Seven ways to save money on car insurance, according to experts

An expert shared seven ways to help you save money on your car insurance. The average cost of car insurance in the UK has already seen a 33% increase in 2024 compared to the same period in 2023.

The price of your policy is determined by various factors – including your age, car model and even where you live. But there are some steps you can take to make your monthly payments more affordable.

cinch, the UK’s biggest online used car dealer, has shared seven top tips to make insurance cheaper, from keeping your engine safe to describing your job in the most effective way. Here are the top seven tips from the car experts.

Reduce mileage

One of the first things you may want to consider is whether you can reduce your annual mileage. Driving fewer miles each year can help lower your insurance costs.

Sam Sheehan, motoring editor at Cinch, said: “In the eyes of your insurer, lower mileage means less driving and therefore less risk on the road. So covering fewer miles each year can save you money.

“Drivers are often tempted to overestimate their mileage as a precaution, but this can make your insurance more expensive. In fact, the data shows that the average insurance payment for high mileage drivers (20,000+ miles per year), while low mileage drivers can expect to pay around £59.

“That said, always be honest with your insurance provider. If you exceed the estimated mileage without telling the insurer and have to make a claim, you may cancel your policy.”

Add a named driver to your policy

If you’re a young driver who’s recently passed your test, there’s a good chance insurers will consider you a high risk – no matter how sensible you are on the road. In turn, this will automatically increase your insurance rate.

One way to minimize insurance costs is to add an experienced driver to your policy, especially if they are likely to use the car as well. Sharing your insurance policy with a responsible driver can balance your risk profile and lower your monthly premium.

However, make sure that the person who will use the car the most is named the primary driver. If not, you could be breaking the law by committing a type of auto insurance fraud called “fronting.”

Increase your voluntary excess

Having a higher voluntary excess is an easy win when looking for cheaper car insurance. Sheehan added: “The voluntary excess is the amount of money you are willing to pay when you make a claim.

“If you agree to contribute more to the cost of repairs in the event of an accident, your premiums may be lower. However, be realistic when raising your voluntary excess. Don’t sign up for an amount you’ll struggle with. to pay if you have to make a claim.”

Consider how you describe your job title

How you express yourself or describe your profession can affect the total cost of your car insurance. For example, a “chef” might trigger a different quote than a “chef”, as would a “lawyer” as opposed to a “lawyer”.

If you’re using a comparison site to get car insurance, try using similar sounding job titles to see if there’s one that can save you a few quid. As always, be sure to be honest and accurate – entering a misleading job title is seen as fraud and can invalidate your insurance policy at best.

Improve the security of your car

Installing car safety devices to keep your vehicle safe is also likely to reduce your insurance costs. Sheehan added: “As well as helping to keep your car safe from thieves, having an alarm, immobilizer or tracking device can reduce your insurance premium.

“Modern cars tend to be equipped with safety equipment anyway, so inform your insurer to get a better quote.” Where you park your car overnight can also have a positive impact on your insurance payments.

If you have a garage or driveway, you may be able to enjoy a more affordable policy. This is because, in theory, off-road parking minimizes the risk of your car being vandalized or stolen.

Avoid changes

Upgrades to your car’s styling, sound or performance usually look (and sound) great – but be aware that any changes to your vehicle can increase your insurance costs. Changing the aesthetics and technical configuration of the car means that you are making changes that are not factory standard. Insurers know that modified engines are more expensive to repair and will likely increase monthly premiums.

Install a black box

Black box insurance policies are becoming increasingly popular, especially among young drivers, as they can help reduce your insurance costs. Sheehan explained: “With this type of policy in place, your insurer will install a telematics system – known as a ‘black box’ – to monitor your driving style.

“A black box will record everything from your average driving speed to the harshness of any braking or acceleration. If your records show that you are a careful and careful driver, you may qualify for lower premiums.

“However, if the statistics are not as reassuring, your insurance costs could increase. So installing a black box in your car can give you extra motivation to drive responsibly and be rewarded for it with a cheaper insurance policy.”