Cars parked along a street of brick terraced houses

Ways to Lower Your Car Insurance Premium in the UK

There’s no single trick to cheaper car insurance, but several honest changes can add up to a lower premium.

Key things to know

  • Buying a few weeks before your renewal date is often cheaper than leaving it to the last day.
  • Paying annually usually costs less than monthly instalments.
  • Accurate mileage, good security and a sensible excess can lower the price.
  • Never give false information to cut the cost; it can invalidate your cover.

Car insurance prices depend on risk. Some factors are fixed, but others are within your control.

Changes that can help

Change How it helps
Buy two to three weeks before renewal Last-minute quotes are often priced higher
Pay annually Monthly payments often include interest
Set an affordable voluntary excess Lowers the premium if you could pay it after a claim
Give accurate mileage Lower mileage can reduce the risk and the price
Improve security Off-road parking, alarms and trackers can help
Consider telematics Rewards careful driving with a black box or app

Honest changes only

Insurers rely on what you tell them. Changes must reflect reality:

  • list the main driver correctly; fronting, where a more experienced driver is wrongly named as the main driver, is fraud
  • describe your job accurately
  • declare modifications, previous claims and convictions

Watch for

Giving false information can lead to a claim being refused, the policy being cancelled and difficulty getting insurance in the future.

Keep your no-claims discount

Your no-claims discount is one of the biggest factors in your price. Think carefully before claiming for small damage, and compare the cost with your excess.

Worth doing

Get quotes for the same level of cover from several sources each year, as explained in our guide to using comparison sites. Loyalty no longer costs extra at renewal, but another insurer may still be cheaper.

Putting it together

Combine honest changes, good timing and a yearly comparison. Our guide to renewal pricing rules explains how the FCA has changed renewals, and the excess explains how to choose a level that suits you.

Questions answered

Does adding a named driver reduce the premium?

Sometimes, if the additional driver is experienced with a clean record. It must be genuine, and the main driver must be the person who drives the car most.

Are black box policies cheaper?

Telematics policies can be cheaper for careful drivers, especially young ones, because pricing reflects how you actually drive.

Does my job title affect the price?

It can. Choose the title that accurately describes your work; don’t choose one that doesn’t apply.

This guide is general information, not financial or insurance advice. Policies differ, so always read your own policy documents and check with your insurer. If you have a complaint, your insurer’s complaints process and the Financial Ombudsman Service can help.