How to get Cheaper Young Driver Insurance

1 You just answer this honestly, but it helps to know why it matters.

Young drivers between 17 and 25 are much more likely to have an accident, so insurers charge more to cover that higher risk. Prices usually drop through your 20s and into your 30s and 40s, then often rise again for older drivers.

You cannot change your age, but you can control things like car choice, mileage, excess and claims – all of which you’ve seen earlier on this page.

2 Your address and postcode can make a big difference to your quote. Insurers look at data for your area, such as:

• How often cars are stolen or damaged
• How busy the roads are
• How many claims are made locally

Busy, high-crime areas usually mean higher premiums.

If you have more than one address
You must tell the insurer where the car really lives most of the time. For example, if you are at uni most of the year, but only home in the holidays, the university address is usually what they want. If you give the wrong main address and then claim, your insurer could refuse to pay.

Electoral register and paying monthly
If you want to pay monthly, the insurer is effectively giving you credit. Many will check whether you are on the electoral register at your address. If you are not registered, you may find it harder to get monthly payments approved.

3 You must be honest about what you do, but you do not have to “upgrade” your job to make it sound fancy. Pick the title that best matches your real work.

Example:
If you are an office clerk in an estate agency, put “office clerk”, not “estate agent”. Some roles linked with lots of driving or late nights are seen as higher risk and can cost more.

Unemployment
Being unemployed is often treated as higher risk, so it can lead to higher quotes. You should still answer truthfully – guessing something else could cause problems if you need to claim.

Do insurers check your job?
Most do not ask for proof up front, but they can check at claim time. If your job does not match what you put on the form, they could change what they pay or even cancel your policy.

4 You must answer this honestly. Some medical conditions have to be reported to the DVLA if they could affect your ability to drive safely.

If the DVLA is happy for you to hold a full licence with no special restrictions, insurers should not load your premium just because you have a condition. If your licence is restricted (for example, only allowed to drive certain vehicles or for short distances), insurers are allowed to take that extra risk into account when they set your price.

If you are not sure whether a condition needs to be reported, check the DVLA list first, then speak to your insurer if you still have questions.

The car insurance questions will include details about any driving convictions you have received in the previous five years.

You can view your driving licence details if you are unsure about your driving penalty points status. You’ll need your Driving Licence Number, National Insurance Number and Post Code.

Driving convictions mean higher insurance premiums

With penalty points on your driving licence, insurers will class you as a higher-risk driver, and your car insurance premium will cost more.

Car insurance companies each have their methods when accessing an endorsement on your driving licence. Still, an offence such as drink-driving will always be considered worse than minor speeding.

One of the trickiest car insurance FAQs to answer concerns claims you have made on car insurance policies over the previous five years (some insurers may go back as far as 7 or 10 years). Don’t worry. Only claims of five years or less can affect the price of your car insurance policy.

However, if you have claims going back several years, you may not instantly recall the details of the incident. It is worth getting all details of previous claims together before you start any application process. You’ll likely need to provide the date of the accident, who was at fault and the claim value.

Can Car Insurance companies check your past claims?

Yes. Insurance providers can check your claims history with CUE, which stores the information for six years.

Ensure you list all the relevant claims. Insurers will likely increase your premium for any undeclared claims. Worse, if you make a new claim during the policy and the insurer discovers an undeclared claim, they could invalidate your insurance and not pay out.

Can keeping claims down give me a Lower Car Insurance Premium?

Yes. The more claims you make, the higher this will impact the cost of your insurance quote. However, on the bright side, when you don’t claim on your policy, insurers reward you with an increase in your no-claims bonus, significantly reducing your insurance cost.

To answer this question on the application, you only need to enter the Car Registration.

Did you know? Your choice of car is usually the biggest single factor when insurers calculate the cost of your premium.

The Lower the Car Insurance Group, the Cheaper the Insurance Premium

Every car has an insurance group rating numbered between 1 and 50. The lower your car’s group rating, the less the insurance quote will be.

What are the most significant factors when evaluating a cars insurance group number:

• Repair and parts costs.
• Performance acceleration and top speed.
• Does the car have security such as an alarm, immobiliser and trackers?

A higher-value car will typically have higher repair costs and cost more to renew after an accident or theft, so you can expect a higher insurance premium.

However, the car’s value isn’t necessarily the most crucial detail of the vehicle for calculating the cost of car insurance quotes. Several factors, including the car type, repairs, performance and security, impact the cost of car insurance equally or more.

Because young drivers are deemed a higher risk statistically of being in a car accident and making an insurance claim, their age is more likely to affect the cost of their insurance premium than the value of their car.

The older you are, the more impact your car’s value may have on your premium. That’s because underwriters consider older drivers less of a risk until they reach a much older age.

Modifications to your car can look great and may even increase the car’s value. However, alterations, including alloy wheels, turbo/supercharging and exhaust changes, can affect the price of car insurance quotes.

Don’t take the question of car modification lightly. Insurance companies don’t like non-factory add-ons, and not declaring alterations to your car can be considered fraud. Your insurance policy could be void, and the claims you make are not paid.

The more security your car has, the less the theft risk, and you can expect a lower insurance quote.

You can likely get a cheaper insurance quote with an antitheft device fitted to the vehicle. We highlight the three options preferred by insurance companies. Car insurance discounts will vary on the type and model of the device.

Alarms

Car alarms can partially deter theft but are unreliable because many assume they have gone off by accident and ignore them. Some alarms are silent and will notify you that the vehicle is at risk but not the thief allowing you to contact and inform the police immediately.

Immobilisers

Your car quote questionnaire will ask if the car has a factory-fitted immobiliser, which is very popular with car insurers because you cannot hotwire a vehicle with an immobiliser. You’ll need the car keys. However, be aware of keyless car theft; this is when thieves clone a car key fob technology to steal the vehicle.

Trackers

Car security system GPS tracking will not only stop your vehicle from being stolen but also help you get your vehicle returned and, if you get your car back undamaged, negate having to claim on your car insurance.

Most insurers consider where you park overnight because it affects theft and damage risk.

Off-street parking, driveway or a locked garage, can reduce your premium, but it is not guaranteed. In some cases a well lit street or a monitored car park may rate better.

The reason you use the vehicle can significantly affect the calculation of your car insurance quote.

Insurance providers typically ask you to choose one of the following options:

• Social, domestic & pleasure – day-to-day is driving, such as visiting family and friends, shopping or going on holiday in the UK.
• Social, Domestic, Pleasure and Commuting – covers social, domestic & pleasure PLUS driving to one fixed place of work and parking, such as at a railway station.
• Business use – Allows you to use the car for your work and drive to multiple places.
• Commercial travelling – Allows you to carry goods and use the car for things such as door-to-door sales.

Driving your car for any use above social, domestic and pleasure will increase the cost of any insurance quote. For example, you’ll receive a higher insurance quote if you use your car to commute or for business because driving extra miles will increase the risk to the insurer.

Why do insurance companies ask how many miles you drive?

The more miles you drive, the higher your chance of being involved in an accident. So, the higher your mileage, the more impact on your insurance quotation.

Don’t overestimate your mileage.

You should not underestimate your mileage to get a lower quote. Likewise, don’t make a mistake by overestimating the miles you drive. Finally, insurers consider drivers with a very low mileage likelier to have an accident.

The best advice is to give a correct assessment of your annual mileage.

What kind of car insurance coverage do you need?

There are three levels of insurance available – fully Comprehensive car insurance, Third-Party Fire and Theft or Third-Party to select from.

Third-party Car Insurance

Every driver must legally have at least third-party car insurance. If you damage someone else’s car or injure another person, this covers you. But it won’t cover any injuries or damage to your Vehicle.

Third-Party, Fire & Theft

TPFT insurance gives you everything you’d expect from a standard third-party policy and protects you if your car is stolen or damaged by fire. Fire damage includes deliberate acts, such as arson and accidental fires.

Fully Comprehensive Car Insurance

As the name suggests, the fully comprehensive policy cover gives you maximum protection as a driver. It will pay out damage to your car, your passengers, and the other party involved car and passengers, regardless of who is at fault. 

Fully Comprehensive Insurance is sometimes the Cheapest

Contrary to logical thinking, fully comp car insurance is often cheaper than third-party fire and theft car insurance. Why? Because TPFT insurance policies are associated with more high-risk drivers – and, therefore, more car insurance claims.

For younger and new drivers,  fully comp car insurance without a black box may be preferred, but add a black box device, and the premium cost will dive.

Are you Insuring a Car that is on Finance?

You might be financing a vehicle through an HP or PCP. In that case, you are not the car’s owner – it belongs to the finance company. The Vehicle isn’t yours until the end of the agreement. Your finance agreement will require you to take out fully comprehensive insurance for a car on finance.

Why might you add a named driver to your car insurance policy?

You could want to add someone else to your insurance allowing them to share the responsibility of driving the car long distances or perhaps sharing the vehicle with a family member or friend.

Might I reduce my Insurance Premiums by adding an Experienced Driver?

If you’re a new or young driver having a named driver on your car insurance policy who is older and a more experienced driver will likely give you cheaper car insurance.

Alternatively, you might want to add a young or new driver to give them extra driving practice between driving lessons. In this scenario, the insurance premium will likely increase with a less learner or inexperienced driver on the policy.

Your insurance policy will have a Compulsory Excess that you have to pay on a claim deemed your fault. And it is not negotiable.

You also have the opportunity to add a Voluntary Excess which is an additional amount you agree to pay for each claim in addition to the Compulsory Excess. A higher Voluntary Excess can significantly reduce the amount of your insurance premium. By choosing a lower Voluntary Excess, the premium is higher. You could decide not to pay any Voluntary Excess but expect a higher cost for your premium.

Is a legal cover worth the cost?

The legal Cover provides financial protection against any legal expenses you might incur after an accident that was not your fault and includes items such as lost earnings or personal injury.

Considering the relatively small additional cost, it makes financial sense that motor legal protection cover could save you many thousands of pounds on expensive legal expenses. If it’s a complicated legal case, the fees could be much higher, so it may be worth adding the Cover to your policy.

Car insurance benefits are extra to the standard items on the car insurance policy. All car insurance policies are different, and some offer more and various benefits as standard than other insurers.

If you are looking for car insurance cover, compare each policy carefully to check what standard benefits are and what you might need to pay extra. If you have an existing policy, check to see if you are missing any of the following features:

Typically these are the benefits that may be standard or available as an extra:

• Legal cover.
• Breakdown cover.
• No claims discount protection.
• Cover for driving abroad.
• Courtesy car cover.
• Personal accident cover.
• Protected no claims.
• Windscreen replacement.
• Replacement key cover.
• Audio equipment cover.
• Sat nav cover.
• Child car seat cover.
• Personal belongings cover.
• Medical expenses.
• Misfuelling.
•  

5 Insurers use your driving experience as one of the basic risk signals.

• Fewer years behind the wheel usually means higher risk
• More years with no claims and no convictions usually means lower risk

You cannot change when you passed your test, but you can protect your record by driving steadily, avoiding points, and not claiming for every small bump.

6 The quote form will ask about driving convictions and penalty points from the last five years.
If you are not sure, you can check your licence record online using your:

• Driving licence number
• National Insurance number
• Postcode

Why it matters

• Points and convictions mark you as higher risk, so your premium will usually go up
• Serious offences such as drink-driving or dangerous driving will hurt much more than a single low-level speeding ticket

Different insurers treat points slightly differently, but none of them like surprises. If you hide points and they later check your record after a crash, they can change what they pay or cancel the policy.

7 This is one of the trickier questions for people to answer from memory, especially if you have had a couple of bumps over the years.

Insurers normally care about claims over the last five years, although some ask about older incidents too. It is worth gathering the details before you start:

• Date of each accident or loss
• Whether you or someone else was at fault
• Rough claim value, or whether it was “no fault”

Can insurers check your claims history?
Yes. They can use a shared database called CUE, which stores claims information for about six years. If you leave claims out, they are likely to spot it.

Does claiming affect the price?
Yes. The more claims you make, the higher your premium tends to be. On the flip side, if you go for a few years without claiming, you build a no claims bonus which can make your insurance much cheaper.

You must answer this honestly. Some medical conditions have to be reported to the DVLA if they could affect your ability to drive safely.

If the DVLA is happy for you to hold a full licence with no special restrictions, insurers should not load your premium just because you have a condition. If your licence is restricted (for example, only allowed to drive certain vehicles or for short distances), insurers are allowed to take that extra risk into account when they set your price.

If you are not sure whether a condition needs to be reported, check the DVLA list first, then speak to your insurer if you still have questions.

The car insurance questions will include details about any driving convictions you have received in the previous five years.

You can view your driving licence details if you are unsure about your driving penalty points status. You’ll need your Driving Licence Number, National Insurance Number and Post Code.

Driving convictions mean higher insurance premiums

With penalty points on your driving licence, insurers will class you as a higher-risk driver, and your car insurance premium will cost more.

Car insurance companies each have their methods when accessing an endorsement on your driving licence. Still, an offence such as drink-driving will always be considered worse than minor speeding.

One of the trickiest car insurance FAQs to answer concerns claims you have made on car insurance policies over the previous five years (some insurers may go back as far as 7 or 10 years). Don’t worry. Only claims of five years or less can affect the price of your car insurance policy.

However, if you have claims going back several years, you may not instantly recall the details of the incident. It is worth getting all details of previous claims together before you start any application process. You’ll likely need to provide the date of the accident, who was at fault and the claim value.

Can Car Insurance companies check your past claims?

Yes. Insurance providers can check your claims history with CUE, which stores the information for six years.

Ensure you list all the relevant claims. Insurers will likely increase your premium for any undeclared claims. Worse, if you make a new claim during the policy and the insurer discovers an undeclared claim, they could invalidate your insurance and not pay out.

Can keeping claims down give me a Lower Car Insurance Premium?

Yes. The more claims you make, the higher this will impact the cost of your insurance quote. However, on the bright side, when you don’t claim on your policy, insurers reward you with an increase in your no-claims bonus, significantly reducing your insurance cost.

To answer this question on the application, you only need to enter the Car Registration.

Did you know? Your choice of car is usually the biggest single factor when insurers calculate the cost of your premium.

The Lower the Car Insurance Group, the Cheaper the Insurance Premium

Every car has an insurance group rating numbered between 1 and 50. The lower your car’s group rating, the less the insurance quote will be.

What are the most significant factors when evaluating a cars insurance group number:

• Repair and parts costs.
• Performance acceleration and top speed.
• Does the car have security such as an alarm, immobiliser and trackers?

A higher-value car will typically have higher repair costs and cost more to renew after an accident or theft, so you can expect a higher insurance premium.

However, the car’s value isn’t necessarily the most crucial detail of the vehicle for calculating the cost of car insurance quotes. Several factors, including the car type, repairs, performance and security, impact the cost of car insurance equally or more.

Because young drivers are deemed a higher risk statistically of being in a car accident and making an insurance claim, their age is more likely to affect the cost of their insurance premium than the value of their car.

The older you are, the more impact your car’s value may have on your premium. That’s because underwriters consider older drivers less of a risk until they reach a much older age.

Modifications to your car can look great and may even increase the car’s value. However, alterations, including alloy wheels, turbo/supercharging and exhaust changes, can affect the price of car insurance quotes.

Don’t take the question of car modification lightly. Insurance companies don’t like non-factory add-ons, and not declaring alterations to your car can be considered fraud. Your insurance policy could be void, and the claims you make are not paid.

The more security your car has, the less the theft risk, and you can expect a lower insurance quote.

You can likely get a cheaper insurance quote with an antitheft device fitted to the vehicle. We highlight the three options preferred by insurance companies. Car insurance discounts will vary on the type and model of the device.

Alarms

Car alarms can partially deter theft but are unreliable because many assume they have gone off by accident and ignore them. Some alarms are silent and will notify you that the vehicle is at risk but not the thief allowing you to contact and inform the police immediately.

Immobilisers

Your car quote questionnaire will ask if the car has a factory-fitted immobiliser, which is very popular with car insurers because you cannot hotwire a vehicle with an immobiliser. You’ll need the car keys. However, be aware of keyless car theft; this is when thieves clone a car key fob technology to steal the vehicle.

Trackers

Car security system GPS tracking will not only stop your vehicle from being stolen but also help you get your vehicle returned and, if you get your car back undamaged, negate having to claim on your car insurance.

Most insurers consider where you park overnight because it affects theft and damage risk.

Off-street parking, driveway or a locked garage, can reduce your premium, but it is not guaranteed. In some cases a well lit street or a monitored car park may rate better.

The reason you use the vehicle can significantly affect the calculation of your car insurance quote.

Insurance providers typically ask you to choose one of the following options:

• Social, domestic & pleasure – day-to-day is driving, such as visiting family and friends, shopping or going on holiday in the UK.
• Social, Domestic, Pleasure and Commuting – covers social, domestic & pleasure PLUS driving to one fixed place of work and parking, such as at a railway station.
• Business use – Allows you to use the car for your work and drive to multiple places.
• Commercial travelling – Allows you to carry goods and use the car for things such as door-to-door sales.

Driving your car for any use above social, domestic and pleasure will increase the cost of any insurance quote. For example, you’ll receive a higher insurance quote if you use your car to commute or for business because driving extra miles will increase the risk to the insurer.

Why do insurance companies ask how many miles you drive?

The more miles you drive, the higher your chance of being involved in an accident. So, the higher your mileage, the more impact on your insurance quotation.

Don’t overestimate your mileage.

You should not underestimate your mileage to get a lower quote. Likewise, don’t make a mistake by overestimating the miles you drive. Finally, insurers consider drivers with a very low mileage likelier to have an accident.

The best advice is to give a correct assessment of your annual mileage.

What kind of car insurance coverage do you need?

There are three levels of insurance available – fully Comprehensive car insurance, Third-Party Fire and Theft or Third-Party to select from.

Third-party Car Insurance

Every driver must legally have at least third-party car insurance. If you damage someone else’s car or injure another person, this covers you. But it won’t cover any injuries or damage to your Vehicle.

Third-Party, Fire & Theft

TPFT insurance gives you everything you’d expect from a standard third-party policy and protects you if your car is stolen or damaged by fire. Fire damage includes deliberate acts, such as arson and accidental fires.

Fully Comprehensive Car Insurance

As the name suggests, the fully comprehensive policy cover gives you maximum protection as a driver. It will pay out damage to your car, your passengers, and the other party involved car and passengers, regardless of who is at fault. 

Fully Comprehensive Insurance is sometimes the Cheapest

Contrary to logical thinking, fully comp car insurance is often cheaper than third-party fire and theft car insurance. Why? Because TPFT insurance policies are associated with more high-risk drivers – and, therefore, more car insurance claims.

For younger and new drivers,  fully comp car insurance without a black box may be preferred, but add a black box device, and the premium cost will dive.

Are you Insuring a Car that is on Finance?

You might be financing a vehicle through an HP or PCP. In that case, you are not the car’s owner – it belongs to the finance company. The Vehicle isn’t yours until the end of the agreement. Your finance agreement will require you to take out fully comprehensive insurance for a car on finance.

Why might you add a named driver to your car insurance policy?

You could want to add someone else to your insurance allowing them to share the responsibility of driving the car long distances or perhaps sharing the vehicle with a family member or friend.

Might I reduce my Insurance Premiums by adding an Experienced Driver?

If you’re a new or young driver having a named driver on your car insurance policy who is older and a more experienced driver will likely give you cheaper car insurance.

Alternatively, you might want to add a young or new driver to give them extra driving practice between driving lessons. In this scenario, the insurance premium will likely increase with a less learner or inexperienced driver on the policy.

Your insurance policy will have a Compulsory Excess that you have to pay on a claim deemed your fault. And it is not negotiable.

You also have the opportunity to add a Voluntary Excess which is an additional amount you agree to pay for each claim in addition to the Compulsory Excess. A higher Voluntary Excess can significantly reduce the amount of your insurance premium. By choosing a lower Voluntary Excess, the premium is higher. You could decide not to pay any Voluntary Excess but expect a higher cost for your premium.

Is a legal cover worth the cost?

The legal Cover provides financial protection against any legal expenses you might incur after an accident that was not your fault and includes items such as lost earnings or personal injury.

Considering the relatively small additional cost, it makes financial sense that motor legal protection cover could save you many thousands of pounds on expensive legal expenses. If it’s a complicated legal case, the fees could be much higher, so it may be worth adding the Cover to your policy.

Car insurance benefits are extra to the standard items on the car insurance policy. All car insurance policies are different, and some offer more and various benefits as standard than other insurers.

If you are looking for car insurance cover, compare each policy carefully to check what standard benefits are and what you might need to pay extra. If you have an existing policy, check to see if you are missing any of the following features:

Typically these are the benefits that may be standard or available as an extra:

• Legal cover.
• Breakdown cover.
• No claims discount protection.
• Cover for driving abroad.
• Courtesy car cover.
• Personal accident cover.
• Protected no claims.
• Windscreen replacement.
• Replacement key cover.
• Audio equipment cover.
• Sat nav cover.
• Child car seat cover.
• Personal belongings cover.
• Medical expenses.
• Misfuelling.
•  

On most quote forms you can just enter the registration number and the system fills in the details. Behind the scenes, insurers use this to look up things like:

• The car’s insurance group
• How powerful it is
• Typical repair costs
• What security it came with as standard

In general, smaller, less powerful cars in a lower insurance group are cheaper to insure. Sporty models, big engines and expensive repairs usually mean higher premiums, especially for young drivers.

Insurers ask for the car’s value so they have a rough idea what it would cost to repair or replace if it were written off or stolen.

• A very high value car usually means a higher premium
• But value is not the only thing that matters – the car’s group, performance and your age can have just as much impact

For young drivers, your age, experience and claims record often affect the price more than whether your car is worth £2,000 or £4,000. Give a sensible, honest estimate (for example from a valuation site) rather than guessing something very low to try to reduce the quote.

A modification is any change from the way the car left the factory – for example:

• Alloy wheels
• Body kits or spoilers
• Engine tweaks, remaps, turbo or exhaust changes
• Tinted windows or upgraded sound systems

Even small mods can change the risk in an insurer’s eyes, so you must declare them. If you do not, they can class it as fraud and refuse to pay a claim.

If you are buying a used car and are not sure whether it has been modified, ask the seller and check the advert carefully. When in doubt, speak to the insurer before you buy.

Security devices help insurers judge how likely the car is to be stolen or broken into.

Common types include:

• Alarm – makes noise or sends you an alert if someone tampers with the car
• Immobiliser – stops the engine from being started without the correct key or code
• Tracker – uses GPS to help recover the car if it is stolen

A factory-fitted immobiliser is often the most important tick box. Trackers can help with recovery and some insurers give a small discount if you have one. Only say the car has a device if you are sure – guessing can cause problems if you later claim for theft.

Insurers need to know how you use the car, not just how many miles you drive. You’ll normally see options like:

• Social, domestic and pleasure – day-to-day driving such as seeing friends, shopping, gym and UK trips
• Social, domestic, pleasure and commuting – all of the above plus driving to one regular place of work or to a station or college
• Business use – driving to different places for work, visiting clients or sites
• Commercial travelling – lots of driving as part of your job, such as sales reps going door to door

Anything above pure social use usually costs more because it means more time on the road, often at busier times.

Do not pick “social only” if you actually use the car for work or commuting. If you crash on the way to work and your policy does not include commuting or business use, your insurer could refuse to pay.

Mileage is a simple but important risk factor:

• The more miles you drive, the more chance there is of an accident
• Extremely low mileage can also look risky, because very occasional drivers may be out of practice

You will usually be asked to estimate your total annual mileage. To get a sensible figure, think about:

• Your typical week (commute, college, shopping, visits)
• Regular trips home if you’re a student
• Occasional UK holidays or long drives

Avoid underestimating to chase a cheaper quote. If your actual mileage is much higher than what you declared and you have a serious claim, the insurer may decide you have not been honest. On the other hand, do not massively overestimate “just in case” – that can push your premium up for no reason.

Aim for a realistic, middle-of-the-road estimate and update it at renewal if your routine changes.

To answer this question on the application, you only need to enter the Car Registration.

Did you know? Your choice of car is usually the biggest single factor when insurers calculate the cost of your premium.

The Lower the Car Insurance Group, the Cheaper the Insurance Premium

Every car has an insurance group rating numbered between 1 and 50. The lower your car’s group rating, the less the insurance quote will be.

What are the most significant factors when evaluating a cars insurance group number:

• Repair and parts costs.
• Performance acceleration and top speed.
• Does the car have security such as an alarm, immobiliser and trackers?

A higher-value car will typically have higher repair costs and cost more to renew after an accident or theft, so you can expect a higher insurance premium.

However, the car’s value isn’t necessarily the most crucial detail of the vehicle for calculating the cost of car insurance quotes. Several factors, including the car type, repairs, performance and security, impact the cost of car insurance equally or more.

Because young drivers are deemed a higher risk statistically of being in a car accident and making an insurance claim, their age is more likely to affect the cost of their insurance premium than the value of their car.

The older you are, the more impact your car’s value may have on your premium. That’s because underwriters consider older drivers less of a risk until they reach a much older age.

Modifications to your car can look great and may even increase the car’s value. However, alterations, including alloy wheels, turbo/supercharging and exhaust changes, can affect the price of car insurance quotes.

Don’t take the question of car modification lightly. Insurance companies don’t like non-factory add-ons, and not declaring alterations to your car can be considered fraud. Your insurance policy could be void, and the claims you make are not paid.

The more security your car has, the less the theft risk, and you can expect a lower insurance quote.

You can likely get a cheaper insurance quote with an antitheft device fitted to the vehicle. We highlight the three options preferred by insurance companies. Car insurance discounts will vary on the type and model of the device.

Alarms

Car alarms can partially deter theft but are unreliable because many assume they have gone off by accident and ignore them. Some alarms are silent and will notify you that the vehicle is at risk but not the thief allowing you to contact and inform the police immediately.

Immobilisers

Your car quote questionnaire will ask if the car has a factory-fitted immobiliser, which is very popular with car insurers because you cannot hotwire a vehicle with an immobiliser. You’ll need the car keys. However, be aware of keyless car theft; this is when thieves clone a car key fob technology to steal the vehicle.

Trackers

Car security system GPS tracking will not only stop your vehicle from being stolen but also help you get your vehicle returned and, if you get your car back undamaged, negate having to claim on your car insurance.

Most insurers consider where you park overnight because it affects theft and damage risk.

Off-street parking, driveway or a locked garage, can reduce your premium, but it is not guaranteed. In some cases a well lit street or a monitored car park may rate better.

The reason you use the vehicle can significantly affect the calculation of your car insurance quote.

Insurance providers typically ask you to choose one of the following options:

• Social, domestic & pleasure – day-to-day is driving, such as visiting family and friends, shopping or going on holiday in the UK.
• Social, Domestic, Pleasure and Commuting – covers social, domestic & pleasure PLUS driving to one fixed place of work and parking, such as at a railway station.
• Business use – Allows you to use the car for your work and drive to multiple places.
• Commercial travelling – Allows you to carry goods and use the car for things such as door-to-door sales.

Driving your car for any use above social, domestic and pleasure will increase the cost of any insurance quote. For example, you’ll receive a higher insurance quote if you use your car to commute or for business because driving extra miles will increase the risk to the insurer.

Why do insurance companies ask how many miles you drive?

The more miles you drive, the higher your chance of being involved in an accident. So, the higher your mileage, the more impact on your insurance quotation.

Don’t overestimate your mileage.

You should not underestimate your mileage to get a lower quote. Likewise, don’t make a mistake by overestimating the miles you drive. Finally, insurers consider drivers with a very low mileage likelier to have an accident.

The best advice is to give a correct assessment of your annual mileage.

What kind of car insurance coverage do you need?

There are three levels of insurance available – fully Comprehensive car insurance, Third-Party Fire and Theft or Third-Party to select from.

Third-party Car Insurance

Every driver must legally have at least third-party car insurance. If you damage someone else’s car or injure another person, this covers you. But it won’t cover any injuries or damage to your Vehicle.

Third-Party, Fire & Theft

TPFT insurance gives you everything you’d expect from a standard third-party policy and protects you if your car is stolen or damaged by fire. Fire damage includes deliberate acts, such as arson and accidental fires.

Fully Comprehensive Car Insurance

As the name suggests, the fully comprehensive policy cover gives you maximum protection as a driver. It will pay out damage to your car, your passengers, and the other party involved car and passengers, regardless of who is at fault. 

Fully Comprehensive Insurance is sometimes the Cheapest

Contrary to logical thinking, fully comp car insurance is often cheaper than third-party fire and theft car insurance. Why? Because TPFT insurance policies are associated with more high-risk drivers – and, therefore, more car insurance claims.

For younger and new drivers,  fully comp car insurance without a black box may be preferred, but add a black box device, and the premium cost will dive.

Are you Insuring a Car that is on Finance?

You might be financing a vehicle through an HP or PCP. In that case, you are not the car’s owner – it belongs to the finance company. The Vehicle isn’t yours until the end of the agreement. Your finance agreement will require you to take out fully comprehensive insurance for a car on finance.

Why might you add a named driver to your car insurance policy?

You could want to add someone else to your insurance allowing them to share the responsibility of driving the car long distances or perhaps sharing the vehicle with a family member or friend.

Might I reduce my Insurance Premiums by adding an Experienced Driver?

If you’re a new or young driver having a named driver on your car insurance policy who is older and a more experienced driver will likely give you cheaper car insurance.

Alternatively, you might want to add a young or new driver to give them extra driving practice between driving lessons. In this scenario, the insurance premium will likely increase with a less learner or inexperienced driver on the policy.

Your insurance policy will have a Compulsory Excess that you have to pay on a claim deemed your fault. And it is not negotiable.

You also have the opportunity to add a Voluntary Excess which is an additional amount you agree to pay for each claim in addition to the Compulsory Excess. A higher Voluntary Excess can significantly reduce the amount of your insurance premium. By choosing a lower Voluntary Excess, the premium is higher. You could decide not to pay any Voluntary Excess but expect a higher cost for your premium.

Is a legal cover worth the cost?

The legal Cover provides financial protection against any legal expenses you might incur after an accident that was not your fault and includes items such as lost earnings or personal injury.

Considering the relatively small additional cost, it makes financial sense that motor legal protection cover could save you many thousands of pounds on expensive legal expenses. If it’s a complicated legal case, the fees could be much higher, so it may be worth adding the Cover to your policy.

Car insurance benefits are extra to the standard items on the car insurance policy. All car insurance policies are different, and some offer more and various benefits as standard than other insurers.

If you are looking for car insurance cover, compare each policy carefully to check what standard benefits are and what you might need to pay extra. If you have an existing policy, check to see if you are missing any of the following features:

Typically these are the benefits that may be standard or available as an extra:

• Legal cover.
• Breakdown cover.
• No claims discount protection.
• Cover for driving abroad.
• Courtesy car cover.
• Personal accident cover.
• Protected no claims.
• Windscreen replacement.
• Replacement key cover.
• Audio equipment cover.
• Sat nav cover.
• Child car seat cover.
• Personal belongings cover.
• Medical expenses.
• Misfuelling.
•  

You have three main cover levels to choose from in the UK:

• Third party only
  The legal minimum. Covers damage or injury you cause to other people or their property. It does not cover damage to your own car.
• Third party, fire and theft
  Same as third party, plus cover if your car is stolen or damaged by fire, including arson.
• Fully comprehensive
  Covers damage to your car, other vehicles, passengers and property, regardless of who is at fault, subject to the policy terms.

Many young drivers assume third party is always cheaper, but it often is not. Higher risk drivers are more likely to choose third party and third party, fire and theft, so prices can be loaded. A fully comprehensive policy, sometimes with a telematics black box, is often the best value and gives you the widest protection.

Cars on finance
If your car is on HP or PCP, you usually do not own it until the agreement ends. Finance companies almost always require fully comprehensive cover. Check your finance paperwork before you choose.

A named driver is another person who is allowed to drive your car under your policy.

Common reasons to add someone are:

• Sharing longer journeys
• Letting a parent or partner use the car occasionally
• Giving a learner or new driver extra supervised practice

Adding an older, experienced driver who uses the car sometimes can reduce the price because the risk is spread. Adding a very young or inexperienced driver will usually increase it.

The most important rule is that the main driver must be the person who uses the car most of the time. Putting a parent as the main driver when the car is really yours and you use it every day is called fronting. It counts as fraud and can leave you uninsured if you crash.

Every policy has a compulsory excess. This is the amount you must pay towards a claim when you are at fault. You cannot change this.

A voluntary excess is an extra amount you agree to pay on top of the compulsory excess if you claim. Insurers reward this with a lower premium. In simple terms:

• Higher voluntary excess, lower premium
• Lower voluntary excess, higher premium

Pick a total excess that you could realistically afford if you had a claim tomorrow. There is no point choosing a very high excess just to make the quote look cheaper if it would leave you stuck later.

Motor legal protection is an optional extra that helps with legal costs after an accident that was not your fault. It can cover things like:

• Loss of earnings
• Certain out of pocket expenses
• Some personal injury related legal fees

It does not replace standard car insurance. It sits on top as extra protection for legal costs.

The add on is usually inexpensive compared with what a legal case can cost. For many people it is worth adding, but it is not compulsory. Read what is included and decide whether you would benefit.

Car insurance extras are add ons that sit on top of the basic policy. Some are included as standard on certain policies, others cost more. It is important to compare what is included before you buy.

Common extras include:

• Legal cover
• Breakdown cover
• No claims discount protection
• Cover for driving abroad
• Courtesy car cover
• Personal accident cover
• Windscreen repair and replacement
• Replacement key cover
• Audio and sat nav cover
• Child car seat cover
• Personal belongings cover
• Medical expenses
• Misfuelling cover

You do not need every extra. Focus on what you would genuinely use. For example, if you already have separate breakdown cover, you may not need it through your insurer as well.

The car insurance questions will include details about any driving convictions you have received in the previous five years.

You can view your driving licence details if you are unsure about your driving penalty points status. You’ll need your Driving Licence Number, National Insurance Number and Post Code.

Driving convictions mean higher insurance premiums

With penalty points on your driving licence, insurers will class you as a higher-risk driver, and your car insurance premium will cost more.

Car insurance companies each have their methods when accessing an endorsement on your driving licence. Still, an offence such as drink-driving will always be considered worse than minor speeding.

One of the trickiest car insurance FAQs to answer concerns claims you have made on car insurance policies over the previous five years (some insurers may go back as far as 7 or 10 years). Don’t worry. Only claims of five years or less can affect the price of your car insurance policy.

However, if you have claims going back several years, you may not instantly recall the details of the incident. It is worth getting all details of previous claims together before you start any application process. You’ll likely need to provide the date of the accident, who was at fault and the claim value.

Can Car Insurance companies check your past claims?

Yes. Insurance providers can check your claims history with CUE, which stores the information for six years.

Ensure you list all the relevant claims. Insurers will likely increase your premium for any undeclared claims. Worse, if you make a new claim during the policy and the insurer discovers an undeclared claim, they could invalidate your insurance and not pay out.

Can keeping claims down give me a Lower Car Insurance Premium?

Yes. The more claims you make, the higher this will impact the cost of your insurance quote. However, on the bright side, when you don’t claim on your policy, insurers reward you with an increase in your no-claims bonus, significantly reducing your insurance cost.

To answer this question on the application, you only need to enter the Car Registration.

Did you know? Your choice of car is usually the biggest single factor when insurers calculate the cost of your premium.

The Lower the Car Insurance Group, the Cheaper the Insurance Premium

Every car has an insurance group rating numbered between 1 and 50. The lower your car’s group rating, the less the insurance quote will be.

What are the most significant factors when evaluating a cars insurance group number:

• Repair and parts costs.
• Performance acceleration and top speed.
• Does the car have security such as an alarm, immobiliser and trackers?

A higher-value car will typically have higher repair costs and cost more to renew after an accident or theft, so you can expect a higher insurance premium.

However, the car’s value isn’t necessarily the most crucial detail of the vehicle for calculating the cost of car insurance quotes. Several factors, including the car type, repairs, performance and security, impact the cost of car insurance equally or more.

Because young drivers are deemed a higher risk statistically of being in a car accident and making an insurance claim, their age is more likely to affect the cost of their insurance premium than the value of their car.

The older you are, the more impact your car’s value may have on your premium. That’s because underwriters consider older drivers less of a risk until they reach a much older age.

Modifications to your car can look great and may even increase the car’s value. However, alterations, including alloy wheels, turbo/supercharging and exhaust changes, can affect the price of car insurance quotes.

Don’t take the question of car modification lightly. Insurance companies don’t like non-factory add-ons, and not declaring alterations to your car can be considered fraud. Your insurance policy could be void, and the claims you make are not paid.

The more security your car has, the less the theft risk, and you can expect a lower insurance quote.

You can likely get a cheaper insurance quote with an antitheft device fitted to the vehicle. We highlight the three options preferred by insurance companies. Car insurance discounts will vary on the type and model of the device.

Alarms

Car alarms can partially deter theft but are unreliable because many assume they have gone off by accident and ignore them. Some alarms are silent and will notify you that the vehicle is at risk but not the thief allowing you to contact and inform the police immediately.

Immobilisers

Your car quote questionnaire will ask if the car has a factory-fitted immobiliser, which is very popular with car insurers because you cannot hotwire a vehicle with an immobiliser. You’ll need the car keys. However, be aware of keyless car theft; this is when thieves clone a car key fob technology to steal the vehicle.

Trackers

Car security system GPS tracking will not only stop your vehicle from being stolen but also help you get your vehicle returned and, if you get your car back undamaged, negate having to claim on your car insurance.

Most insurers consider where you park overnight because it affects theft and damage risk.

Off-street parking, driveway or a locked garage, can reduce your premium, but it is not guaranteed. In some cases a well lit street or a monitored car park may rate better.

The reason you use the vehicle can significantly affect the calculation of your car insurance quote.

Insurance providers typically ask you to choose one of the following options:

• Social, domestic & pleasure – day-to-day is driving, such as visiting family and friends, shopping or going on holiday in the UK.
• Social, Domestic, Pleasure and Commuting – covers social, domestic & pleasure PLUS driving to one fixed place of work and parking, such as at a railway station.
• Business use – Allows you to use the car for your work and drive to multiple places.
• Commercial travelling – Allows you to carry goods and use the car for things such as door-to-door sales.

Driving your car for any use above social, domestic and pleasure will increase the cost of any insurance quote. For example, you’ll receive a higher insurance quote if you use your car to commute or for business because driving extra miles will increase the risk to the insurer.

Why do insurance companies ask how many miles you drive?

The more miles you drive, the higher your chance of being involved in an accident. So, the higher your mileage, the more impact on your insurance quotation.

Don’t overestimate your mileage.

You should not underestimate your mileage to get a lower quote. Likewise, don’t make a mistake by overestimating the miles you drive. Finally, insurers consider drivers with a very low mileage likelier to have an accident.

The best advice is to give a correct assessment of your annual mileage.

What kind of car insurance coverage do you need?

There are three levels of insurance available – fully Comprehensive car insurance, Third-Party Fire and Theft or Third-Party to select from.

Third-party Car Insurance

Every driver must legally have at least third-party car insurance. If you damage someone else’s car or injure another person, this covers you. But it won’t cover any injuries or damage to your Vehicle.

Third-Party, Fire & Theft

TPFT insurance gives you everything you’d expect from a standard third-party policy and protects you if your car is stolen or damaged by fire. Fire damage includes deliberate acts, such as arson and accidental fires.

Fully Comprehensive Car Insurance

As the name suggests, the fully comprehensive policy cover gives you maximum protection as a driver. It will pay out damage to your car, your passengers, and the other party involved car and passengers, regardless of who is at fault. 

Fully Comprehensive Insurance is sometimes the Cheapest

Contrary to logical thinking, fully comp car insurance is often cheaper than third-party fire and theft car insurance. Why? Because TPFT insurance policies are associated with more high-risk drivers – and, therefore, more car insurance claims.

For younger and new drivers,  fully comp car insurance without a black box may be preferred, but add a black box device, and the premium cost will dive.

Are you Insuring a Car that is on Finance?

You might be financing a vehicle through an HP or PCP. In that case, you are not the car’s owner – it belongs to the finance company. The Vehicle isn’t yours until the end of the agreement. Your finance agreement will require you to take out fully comprehensive insurance for a car on finance.

Why might you add a named driver to your car insurance policy?

You could want to add someone else to your insurance allowing them to share the responsibility of driving the car long distances or perhaps sharing the vehicle with a family member or friend.

Might I reduce my Insurance Premiums by adding an Experienced Driver?

If you’re a new or young driver having a named driver on your car insurance policy who is older and a more experienced driver will likely give you cheaper car insurance.

Alternatively, you might want to add a young or new driver to give them extra driving practice between driving lessons. In this scenario, the insurance premium will likely increase with a less learner or inexperienced driver on the policy.

Your insurance policy will have a Compulsory Excess that you have to pay on a claim deemed your fault. And it is not negotiable.

You also have the opportunity to add a Voluntary Excess which is an additional amount you agree to pay for each claim in addition to the Compulsory Excess. A higher Voluntary Excess can significantly reduce the amount of your insurance premium. By choosing a lower Voluntary Excess, the premium is higher. You could decide not to pay any Voluntary Excess but expect a higher cost for your premium.

Is a legal cover worth the cost?

The legal Cover provides financial protection against any legal expenses you might incur after an accident that was not your fault and includes items such as lost earnings or personal injury.

Considering the relatively small additional cost, it makes financial sense that motor legal protection cover could save you many thousands of pounds on expensive legal expenses. If it’s a complicated legal case, the fees could be much higher, so it may be worth adding the Cover to your policy.

Car insurance benefits are extra to the standard items on the car insurance policy. All car insurance policies are different, and some offer more and various benefits as standard than other insurers.

If you are looking for car insurance cover, compare each policy carefully to check what standard benefits are and what you might need to pay extra. If you have an existing policy, check to see if you are missing any of the following features:

Typically these are the benefits that may be standard or available as an extra:

• Legal cover.
• Breakdown cover.
• No claims discount protection.
• Cover for driving abroad.
• Courtesy car cover.
• Personal accident cover.
• Protected no claims.
• Windscreen replacement.
• Replacement key cover.
• Audio equipment cover.
• Sat nav cover.
• Child car seat cover.
• Personal belongings cover.
• Medical expenses.
• Misfuelling.
•