A simples guide

Budget Car Insurance

For many young or new drivers, finding quality budget insurance cover is a must.


If you’re insuring a car for a first time or you have limited driving experience, you may find the costs of insurance daunting at first. In this article we’ll explore some of the ways in which you might be able to reduce these costs.


If you’ve not been driving for long, your limited experience will count against you. Statistically speaking, less experienced drivers have more accidents. This unfortunately, is what is reflected in the premium. As a new driver you’ve also had no opportunity to build up your no claims bonuses which will help you reduce your car insurance later in life. 

What then, can you do?

Fortunately, there are a number of things you can do to help reduce your car insurance:


1)  Get a cheap car


One of the things you can do to reduce the cost of your insurance is to drive a cheaper car. All policies have at their heart, the value of the car concerned. It’s pretty straight forward, if your car is worth less, your insurance could cost less.

2.  Shop around

It’s never been easier than it is today to shop around for cover. Completing a quote with us could help you find the best deal for you. The market is also intensely competitive so looking a little harder for a good quotation may really pay off.

3. Policy excess

Your policy excess means the amount of money that you would need to pay in the event of an accident before your insurance policy kicks in.

There are various types of excess. Compulsory excess is set by the insurer but voluntary excess is the amount you choose to pay on top of compulsory. If you set the voluntary at zero, you would only have to pay any compulsory excess in the event of a claim but your premium may be higher. There are also other types of excess such as a young driver excess that is charged to drivers under 25 so make sure you read all of the T&Cs so you know what you’re paying for.

It is important to think about this when signing up to a policy. Your instinct might tell you to keep this figure as small as possible. However, there is a trade-off to be had here. Increasing your excess from the minimum amount, to one that you can still afford, could make a difference to your premium.

4.  Security

Increasing the security features of your vehicle might also help with the premiums. Fitting an industry-approved steering wheel lock or investing in an immobiliser might help reduce your premiums. You need to assess the one-off costs of such products against the premiums saved.

If the option is available to you, keep the vehicle in a locked garage or on a private driveway. Both of these could help to reduce the premium you pay.


5. Coverage with other drivers or policies

If you’re a new driver and share the vehicle with a more experienced one, adding this second driver might save you money. Even an occasional experienced extra driver with a good record could make a difference.

A really important word of caution here though. You must never put forward the other person as the main driver if that is not actually the case. This is known as ‘fronting’. It is a type of fraud and, at the very least, could invalidate your policy.

6. Car modifications

However much modifying your car might seem like a good idea, from a budget car insurance point of view, it simply isn’t. Insurers don’t like changes to factory specifications and many will simply refuse to even quote you a price.


Those that will almost certainly charge you more.



7. Restrict how much you drive

Limiting the amount of time you’re on the road obviously reduces your risk and with it, your premium. All policies ask for a maximum mileage, so set this as low as is realistically achievable.

But make sure you tell the truth – if you significantly underestimate your mileage and then make a claim, your policy could be invalid.


8. Drive well

The consequences of driving well will, over time lead to lower premiums. If you start racking up the penalty points you will start pushing up your premiums too. If you do incur some points remember, you do need to tell the insurer. They may affect your premium, and failure to tell them might have consequences for your cover.

If you’re confident in your abilities you may want to investigate getting a black box insurance policy. The black box refers to a gadget placed in the car that relays details of how you’re driving to your insurer or it could be an app that you download to your phone for some insurers. They could reward your good driving behaviour with lower insurance premiums.

So you see, there are many things you can do in order to reduce the cost of your cover. What are you waiting for, get comparing today.


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