Looking for the cheapest UK car insurance?
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To find the lowest possible quotes for insuring your car you need to know:
- Which are the cheapest insurance companies?
- How do I find the lowest quotes?
- How can I reduce my car insurance costs?
- How much does car insurance cost?
- Can I buy insurance without a deposit?
- Is it cheaper to pay in full or monthly?
Which car insurance company is the cheapest?
At the end of 2018 we carried out over 100 price comparisons using confused.com, for a wide variety of people with different cars, ages, postcodes etc. We ignored variables such as included extras and compulsory excesses. The insurers we found to be the cheapest overall were as follows:
- LV =
- More Than
- Smart Miles
- Complete Cover Group
However, things are never so simple as they seem!
When we looked at the results for younger drivers, who inevitably pay the highest premiums, those that drove expensive cars and those who lived in higher risk postcodes, we found that LV= scored very low on the lists. This suggests that they concentrate on the safer drivers who are less likely to make claims, so they may not be the best choice for those in the high risk groups.
How do I get the lowest quotes?
Again, we have conducted many hundreds of price comparisons over the years and have consistently found that there is often a difference in price between the quotations we have received for identical policies, depending upon which price comparison site provided the quotes. This may well be because each site has a different agreement with the insurers and it's panel.
We have also found that sometimes local brokers have been able to find cheaper quotations from insurers that are not listed on any of the price comparison sites, particularly for motorists who have convictions or a record of claims.
Our conclusion is that to get the cheapest possible quotes you need to not only use several different price comparison sites, but ask your local broker for a quote, too.
How is my car insurance premium calculated?
The factors that affect your premium the most are:
- Your age
- Your postcode
- Driving experience
- Claims/convictions record
- Type of car.
You can do little or nothing about the first two factors. Taking an advanced driving course such as that run by the Institute of Advanced Motorists may help. You should obviously tried to ensure that you do not pick up any convictions or get involved in accidents by driving safely as you can with consideration for other road users.
Your occupation can make a huge difference to how much you are charged. People who work late at night or are in occupations that involve alcohol may find their premiums increased substantially. Those in the entertainment industry or sports people may even find it difficult to get cover at all, since statistically they are far more likely to be involved in accidents, and those accidents, again statistically, are likely to cost more than the average to settle.
Obviously the bigger and more powerful your car the higher your premium, the more damage it is likely to cause in the event of a collision. However, if you have comprehensive cover the insurers not only look at the cost of repairing it in the event of an accident, but also the ease or difficulty of obtaining spares. If these have to come from abroad or be specially ordered this could lead to costly delays. You should always therefore check the insurance group of any car which you are thinking of buying, as well as any extra safety features that it may benefit from.
Can I buy car insurance without a deposit?
No. Although many websites promise 'no deposit car insurance' this is simply not possible since, and it UK contract law, an insurance policy without at least some payment just isn't legally enforceable. Some deposit must be made. Low deposit schemes do exist. However, but upfront payments ranging from a 12 of the total premium upwards.
Can I pay monthly for car insurance?
A lot of insurers are prepared to allow their clients to pay for their cover over 12 months, rather than in one single payment in advance. However, not all of them do this, and unfortunately some of those who offer the cheapest quotes insist on full payment. If you do opt for a monthly paid plan you will almost certainly be charged extra interest or management charges so it is almost always cheaper to pay the full premium right at the start of your policy.