It is an unfortunate truth that car insurance for the younger driver is significantly higher than for someone with more experience.
As it is a legal requirement to be properly insured when driving on the road, it’s something which cannot be avoided.
Finding accessible insurance for the first few years of being on the road can be really difficult – thankfully there are some answers out there.
For the insurance company, car insurance is a little bit of a gamble – and just like anyone, they like to make the risk as low as possible.
They are betting on you not having an accident or having your car broken into or otherwise vandalised. If the bet is good then everyone wins – they have made their money and you have had no issue with your car for another year and become a lower risk for the next.
Your car insurance premium (the monthly or yearly payment) is affected by the following factors:
These and other factors all build up to provide a picture for the insurance company to determine your final insurance cost.
To save on insurance, it is important to make them as much in your favour as possible.
As a young driver, it is hard (and sometimes impossible) to prove any sort of driving history. Once you have a year of good driving under your belt, you will begin to acquire a no-claims bonus.
This will help to significantly lower your insurance costs as the years go forward, but as the title suggests, is something which you lose should you need to make a claim.
One accident can turn a substantial no-claims bonus built up over years into nothing.
Driving sensibly and being careful will translate over time into a good record, but how can you jump the queue?
A relatively recent addition to the young driver's arsenal is black box car insurance.
Designed to help drivers with little experience to prove their skills, black box insurance works by having a device fitted to your car which sends data to the insurance company about your driving.
This includes:
By using this real-life data, insurers are able to monitor your driving habits and can offer a reduction in premium costs as a consequence.
For new drivers, black box insurance is a great way to have hundreds on yearly insurance costs.
One of the other largest factors over which you have control is with the car you drive.
While it may be tempting to come straight from your test into a high-class Italian supercar, the reality is that you will find your insurance better suited with a cheaper vehicle, with a small engine and low enticement for theft of vandalism.
Build some years of perfect driving record in a Clio or Corsa before opting for the Aston Martin or Jaguar!
Finally, do shop around for the perfect insurance quote.
Nothing is set in stone and you will find a wide difference in offered prices.
Don’t rush into something without checking it fits your needs and budget.
