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Yahoo
03-06-2025
- Automotive
- Yahoo
10 ways young UK drivers can avoid high car insurance costs
Young people usually pay more in car insurance – sometimes a lot more – as they are statistically more likely to be involved in an accident and policies are based on overall risk. Those aged between 17 and 24 pay £828 on average, close to double the £476 typically paid by 25-to 49-year-olds, according to data from the comparison site However, comparing quotes can still save you hundreds of pounds. Comparison sites – others include MoneySuperMarket, and Compare the Market – let you easily see prices across dozens of insurers. Experts say getting quotes about three to four weeks before your policy is due to start often results in cheaper deals. Adding a parent, or any other experienced motorist as a named driver – as long as they drive the car occasionally – can help lower your premium. Insurers see this as spreading the risk as the vehicle is not just driven by someone with little experience. Look for someone with a clean licence and many years of no claims. Whatever you do, don't pretend someone else is the main driver – that is known as 'fronting', and is illegal. Generally, the smaller and less powerful the car, the cheaper it will be to insure. Go for something in a low insurance group (cars are put into one of 50 groups), typically the less expensive models with small engines and where the cost of parts and repairs are generally lower. The cheapest for 17- to 25-year-olds include Volkswagen's up! (averaging £576 a year), the Suzuki Alto (£597) and the Fiat 500 (£604), according to 'This shows it is smaller cars – specifically modest one-litre engine hatchbacks – which are taking the top spots as the cheapest cars to insure for young drivers,' says Tom Banks at Buying secondhand will keep costs down. Just make sure it is in good condition and has a full service history. 'Avoid making modifications, too, as these could lead to a hike in the price,' says Andrew Lee at the insurer Marmalade, which specialises in young drivers. A black box, or telematics, is a great way to reduce costs over time. A small device (or an app on your phone) tracks how safely you drive. If you stick to speed limits, avoid harsh braking and do not drive late at night, you could earn a lower insurance quote or repayments, adds Banks. 'If the data shows consistent safe driving, insurers might reward policyholders with benefits like lower premiums, cashback or a voucher, either during your policy term, or when it's time to renew,' he adds. According to the median price for a 19-year-old driver with a telematics policy is £864 a year. This compares with £1,096 without telematics. At age 23, the difference is only £21: £636 with telematics; £657 without. If you don't make a claim, you will earn a no-claims discount, which can further reduce costs. However, there are some potential disadvantages to a black box. It will record poor habits and so could result in higher premiums. 'If you don't drive carefully, or within pre-arranged limits of your policy, you could end up paying more,' Banks says. If you are already insured, do not just accept your renewal quote. Use comparison sites to see what others are charging for the same, or similar, cover, then go back to your current insurer and see whether it will match, or beat, those prices. Monthly payments may be easier for some younger people to handle, but they often involve paying interest on the premiums – sometimes as much as 30% APR. If you can afford to pay in one go, it is nearly always cheaper. If an annual payment is not possible, it is worth looking into alternatives such as a 0% interest credit card (provided you can pay it off before interest kicks in). Or set aside money each month. Where, and how, you park matters. Insurers like driveways more than street parking, so prices tend to fall if you have access to one. If your building has designated private parking, whether gated or residents only, that is also usually rated as safer than street parking. If you have a fob-controlled or gated car park, even better. Mention it when getting quotes. And adding a steering wheel lock, immobiliser or dashcam can help. The more secure your car, the less of a risk it poses – and the more likely something will be shaved off your premium. What you put as your job title can affect how much you pay – sometimes by hundreds of pounds. That's because data based on years of claims is used. Some professions are flagged as higher risk, either because of how often people in those jobs claim, or the way they are perceived to use their cars. Many forms include a dropdown menu for job titles, and choosing a different, but still legitimately accurate, title – such as 'writer' instead of 'journalist' – could lower your premium. Make sure it is truthful. False information could invalidate your policy. MoneySuperMarket has a 'car insurance job picker' to help you identify the role that best describes what you do, and find the average premium for each job. Your excess is what you pay towards a claim before your insurer chips in. It is usually split into two parts: a compulsory excess, which is set by your insurer and non-negotiable; and a voluntary excess, the extra you choose to pay on top. 'The most common excess chosen by our customers is £250,' says Rhydian Jones, a car insurance expert at 'But opting for a higher – or sometimes even lower – excess can help reduce the overall cost of your cover. Experiment with your excess amount when comparing quotes to see if you could save.' The higher the voluntary excess, the lower your premium tends to be. 'Make sure you can afford to pay the excess amount you have stated,' says Lee, otherwise you could be left in a tricky situation. The discount increases with each year you drive claim-free. After just one year, you could get a 20% to 30% discount. After five years, some insurers will knock 60% or more off your premium. Your no-claims discount is tied to you, not the car – so if you change your vehicle or insurer, you can usually transfer it. Even if you have an accident, it will not always wipe out your discount – especially if you are not at fault and the other driver's insurer pays. It is worth asking your insurer to confirm how much your premium would go up by if you made a claim.
Scottish Sun
18-05-2025
- Automotive
- Scottish Sun
Ten cheapest cars to insure in UK for 2025.. including surprisingly plush saloon & sporty convertible
The model of the car is just one of many factors insurers consider GOT YOU COVERED Ten cheapest cars to insure in UK for 2025.. including surprisingly plush saloon & sporty convertible Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) A GROUP of car insurance experts have revealed the cheapest cars to insure in the UK in 2025 – with some surprising models included. A new report from Car Insurance shows that it's not just small, low-powered models that help you save on vehicle cover. Sign up for Scottish Sun newsletter Sign up 3 The iconic Mazda MX-5 tops list of the cheapest cars to insure Credit: Getty 3 The plusg, long-forgotten Saab 9-3 has also made the list Credit: Getty 3 Joining the top 10 are several small, low cost cars as well, such as the SmatFourtwo Credit: Getty The comparison site recently shared with Sun Motors their latest car insurance price index, revealing that the average cost of car insurance is £450. Typically, smaller, less powerful cars with good safety credentials are the cheapest to insure, such as the ever-popular Peugeot 206 and the compact Smart ForTwo. Unsurprisingly, both feature on list. However, there are a few unexpected entries, including the iconic Mazda MX-5 - which takes the top spot, costing an average of £250 to insure. Long dubbed 'the poster child for convertible cars', the MX-5 has often been recognised as a mechanically reliable choice that's also great fun to drive. The long-forgotten Saab 9-3, praised as a comfortable and practical saloon that also boasts good looks and an excellent safety record, also makes the list. Saab's former Swedish rivals Volvo are also on the list with the S40, costing just £290 to insure on average. top 10 cheapest cars to insure 1 Mazda MX-5 - £250 2 Peugeot 206 - £255 3 Citroen Xsara - £256 4 Smart Fortwo - £260 5 Toyota IQ - £265 6 Fiat Panda - £279 7 Peugeot RCZ - £279 8 Vauxhall Agila - £290 9 Saab 9-3 - £290 10 Volvo S40 - £290 Speaking to Sun Motors, Tom Banks, a car insurance expert at explained that the model of the car is just one of many factors insurers consider. He said: 'When an insurer offers you a quote for your car insurance, they take into account a whole range of factors – your age, the area you live in, and where your car is parked can all affect the price, as well as the type of car you drive. 'Generally speaking, more powerful, sporty cars with larger engines are more expensive to insure, while cars with smaller engines are typically more affordable to insure and run. 'While it's unlikely to be cost-effective to change your car solely to lower your insurance premium, if you're in the market for a new car anyway, it's definitely worth researching how much different models cost to insure. 'And if you're not planning to buy a new car but your premiums have increased, there are certain steps you can take to try to reduce the cost of insuring your vehicle.'
The Irish Sun
18-05-2025
- Automotive
- The Irish Sun
Ten cheapest cars to insure in UK for 2025.. including surprisingly plush saloon & sporty convertible
A GROUP of car insurance experts have revealed the cheapest cars to insure in the UK in 2025 – with some surprising models included. A new report from models that help you save on vehicle cover. Advertisement 3 The iconic Mazda MX-5 tops list of the cheapest cars to insure Credit: Getty 3 The plusg, long-forgotten Saab 9-3 has also made the list Credit: Getty 3 Joining the top 10 are several small, low cost cars as well, such as the SmatFourtwo Credit: Getty The comparison site recently shared with Sun Motors their latest car insurance price index, revealing that the average cost of car insurance is £450. Typically, smaller, less powerful cars with good safety credentials are the cheapest to insure, such as the ever-popular Peugeot 206 and the compact Smart ForTwo. Unsurprisingly, both feature on list. However, there are a few unexpected entries, including the iconic Mazda MX-5 - which takes the top spot, costing an average of £250 to insure. Advertisement Read more Motors News Long dubbed 'the poster child for convertible cars', the MX-5 has often been recognised as a mechanically reliable choice that's also great fun to drive. The long-forgotten Saab 9-3, praised as a comfortable and practical saloon that also boasts good looks and an excellent safety record, also makes the list. Saab's former Swedish rivals Volvo are also on the list with the S40, costing just £290 to insure on average. top 10 cheapest cars to insure 1 Mazda MX-5 - £250 2 Peugeot 206 - £255 3 Citroen Xsara - £256 4 Smart Fortwo - £260 5 Toyota IQ - £265 6 Fiat Panda - £279 7 Peugeot RCZ - £279 8 Vauxhall Agila - £290 9 Saab 9-3 - £290 10 Volvo S40 - £290 Speaking to Sun Motors, Tom Banks, a car insurance expert at explained that the model of the car is just one of many factors insurers consider. Advertisement Most read in Motors Breaking He said: 'When an insurer offers you a quote for your car insurance, they take into account a whole range of factors – your age, the area you live in, and where your car is parked can all affect the price, as well as the type of car you drive. 'Generally speaking, more powerful, sporty cars with larger engines are more expensive to insure, while cars with smaller engines are typically more affordable to insure and run. 'While it's unlikely to be cost-effective to change your car solely to lower your insurance premium, if you're in the market for a new car anyway, it's definitely worth researching how much different models cost to insure. 'And if you're not planning to buy a new car but your premiums have increased, there are certain steps you can take to try to reduce the cost of insuring your vehicle.' Advertisement car insurance top tips Pay annually: Paying monthly for your car insurance could cost you more - insurers view this as a loan and add interest, making it more expensive over the year. So if you can afford to, pay it all in one go. Consider the cover type: While you might think that opting for less cover is cheaper, this isn't always the case. Our data shows that third-party-only policies cost an average of £588, £138 more than comprehensive policies (£450). Job descriptions matter: If there are multiple titles you can use to describe your profession accurately, try them all out, as your car insurance premium could vary depending on which you use - but remember to always be truthful and accurate with your insurer. Time when you buy: Our data shows that you can make some serious savings if you shop in advance of your renewal date. In fact, it could cost you 30% more if you leave it to the day your policy is due for renewal.
Business News Wales
16-05-2025
- Business
- Business News Wales
Comparison Developer Launches Wedding Insurance on Leading Site
A specialist insurance comparison developer has strengthened its partnership with a leading price comparison sites by launching wedding insurance and a new boiler comparison service. Cwmbran-based Comparison Creator already provides with white label services for short term car insurance, motor breakdown, mobile phone insurance, gadget insurance and home emergency/boiler fix cover. Now customers can also compare wedding insurance from a panel of nine insurers. The new boiler comparison service marks the first time that has offered this type of comparison and is powered by Comparison Creator's standalone brand, Protect Your Family. Steve Jones, founder and CEO of Comparison Creator, said: 'We are over the moon that has once again chosen to partner with Comparison Creator to launch these products. We have worked with the team for over a decade and we're thrilled to be able to launch two more services with them. 'Wedding insurance is becoming increasingly popular as the cost of weddings continues to rise, and we take great pride in the service we've built. It's fantastic that customers can now benefit from it. 'As well as weddings, fitting a new boiler is also a major expense that many homeowners have to manage. They are a vital household appliance that people can't do without so having the ability to compare both boilers and their installation online via will benefit many of its customers.' Tom Banks, spokesperson for said: 'Both weddings and boilers are major expenses, so being able to empower our customers to compare these policies and products, to see if they can save money, and choose the right options for their needs is something we're immensely proud of. We've worked with Comparison Creator for over a decade so we know that they're experts in their field, particularly when it comes to comparing more niche insurance products.'
Telegraph
17-04-2025
- Automotive
- Telegraph
How does car insurance work?
Car insurance is a legal requirement for all UK motorists. It acts as a financial safety net that protects you, your vehicle and others on the road in the event of an accident, theft or other unexpected incidents – but it can be tricky to gauge the best policy for you. Here, Telegraph Money explains how car insurance works, the different types available and what factors can affect the cost of your premium. How does car insurance work? Types of car insurance Multi-car insurance How car insurance cost is calculated Car insurance FAQs How does car insurance work? When you buy car insurance, you agree to pay a monthly or annual premium to an insurance provider. In return, your insurer helps cover certain costs if you're involved in an accident or if your car is stolen or vandalised. Depending on the type of coverage you choose, car insurance can pay out for repairs, medical expenses, and even legal fees, helping you to avoid large out-of-pocket costs. When calculating the price of your car insurance policy, insurers assess how likely you are to claim. They consider multiple risk factors, such as your age and driving experience, the area you live in, and the type of vehicle you drive – including the insurance group it falls into. The only time you don't need to purchase car insurance is if you plan to keep your vehicle off the road, such as in a garage or on a private driveway. However, in this instance, you must officially declare it off the road with a Statutory Off Road Notification (SORN). Types of car insurance There are three main types of car insurance to choose from: Third-party only: This is the minimum legally required level of car insurance for UK motorists. It covers you for the costs of damage to another person's vehicle or property, plus injury to others if you're involved in an accident. But it doesn't cover you or your own car. Third-party, fire and theft: This covers all of the above, but also covers repairs or replacement costs if your car is stolen or damaged by fire. Fully comprehensive: This type of cover offers the highest level of protection. It covers all of the above as well as damage to your own vehicle. Some policies also include cover for your windscreen, personal possessions and medical costs. It's worth noting that even though this option offers the most cover, comprehensive insurance isn't necessarily the most expensive. Car insurance excess Every car insurance policy comes with an excess. This is the amount you must pay towards the cost of a car insurance claim, should you need to make one. For example, if your excess is £400 and you make a claim for £1,400, you pay the first £400 and the insurer covers the remaining £1,000. Tom Banks, car insurance expert at price comparison site GoCompare, said: 'There are two types of excess – compulsory and voluntary. Compulsory excess is set by the insurer and can't be changed, while voluntary excess is an amount that is chosen by the policyholder. 'Setting a higher voluntary excess can sometimes reduce the cost of your premium, but it's important to make sure you could afford to pay it if you ever need to make a claim.' No-claims bonus For each year you don't claim on your car insurance, you build up a no-claims bonus or no-claims discount. Andrew Lee, of insurance firm Swinton Insurance, said: 'The more years of no-claims bonus you have, the lower the deemed risk in the eyes an insurer, which can consequently help reduce premiums.' No-claims bonuses vary between insurers. You might get a discount of 30pc for your first claim-free year, and as much as 60pc off if you don't claim for five years or more. Mr Lee said: 'Commonly, no-claim bonuses are limited at nine years. Your no-claims bonus is yours and can be carried over if you change insurance provider, but you will have to provide proof to your new insurer.' If you need to claim on your car insurance at any point, even if the reason for doing so wasn't your fault, you will likely lose your no-claims bonus and will need to rebuild it from scratch. This means your policy will likely be more expensive when you next renew it. The exception is if you have paid for no-claims bonus protection. This is an optional add-on and means you can claim one or two times a year without impacting your no-claims bonus. However, having no-claims bonus protection won't stop your premiums from rising if you make a claim. Policy length Most car insurance policies last for 12 months, after which you'll need to renew your policy to ensure your vehicle remains legally insured. You can pay for your car insurance in one go each year, or spread the cost and pay for your cover each month. However, insurers usually charge interest if you pay monthly, making the total cost more expensive. If you only need car insurance for a short period, there are other options available, including temporary car insurance. Temporary car insurance Temporary car insurance allows you to insure a car for just a few hours or days. It can usually be purchased quickly and provides coverage without affecting the original vehicle owner's no-claims bonus. Jake Lambert, temporary car insurance expert at Tempcover, said: 'Temporary car insurance is short-term, fully comprehensive cover that gives you the freedom to drive when you need it – whether it's sharing the long drive on a planned road trip or borrowing a car in an unexpected emergency, for example.' Coverage periods vary depending on the provider, but you can typically find cover ranging from one hour to 30 days. Multi-car insurance If your household or family owns more than one vehicle, you could consider taking out multi-car insurance to cover them all under one policy. Insurers will typically give you a discount for each car you add, so it could work out cheaper than taking out separate policies for each vehicle – although you should run some comparisons first to check this is the case. Multi-car insurance can work in two different ways: Linked policies: Here, each car is insured separately with the same insurer, and each has different cover, benefits and add-ons. Start and end dates can differ too. Single policies: The same level of cover is usually provided for each driver and each vehicle. Policies usually have the same renewal date. How car insurance cost is calculated When determining the cost of your car insurance policy, insurance providers consider a wide range of risk factors. These include: Your age: Drivers under the age of 25 tend to pay more for car insurance due to their inexperience. As they get older and gain more experience, premiums start to fall, before rising again once they are over the age of 70. Your driving record: Insurers consider how long you've been driving and whether you have a history of accidents, claims or points on your licence. Someone with driving convictions or past insurance claims will pay more for their policy than someone with no previous claims and a clean driving licence. Your vehicle type: Every make and model of car in the UK falls into one of 50 car insurance groups, with those placed in a lower group considered to be less risky, resulting in lower premiums. Vehicles in higher groups tend to have more powerful engines and higher repair costs and typically cost more to insure. Your location: Where you live can also impact the cost of car insurance. Providers look at factors such as the driving behaviour in your area, the crime rate and the average number of claims. Your occupation: Insurers view some occupations as riskier than others, such as those that involve night-time driving or carrying expensive equipment in the vehicle. This can increase premiums. Car insurance FAQs How much does it cost to add a driver to car insurance? Research from price comparison site Confused shows that adding one extra driver to your car insurance policy costs an average of £1,075. However, exact costs will depend on factors such as the driver's age, experience and driving record. What can you claim on car insurance? Exactly what you can claim depends on your car insurance policy type. With a comprehensive car insurance policy, you can typically claim for damage or losses related to an accident, theft, fire or vandalism. Some policies also cover claims arising from injuries to other people. What is the 21-day rule for car insurance?
