How To Get Cheaper Car Insurance
Get cheaper car insurance by comparing quotes from multiple sources, buying 21 to 26 days before your renewal date, and building a no-claims bonus.
Combining these steps can cut hundreds off your annual premium.
Car insurance is one of the biggest annual motoring costs, but how much you pay depends heavily on how and when you buy. No single trick will halve your premium overnight, but stacking several of the steps below adds up quickly.
The two changes that move the price most are comparing properly instead of auto-renewing, and buying at the right moment, roughly three to four weeks before your renewal date. After that, protecting your no-claims bonus and setting a voluntary excess you could actually afford do the heavy lifting. Never let a policy roll over untested.
Compare car insurance quotes and see what your renewal price should be.
- How much can you save by comparing quotes?
- When is the best time to buy car insurance?
- How does your no-claims bonus reduce the cost?
- Should you increase your voluntary excess?
- What practical changes can lower your premium?
- Is black box insurance worth it for cheaper premiums?
- Are driving course discounts still available?
- Frequently asked questions (FAQs)
How much can you save by comparing quotes?
Comparing quotes from multiple sources is the single most effective way to reduce your premium. Prices for identical cover can vary by £200 or more between insurers, so shopping around is always worth the time.
How many comparison sites should you use?
Use at least two. Each comparison site works with a different panel of insurers, so running the same search on two or three sites gives you a much broader view of what’s available.
What about direct-only insurers?
Most major insurers now appear on at least one comparison site, but not all of them appear on every site. Running the same search on two or three different sites catches deals you’d otherwise miss.
How to challenge your renewal quote
Since the FCA’s pricing rules came into force in 2022, insurers can’t charge existing customers more than new ones for the same product. If your renewal still looks high, contact your insurer with a better quote from elsewhere.
Many will match or beat a competitor’s price rather than lose your business.
When is the best time to buy car insurance?
Get quotes 21 to 26 days before your renewal date. Analysis of hundreds of thousands of UK quotes shows this is the window where prices are consistently lowest.
Why does timing matter?
Buy too early (more than four weeks out) and insurers price in more uncertainty. The ABI reports that the average fully comp premium is around £607, but leaving your purchase to the last few days can push your quote well above that.
What happens if you let it auto-renew?
Never let your policy auto-renew without checking the market first. Even with the FCA’s fair pricing rules, your renewal quote may not be the cheapest available.
Set a calendar reminder for three to four weeks before your renewal date. It costs nothing and consistently saves money.
How does your no-claims bonus reduce the cost?
A no-claims bonus builds with each claim-free year and can reduce your premium by up to 60% or more after five years. It’s the single largest discount most drivers have.
How much can you save?
One claim-free year typically saves around 30%. Five or more years can save 60% or more.
Should you protect your no-claims bonus?
Protected no-claims is an add-on that lets you make one or two claims without losing your discount. It adds a small amount to your premium but can be worth it if you have several years built up.
If your current insurer isn’t recognising the full value of your no-claims bonus, switch. All legitimate insurers accept proof of no-claims from other UK providers.
Should you increase your voluntary excess?
Increasing your voluntary excess reduces your premium, but only set an amount you could genuinely afford to pay if you needed to claim.
How does the saving work?
Your total excess is the compulsory amount (set by the insurer) plus your voluntary amount (chosen by you). Raising the voluntary portion tells the insurer you’ll absorb more of the cost yourself, so they charge you less.
What is a safe amount to set?
If increasing your voluntary excess from £100 to £500 saves you £80 per year but you’d struggle to find £500 in an emergency, the saving isn’t worth the risk.
Pick a figure you could pay without borrowing. For most drivers, £250 to £350 is a practical middle ground.
What practical changes can lower your premium?
Several everyday changes can reduce your premium without reducing your cover level. The table below shows the most effective ones.
| Action | Typical saving | Notes |
| Pay annually instead of monthly | 10 to 20% | Monthly payments include interest, so the lump sum is always cheaper |
| Park off-street overnight | Varies | A garage or driveway cuts theft and damage risk |
| Reduce your annual mileage | Varies by insurer | Lower mileage means lower risk, but never understate it |
| Choose a lower insurance group car | Can save hundreds per year | Cars in groups 1 to 10 are cheapest to insure |
| Add an experienced named driver | Can cut younger driver premiums | They must actually use the car or it’s fronting |
Which changes make the biggest difference?
Paying annually and parking off-street are the two quickest wins. Our guide on how car insurance is calculated explains why each factor matters and how insurers weigh them.
For young drivers, adding an experienced named driver and choosing a low-group car can make the difference between affordable cover and being priced out.
Is black box insurance worth it for cheaper premiums?
For safe drivers, yes. Black box insurance can cut premiums by 20 to 40% by rewarding good driving habits with lower prices.
How does it work?
A small device fitted to your car (or an app on your phone) records your speed, braking, cornering, and the times you drive. Insurers use this data to score your driving and adjust your premium.
Who benefits most?
Young and new drivers see the biggest savings. Our guide on young driver insurance costs shows how telematics can bring an annual premium from over £1,500 down to £800 to £1,000.
The trade-off is that your driving is monitored. If you regularly drive late at night or brake harshly, a black box could work against you.
Are driving course discounts still available?
Some insurers still offer discounts for advanced driving courses, but availability has dropped in recent years and the savings are smaller than they used to be.
Pass Plus
Pass Plus is a post-test course designed by the DVSA and delivered by approved instructors. Some insurers still recognise it, but most major comparison sites no longer filter for it.
Advanced driving qualifications
IAM RoadSmart qualifications may attract discounts from specialist insurers. If you already hold one, mention it when getting quotes, but don’t take the course purely for insurance savings.
Frequently Asked Questions (FAQs)
Savings vary, but drivers who compare and switch at renewal typically save £100 to £200 compared to auto-renewing. The gap is smaller since the FCA’s 2022 pricing rules, but comparing still pays.
Annual payment is always cheaper. Monthly instalments include interest, typically adding around 15 to 20% to the total cost over the year.
For safe drivers, yes. Telematics policies reward good driving with lower premiums, and the savings can be 20 to 40%.
Never. Providing false information is fraud and can void your policy entirely, meaning the insurer can refuse to pay out and you could face prosecution.
Yes, insurers assess risk partly based on occupation. Some job titles produce lower quotes than others, so always pick the most accurate description of what you do.
No, insurance quotes use soft credit searches that don’t appear on your credit file. Compare as many times as you like, including on SimplyQuote, without any impact on your score.