Trying to find cheaper car insurance in the UK can lead people down all sorts of rabbit holes, a lot of them waste your time, are just plain wrong, or can get you into trouble in the long run. From brand loyalty, to where you park, and what your job role is, there are a lot of variables.
- Keep any details you give insurers true and honest. Lying to insurers gets very messy, very fast.
- Insurers want to help you, but they need you to be honest, careful, and legally compliant to do so.
- Keep all your information up to date, old information can get your policy claims denied, not fun.
1. “Fully comp means you’re covered for everything”
Fully comprehensive insurance is one of the highest levels of insurance available in the UK, meaning you’re covered for damages to your own car, theft, and fires. BUT.
Fully comp does not always include things such as “Drive Other Car” insurance (you’ll have to check your individual policy for that one) This is often not included on young driver policies, or those with special exclusions. Personal belongings, modifications to your car, and courtesy cars will often always be extra to your policy too, and will have to be added on top. Always check your insurance policy documents!
2. “Adding a parent or older driver is always cheaper”
A lot of the time this is true, but not always. If that added driver is from a risky postcode area, and with claims or points, they could push your price up, even if you’re a younger driver.
3. “When you buy insurance doesn’t matter”
The time your look for, and purchase, insurance policies matters a lot. Last minute purchases can be seen as more impulsive behaviour, and have been sometimes known to raise insurance prices, so plan accordingly, and set your policy start date between 21 and 26 days away.
Some insurance companies account for the time that you look for quotes online too, and midnight searches can seem more risky than midday ones.
4. “Third party insurance is always cheaper”
Not the case in this day and age, and you might hear this one a lot. Third party insurance, although it covers far less than comprehensive, is seen as a risky choice these days. Because of this, it can be much more cost effective just to go for Fully Comprehensive insurance in the first place.
5. “Parking on the street is always more expensive than driveways”
This is only the case if you’re not in an area where driveways have a higher risk for theft, otherwise you’re sometimes better off street parked!
6. “Modifications increase your insurance premiums”
This is not always the case, and with specialist insurance companies, they can often accomadate modified cars with responsible owners for very competitive prices.
7. “Named drivers build their own no claims bonus”
Named drivers that are secondarily on a policy will not normally be building an NCB. Only the policy holder will build their no claims bonus, unless specifically offered otherwise on the policy.
8. “Black box insurance is only for bad drivers”
Telematics insurance, or “Black Box Insurance” can often be a great option for younger drivers, those who do low mileage, and even those who just consider themselves good drivers. If you drive well, you may often get a cheaper premium than you normally might.
9. “Loyalty gets you a better price”
Loyalty might have got you further in the old days, but these days some shopping around for car insurance is required. Comparison sites, going direct, and haggling over the phone are often great ways of reducing your up coming insurance premium.
Here are the latest car insurance statistics from MoneySuperMarket
10. “Mileage doesn’t matter that much”
Mileage for car insurance policies matters a lot. If you’re driving 7000 miles or less, then you’re in a very different risk category than if you’re driving 20,000 miles a year or more. It doesn’t always work out as “less is cheaper” though, and don’t be tempted to put in 1000 miles a year if you do 10,000.
11. “You can drive any car if you’re fully comp”
This is often a rumour as it used to be a common inclusion on insurance policies. “Drive other car insurance”, or DOC, is more rare these days, and is not included on your policy unless specified otherwise in your policy booklet.
12. “If you don’t claim, your premium will always go down”
Car insurance premiums are mainly driven by market conditions, costs to repair vehicles, how many cars are stolen, and how risky your post code is. This means your insurance prices can rise and fall regularly. Don’t be afraid to shop around.
13. “You must tell your insurer about every little scratch”
Insurers must hear from you about any incidents you may be involved in, but if you accidentally scratch your own car on a hedge, that’s not something they’ll normally be able to help you with.
14. “Your insurance covers you to commute to any workplace”
Some insurance policies only cover commuting to one fixed place of work. If you have multiple workplaces, or are self employed, this will have to be discussed with your insurer.
15. “You don’t need insurance if you’re not driving”
If your car is parked on a public road, then it will need some form of car insurance. If you’re going to SORN your car (Statutary Off Road Notification) then it must be parked on private land too.
16. “You don’t need to tell your insurance about small modifications”
To cover you fully, it’s worth keep your insurance company in the loop about even small modifications. Not doing this is risky, and can lead to your insurer cancelling your policy, or even refusing to pay out during a claim.
17. “Insurance covers you at the Nurburgring”
This is a fun one, and car insurers really do not like the Nurburgring. 99% of the time, there is an exclusion of the Nurburgring Norschleife in your policy booklet. If you crash on the Nurburgring, your insurers may not cover you. Check, double check, and look for track insurance on line. Another great idea to to use one of the many Nurburgring track car rental services, and take out their insurance policies.
Car insurance is a surprisingly complicated topic, so it’s no shame at all if you find it daunting to understand. 99% of the work is keeping your communication between yourself and insurance companies honest, they want to be on your side. If they know you’re willing to work with them, then there’s nothing to be worried about.
If you want to find out ways to save money on your insurance, stay safer out on the roads, or maybe have more fun on the racetrack, check out our other articles and videos at 222Drive.
