How to get cheap car insurance

Insurance up for renewal and looking to get cheap car insurance? Or thinking about buying a car and wondering how to get affordable cover? Having worked with insurers for over 50 years, we know top insider tips that insurers reward. Here we explain some of the lesser-known tips and tricks to help you get cheap cover in the UK.

Speak to an insurance broker

If you’re struggling to find affordable cover, you might want to speak directly to an insurance broker like us. Not only do we try and find the most appropriate cover based on your individual circumstances, but we also aim to provide the best value-for-money cover available.

We’re able to do this because we work closely with a panel of over 30 insurers, allowing us to do the shopping around for you so you don’t have to.

You might just think we’re the middleman, but it goes a lot further than that. Using the relationships we’ve formed with our panel of insurers over the last 50 years, as well as the unique question set we ask you to try and get you a better deal, we’re often better equipped to argue your case and get you a cheaper insurance policy.

Our UK-based staff are experts at finding savings that people wouldn’t be able to make by putting their information into a computer.

Which leads us onto our next hack…

It pays to be kind when getting a quote over the phone

If you’ve ever worked a retail job, you know that a bit of kindness and patience goes a long way. Insurance is no different. Sometimes it pays just to have a bit of patience while our staff do their best to find you the best quote. It might be that they need to do a little bit more research or refer to a supervisor in case your circumstances mean that you qualify for any special rates. This all takes time, so the experience over the phone might be different if you’re not used to using a broker.

According to Gerry Bucke, General Manager at Adrian Flux, simply being polite could save people from £10 to 20% on the total cost of their cover.

Comparison sites may save time, but they don’t always save money

While online comparison sites, known as aggregators, may appear to save time, they may not always provide the best deal.

Mr Bucke said: “What many people aren’t aware of is that it’s always worth phoning a few insurers or brokers who are not on the comparison sites, like ourselves – even if you’ve got a quote online.

“These sites can charge firms £60 to 80 on average for a sale via them, some brokers and direct insurers can simply pass this saving directly onto you.”

Take your time to organise cover

It’s important to plan and organise car insurance in advance to prevent any costly mistakes – and enable more time to source the best quote.

This is especially true if you call up an insurer or broker.

If you’re not in a rush to get a quote, the team member won’t be pushed to give you a price immediately. Instead, they can take the time to get cheaper insurance for you by speaking to managers for further discounts and underwriters for deals you won’t find elsewhere. This will often result in a less expensive premium.

It’s also a good idea to call during quieter hours. Anytime after 10am on a Tuesday, Wednesday or Thursday helps avoid peak hours so the team member can take their time to get you a better deal.

Don’t panic if you don’t get a quote 21 days before renewal

Planning in advance is great, but if you don’t have the time don’t worry. Money Saving Expert’s Martin Lewis previously indicated that 21 days before renewal is the “sweet spot” for getting a quote, and we agree that this is best. However, if you miss that window, there’s no need to panic.

Even if you take out your new policy five days before your existing one expires, you can still reduce your premium by up to 20% compared to if you were to renew on or after the day your current policy expires.

Get yourself on the electoral roll at your current address

Being on the electoral roll helps to improve your credit score, which, in turn, can save you money. A better credit rating indicates to insurers that you will be able to meet the repayments if you’re paying monthly. They also view this as a sign of stability.

Make sure you list your current address when taking our insurance too, rather than a relative’s address. Insurers run checks and if your name doesn’t match with someone who lives there at the address, you might be quoted extra – or not quoted at all.

Try to improve your credit score

The difference in frequency between people with a good credit score and people with a poor credit rating claiming on their insurance is vast: at least a 50% difference in favour of those with good credit. This means that building your credit rating can help reduce the perceived risk that insurers have when they get you a quote.

There are many apps and websites available to help build your credit rating. Make sure you choose trusted resources, such as Experian and ClearScore so you get advice that will actually help. And remember that whilst they might suggest you open up new lines of credit, if you do take out a credit card, you should ensure that you keep up with monthly repayments for these.

Share your driving licence number when getting an online quote

This is a really simple trick that could save you up to 5% on your policy in some cases. By providing your driving licence number when getting an online quote, this suggests to insurers that you’re a trustworthy driver and therefore a lower risk. As a result, they can “immediately” discount the premium you get given.

Disclose everything, even no-fault accidents

Make sure that when you do get a quote, all the information you provide is completely accurate and you disclose everything asked of you.

Insurance companies have access to data to confirm what you say. If your details don’t match the data they can access, many won’t provide you with a quote at all – or they’ll charge 25 to 50% extra.

Even if you’ve claimed because of an accident that wasn’t your fault, it’s important that you disclose this when you get a quote so you aren’t penalised with a high insurance premium.

Choose a car that’s cheap to insure

A lot of the factors that go into your quote involve the car that you choose, so it’s important to choose wisely here. If you’re thinking about buying a car and you’re looking for options that’ll get you cheap cover, here’s our list of top tips for getting affordable insurance, plus some recommendations for which cars to buy.

Get a car with a small capacity engine

You’ll probably remember the days of being a young driver and opting for a low-capacity car to save on insurance. Even if you’ve got plenty of years of experience behind you, this little trick still works.

You don’t have to get the lowest capacity engine possible if you’re an experienced driver, but it definitely doesn’t hurt to buy a car with a smaller capacity engine, especially if you’re stuck between a few car options.

If you have only just passed or started to drive then, one of ten of the best ways to keep costs down is choosing the right vehicle. We compiled a list of the best first cars for teens if low-cost insurance is your top requirement. These vehicles can be insured competitively by us, whether you’re still learning to drive or you’ve recently passed – call us for our best quotes.

Opt for a vehicle with as few seats as you need

This tip is twofold: first of all, a car with a limited number of seats will mean that you’ll be carrying fewer passengers, which generally reduces the amount that insurers must payout in the event of an accident as there’ll be fewer parties involved. And second, a vehicle with fewer seats is likely to be smaller and less powerful, which reduces the perceived risk to insurers.

You’ll need to strike a balance between buying a car with as few seats as you need and getting a vehicle with a smaller capacity engine. For instance, it’s likely that many two-seater cars will be sports cars with a higher capacity. “Micro” cars like a Smart Car or an Aixam are better options for use in the city.

Consider getting a classic car

Okay, we may be a little biased because we’re fans of classics, but did you know that classic car insurance is often cheaper than if you were to take out a regular policy?

Insurance premiums are all about the perceived risk of a specific set of circumstances: if insurers think the risk that you’ll claim is high, they’ll increase your premium to account for this.

Classic cars are considered a lower risk to insurers. The idea here is that most classics are second cars so aren’t driven as frequently as standard vehicles. And, if you own one of these models, chances are you’re a car enthusiast who will treat your vehicle with the care and attention it deserves.

You don’t necessarily have to be an enthusiast to benefit from lower premiums, though it does help – there are clubs and forums dedicated to specific classics and if you join one, you could see your premium decrease by up to 15% with us.

Even if you don’t want to sign up for one, if you’re thinking about buying a used car anyway, you might want to find out whether it would be considered a classic so you can benefit from a reduced premium.

Don’t be afraid to be different when it comes to choosing your car

As previously mentioned, insurance premiums are all about the perceived risk to insurers. There are a number of car models that are almost always used as first cars and, because young drivers are more likely to make a claim than experienced drivers, this pushes up the premium on those specific vehicles.

It’s a good idea, therefore, to choose vehicles that differ from the norm and won’t be considered “risky” to insurers. Think a classic Fiat Panda, a Hillman Imp, or a Renault 5.

If the vehicle is over 40 years old, you’ll also benefit from MOT exemption, meaning you won’t need to put the vehicle through an MOT. That doesn’t mean you should neglect the classic’s servicing entirely; many older cars need more TLC than most and it’s important you maintain your vehicle so it’s roadworthy.

Set your used car budget wisely

If you’re buying a used car, make sure to budget for this wisely.

Choose a vehicle that’s too cheap and you’ll likely have to spend more on repairs. But choose a car that’s too expensive and it’s more likely that the vehicle will have a larger engine capacity or be a luxury model which could be the target of thieves, all of which can increase your premium.

There is a sweet spot for buying a second-hand car. Anything ranging from £6,000 to £8,000 is usually just right – not so cheap that it’s likely to have issues and not so expensive that it would draw attention.

For alternatively fuelled vehicle like hybrids, EVs and hydrogen cars, the budget will be similar and could even be a little cheaper as used car prices for EVs have plummeted in recent years. That being said, insurance premiums are often higher for EVs and other alternatively fuelled vehicles as claims are generally more expensive to cover than petrol and diesel vehicles. EV repairs also take longer to fulfil, which can increase premiums as insurers will often need to provide a courtesy car when your vehicle isn’t roadworthy.

Get a quote from the experts

Using our expert knowledge and the relationships we’ve formed with insurers over the decades, we can help you get cheap car insurance. Call us on 0800 369 8590 or book a callback at a time that suits you.