Finding affordable car insurance in the UK can be stressful, especially with the cost of living going up. But the good news is that if you know the right tips and tricks, you can save a lot of money. In this 2025 guide, we will show you how to get the cheapest car insurance in the UK, step-by-step.
Whether you’re a first-time driver or just looking for better deals, this article will help you understand what affects your insurance cost and how to lower it.
Why Is Car Insurance Expensive in the UK?
Car insurance prices are based on many things. Here are some common reasons why your quote might be high:
- Age: Young drivers under 25 usually pay more.
- Driving history: If you have past accidents or speeding tickets, prices can go up.
- Car type: Expensive or powerful cars cost more to insure.
- Location: Areas with high theft or accident rates can make insurance costlier.
- Annual mileage: The more you drive, the more chances there are for accidents.
Knowing this can help you plan smarter when shopping around for deals.
1. Compare Prices Online
One of the best ways to get the cheapest car insurance in the UK (2025 guide) is by using price comparison websites. These platforms let you check different insurance quotes in one place.
Some popular UK comparison websites include:
- Compare the Market
- GoCompare
- MoneySuperMarket
- Confused.com
Use these sites to your advantage. But don’t just go for the cheapest quote. Check what’s included. Sometimes, a cheap deal may not give you enough coverage.
2. Increase Your Voluntary Excess
Voluntary excess is the amount you agree to pay if you make a claim. Increasing it can lower your monthly premium. For example:
- A higher voluntary excess of £250 or £500 might give you cheaper rates.
- Just make sure you can afford to pay this amount if an accident happens.
3. Build a No Claims Bonus (NCB)
A No Claims Bonus is a reward you get for driving safely without making insurance claims. The longer you drive without an accident, the bigger your discount.
- After 1 year: You may get up to 30% off.
- After 5 years: You could get as much as 60% off.
Tip: Even if you switch insurers, you can carry your No Claims Bonus to the new company.
4. Choose the Right Car
If you’re buying a new car, make sure it’s in a lower insurance group. The UK uses 1 to 50 car insurance groups. Group 1 is the cheapest.
Cars in lower groups:
- Have smaller engines
- Are cheaper to repair
- Are less likely to be stolen
Some cheap-to-insure models include:
- Ford Fiesta
- Vauxhall Corsa
- Hyundai i10
5. Avoid Auto-Renewals
Many people just let their car insurance auto-renew every year. But this can cost you more money. Insurers often raise prices quietly.
Instead:
- Set a reminder to shop around before your renewal date.
- Use price comparison websites again.
- Ask your current insurer to match a better quote. They might offer a discount to keep you.
6. Add a Named Driver
If you’re a young or new driver, adding an experienced driver (like a parent or older sibling) as a named driver can reduce your premium.
Important:
- Make sure the main driver is listed correctly.
- Don’t commit “fronting” (putting someone else as the main driver when it’s really you). It’s illegal.
7. Install a Black Box
A telematics or “black box” device tracks your driving habits. It monitors things like:
- Speed
- Braking
- Night-time driving
Safe drivers can get cheaper insurance after a few months. This option is great for young drivers or those with limited driving history.
8. Pay Annually, Not Monthly
Monthly payments might seem easier, but they usually include interest. You end up paying more overall.
If you can:
- Pay the full amount in one go.
- Use a 0% interest credit card (if needed) and pay it off monthly.
This trick alone can save you £50 to £100 a year.
9. Keep Your Car Safe
Security features help lower your insurance:
- Park in a garage or driveway instead of on the street.
- Use a steering wheel lock or car alarm.
- Fit a tracker if your car is a popular target for thieves.
Insurance companies like to see that your car is harder to steal.
10. Use the Right Job Title
Believe it or not, your job title can affect your quote. For example:
- “Chef” might cost more than “Catering Assistant.”
- “Writer” might be cheaper than “Journalist.”
Don’t lie, but try different honest versions of your job when getting quotes to see the difference.
Conclusion
Now you know how to get the cheapest car insurance in the UK (2025 guide). By using comparison websites, choosing the right car, and being a smart driver, you can save hundreds of pounds each year.
Remember, cheap doesn’t always mean the best. Make sure you still get good coverage, especially for:
- Theft
- Fire
- Windscreen damage
- Breakdown cover
Saving money on insurance doesn’t have to be hard—you just need to know where to look and what to do.
Summary Table: Quick Tips for Cheap Car Insurance
| Tip | Why It Helps |
|---|---|
| Use comparison sites | Find best deals in one place |
| Increase voluntary excess | Lowers monthly premium |
| Build No Claims Bonus | Rewards safe driving |
| Choose a low group car | Cheaper to insure |
| Avoid auto-renewal | Stops you from paying extra |
| Add named driver | Reduces risk for insurer |
| Install black box | Rewards good driving with discounts |
| Pay yearly, not monthly | Avoids interest fees |
| Improve car security | Reduces theft risk |
| Adjust job title honestly | Can lower your quoted rate |
By following this 2025 guide, you’ll have a much better chance of finding the cheapest car insurance in the UK without sacrificing your peace of mind.
