Very cheap car insurance

Very cheap car insurance does exist – we’ve seen reports of car insurance quotes as low as 96p a year for fully comprehensive cover.**

However, not all drivers can expect such a cheap quote, especially if you’re deemed as a ‘high risk’ driver.

Car insurance is personal; what makes a very cheap car insurance quote for one driver might be very expensive for another, relatively speaking.

When it comes to finding very cheap car insurance for your individual needs, there are some factors that affect your quote which you can control, and others which you can’t:

Things you can’t control

• Your age. Car insurance tends to be cheaper for older drivers – insurers give discounts for experience, because statistically, younger drivers have more accidents, and make more claims.
• Your sex. Car insurance tends to be cheaper for women, because women are safer drivers. However, this could change, because new EU laws mean that insurers aren’t allowed to use a person’s gender to decide how much of a risk they are.
• Your driving record. You can’t edit the past and if you’ve got a bad driving record unfortunately you’re stuck with it. You can try and keep your record clean from now on.

Things you can control

• Your named drivers. If you have other drivers on your policy you have to expect to pay for it. It’s not just your driving history that companies look at, it’s your named drivers’ histories as well; for example, if one of them has a motoring conviction they are seen as a higher risk to insure. Only put named drivers on there if you really have to and if they will definitely drive the car regularly.
• Your excess. A higher excess will mean a lower premium. Make sure that you can afford to pay the excess if anything does happen.
• Your security. Installing security devices like an immobiliser will help you cut the cost of your premium.
• Your level of cover. The level of cover you choose will affect the price you pay. Third party is usually the cheapest; fully comprehensive the most expensive.

Things you can control (but might not want to change)

• Your postcode. Some areas are classed as being a higher risk for crime than others. If you live in the inner city and your car is more likely to be stolen then you will unfortunately receive higher car insurance quotes. But is it really worth the cost and hassle of moving just to save some money on your car insurance?
• Your job. Insurance companies see certain occupations as warranting a higher quote. Some jobs, such as restaurant owner, indicate that a person has a fast living lifestyle and so statistically will be more likely to drive fast and make more claims. Other jobs, such as oil rig worker, mean that a vehicle is left alone for long periods of time and so is more prone to being stolen or vandalised. Again, most people won;t be willing to change their occupation just to get cheaper car insurance.
• Your car. Different makes and models of car will be cheaper or more expensive to insure. If your insurance is incredibly expensive, it could be worth looking at switching to a car that’s cheaper to insure. See the ten cheapest cars to insure. 
• Your mileage. Lower mileage means cheaper insurance, so make sure you’re using an accurate estimate for your quote. You could also think about ways to cut your mileage, although this isn’t practical for everyone.
• Your parking. If you have a garage or a driveway you can park in, you can expect cheaper insurance than if you park on the road. If you don’t, you could consider renting a garage, if this will cut your car insurance by more than the cost of the rent.

**statistic from MoneySavingExpert.com (November 2011)