
Build up your no claims discount
The same as any insurance, be it a contents or travel policy. Because the more years you don’t claim, the more reliable and safer driver you’re seen to be.
So there we are, 11 tips to help first-time drivers find cheap car insurance, plus a couple of bonus tips. I hope you’ve found them useful and that they’ll help you save money on your car insurance too. Good luck, and happy motoring!
How did you go about finding the cheapest car insurance as a first-time driver? Did you use any of these suggestions? What motoring tips and tricks can you share to help younger drivers find the best deal for cheap car insurance? And if you’re looking for a nippy and practical little car for a new driver, visit this website and check out the reviews 🙂
* This is a sponsored post – please see my Disclaimer.