It’s tricky finding affordable car insurance if you’re a young or new driver. Here’s how to keep the cost of your policy down if you’re under 25.
When it comes to insurance, you’re considered a young driver if you’re aged between 17 and 24.
The cost of insurance is much higher until you reach 25, and then it’s easier to find cheaper cover.
It’s all down to statistics. Newly qualified drivers tend to be young, lacking in experience, and more likely to have an accident and make a claim within two years of passing their test.
This makes young drivers riskier and more expensive to insure, which raises the cost of cover.
You’ll need to get several quotes and spend time shopping around for the best deal. Here are some more tips to try:
It involves a small telematic device being fitted in your car to monitor your driving.
This is ideal if you don’t have any driving history as it gives you a chance to prove to the insurer you’re a safe driver, and can make your insurance cheaper.
The device allows the insurer to monitor things like:
Your driving style and behaviours will determine the rewards you earn - these can mean a lower cost policy or extra kilometres. You’ll get driving tips to help you increase your rewards too.
Consistently driving safely could help you continue to save on your insurance.
This is how long it’s been since you made a claim on your insurance or had a claim made against you, regardless of who was to blame.
The more consecutive claim free years you’ve accrued, the bigger the discount you’ll get - sometimes as much as 75%.
Building up your NCB while you’re young, is a great way of reducing the cost of your insurance.
You can pay to fully or partially protect your no claims. Partial protection is known as ‘step back’ because making a claim reduces your NCB, usually by two years. You can find out more about NCB in our guide.
Each insurer may have slightly different terms regarding NCB, so check the policy details.
While cost may be a big concern for you, it’s vital to have the cover you need. Here are the three main types of car cover:
Comprehensive cover offers more protection than the other types, so it’s often more expensive.
Consider what each policy type offers and what cover you actually need. For example, if your car isn’t worth very much, you may opt for third party, fire and theft cover.
Be aware that paying less initially may mean paying more later if you have to claim. Here’s how to get the best car insurance.
There are lots of optional extras you can add to your policy such as:
All of these extras can add up, so check what’s already included and only pay for what you need.
Yes you can, but you usually have to be the policyholder rather than a named driver on someone else’s car, to be able to earn a no claims bonus.
However, it’s worth shopping around as some insurers can take named driving experience into account too. This means you might not have to start from zero years no claims when you buy your first policy.
Not any more. In 2012, a court ruling made it illegal for insurance companies to take gender into account when calculating insurance prices.
However, there are other factors like driving experience and the type of car you drive that will affect the price. This can mean that women pay less than men as they’re more likely to drive less powerful cars and keep hold of their no claims bonus by having fewer accidents.
It’s where an experienced driver falsely poses as the main driver on behalf of someone less experienced, by adding them to the policy as a named driver. This is usually done to make the policy cheaper for the real main driver who’s usually younger.
Fronting is a type of insurance fraud, so if caught, you could be prosecuted. It can also invalidate your insurance and result in you paying for any costs associated with a claim.
It only takes a few minutes to find a cheaper deal and start saving