Car Insurance for New Drivers: How to Get the Best Deal
Car Owl
Published in English •
Summary
- New drivers pay an average of £1,500–£2,500 a year: Young drivers under 25 pay even more due to higher accident risk.
- Black box insurance can save 20–40%: It monitors your driving and rewards safe habits. See our black box insurance guide.
- The car you choose matters most: Insurance groups 1–10 are cheapest. Big engines and performance cars cost a fortune to insure. Check our cheapest cars to insure guide.
Just passed your test? Congratulations! Now comes the painful part, finding affordable car insurance.
Here's how to get covered without spending a fortune.
Why Insurance Is So Expensive for New Drivers
Insurers base premiums on risk. New drivers have:
- No driving experience: Statistics show new drivers are more likely to crash.
- No no-claims bonus: Each year without a claim earns a discount. New drivers start at zero.
- Age: Drivers aged 17–24 have the highest accident rates in the UK.
Proven Ways to Reduce Your Premium
1. Choose the Right Car
Insurance groups 1–10 are cheapest. Look for:
- Small engines (1.0L–1.2L)
- Low-power hatchbacks (Polo, Fiesta, Corsa, Yaris)
- Good safety ratings
2. Consider Black Box Insurance
A telematics box monitors your driving. If you drive safely, you get cheaper premiums. Savings of 20–40% are common for good drivers.
3. Add an Experienced Named Driver
Adding a parent or partner with a clean licence can reduce your premium. But you must be the main driver, listing yourself as a named driver when you're the main user is called "fronting" and it's fraud.
4. Increase Your Voluntary Excess
A higher excess means lower premiums. Just make sure you can afford it if you need to claim.
5. Pay Annually
Monthly payments include interest, often 15–30% extra. Pay the full year upfront if you can.
6. Build Your No-Claims Bonus
Each claim-free year earns you a bigger discount:
| Years No Claims | Typical Discount |
|---|---|
| 1 year | 30% |
| 2 years | 40% |
| 3 years | 50% |
| 5+ years | 60–65% |
Things That Make Insurance MORE Expensive
- Modifications: Even cosmetic changes (alloys, tints, body kits) increase premiums.
- Street parking: Parking on a driveway or garage is cheaper to insure than on the street.
- High annual mileage: The less you drive, the less you'll pay.
- Multiple applications: Too many insurance quotes (hard searches) can increase prices. Use soft-search comparison sites.
Insurance is the biggest cost of driving for new drivers. Choosing the right car and insurer can save you £500+ a year.
Where to Get Quotes
- Use comparison sites: CompareTheMarket, GoCompare, Confused.com
- Try direct insurers: Admiral, Direct Line, Aviva
- Check specialist young driver insurers: Marmalade, ingenie
- Get quotes 3 weeks before you need cover, this is when prices are usually lowest