cost of car insurance by age
Car insurance premiums are more expensive for younger drivers; 17-24 year olds pay an average of £932, 44% more than the overall average cost for all age groups.
That may seem really unfair if you’re a careful driver and have never been in an accident, but it’s because of the way insurers use risk to calculate premiums.
Reading: How much car insurance cost uk
Statistically, younger drivers are more likely to be inexperienced drivers filing claims, so insurers will price your policy based on this overall risk. So even if you never crashed your car or received a speeding ticket, that overall risk for your age group will drive up your policy price.
Comprehensive car insurance costs £921 on average for younger drivers. that drops by 65% to £325 for full cover when drivers are over 50.
Younger drivers may also not be able to save by choosing a lower level of coverage, as third-party fire and theft coverage and third-party-only coverage were still more expensive for younger drivers.
*the average cost of annual car insurance policies purchased through gocompare during 2020, divided by coverage level and age group.
however, these are just averages. Her own premiums will depend on factors such as where she lives, her age, her job, and her driving record.
We’ll calculate your insurance premiums for you when you get the quotes, so you can see if you could pay less for a higher level of coverage, as shown by our average costs.
try our car insurance calculator
Our comparison tool is a powerful auto insurance calculator that will find many quotes based on your own personal circumstances.
You’ll need to answer a few questions about yourself, your car, and how you use it, then we’ll show you quotes tailored to you so you can see the cost of all three levels of auto insurance.
It’s the most accurate way to find out how much your auto insurance will cost, while saving time and money shopping around.
car insurance cost matrix
You can see exactly how age and coverage type are likely to affect your auto insurance here:
what affects the cost of auto insurance?
Insurance providers consider many different factors when calculating your auto insurance premiums:
- your age
- your occupation
- your address
- how long have you been driving
- your driving history, including accidents and traffic violations
- your discount without claims
- all of the above for any other designated drivers you add to your policy
- the voluntary deductible amount you choose
- the make and model of your car
- where you park your car overnight
- your annual mileage
- compare quotes for all levels of coverage; Remember that comprehensive insurance is usually the cheapest, so you may pay less for more coverage.
- Consider a black box policy: Telematics insurance can help young or inexperienced drivers get cheaper quotes by tracking their driving and proving they are less of a risk on the road.
- Be Accurate About Your Mileage: You should never lie about your annual mileage, but if you do it with too much mileage, you’ll pay more than you should. use our mileage calculator to help you get it right.
- Create a no-claim discount: The more years you’ve been driving without incident, the higher your no-claim discount. but he must be the main driver to get a discount on most policies.
- Add an Experienced Driver as a Designated Driver: If a parent or friend with a good driving record sometimes drives your car, adding them as a designated driver could lower the cost of your policy. but don’t lie and say they are the main driver, as this is a type of fraud known as “fronting”.
Insurers use all of this information to statistically assess your level of risk and calculate your premium accordingly.
It is very important to compare quotes before buying auto insurance because each insurer will calculate this risk and price your premiums slightly differently, so you get many different quotes at different prices.
why has my car insurance gone up?
All of the above “risk factors” are used to calculate your car insurance, so if something changes, like increasing your annual mileage or moving house, it can affect the cost of your car insurance.
You must tell your insurer right away about some changes, such as a change of address or job. and may need to adjust your premium right away to charge you more or give you a partial refund.
but for other changes, your insurer will only need you to tell them when you renew or buy a policy. Your insurance policy booklet will tell you when to tell your insurer of any changes.
but I haven’t changed anything
You may be wondering why your insurance cost increased at renewal if your personal circumstances stayed the same and you didn’t file a claim.
Insurers sometimes raise prices based on inflation and additional costs to the industry, like fraud, which means your renewal cost will be higher.
That’s why it’s important to shop around and compare prices every year: the insurer that was cheapest for you a year ago may no longer be the cheapest.
Will the cost of my car insurance increase after an accident?
If you were in an accident and it was found to be your fault, your premiums will likely be higher at renewal.
Unless you have protected your no-claims discount, you will have lost some or all of your no-claims discount. insurers will also see you as a higher risk and raise premiums accordingly.
But you may find that your insurance has increased even if the accident wasn’t your fault and you didn’t file a claim.
That may seem unfair, but that’s because insurers sometimes decide that a history of no-fault claims increases the risk of filing a future fault claim. again, it’s all based on statistical risk.
If your insurance is shot up after a fault or no-fault claim, be sure to shop around for auto insurance to see if you can find a better deal elsewhere.
You must report all accidents and no-fault and no-fault claims when you get auto insurance quotes or your policy may not be valid.
How can I get cheaper car insurance?
There are a few ways to legitimately lower the cost of your auto insurance.
Discover more ways to save money on your auto insurance.
Is it cheaper to pay for car insurance annually or monthly?
It’s cheaper to pay for your insurance annually in a lump sum up front.
If you choose to pay monthly, you enter into a credit agreement with the insurer and will charge interest. Your credit will also be checked during your insurance application.
Interest rates can be higher than what you see for credit cards, which means they can significantly increase the cost of your insurance.
And the higher your policy costs, the higher your interest costs, so young drivers who already pay more for auto insurance are hit even harder.
If you don’t have the cash to pay for your car insurance annually, consider whether a 0% credit card for purchases or even an interest-free overdraft would be a better option. You’ll still need to have the self-discipline to make monthly payments and make sure you pay off the full amount before the 0% promotional periods end.
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