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7 Innovative Ways to Cut the Cost of Car Insurance

Driving a car has never been so expensive and aside from the cost of the car itself and the cost of fuel, insurance is a significantly large additional sum. In fact, if you’re a young driver, you may even find that the cost of the insurance is more than the cost of the car – a pretty daunting issue.

However, though it will always be an additional cost and potentially an expensive one, car insurance is a must and so learning how to cut costs is a significant benefit you and something of a financial must in the current economy. So, let’s take a look at how to slash the costs.

Shop Around

First and foremost, we would certainly advise you to take a good look around and to shop about for the best deals. One thing we would say is to be cautious and to use a number of comparison websites and also check prices for those who aren’t on these sites too. Also, be aware of the services on offer as not all insurances provide the same policy exactly and same levels of cover.

All Drivers

Don’t add all the drivers to your policy, especially if the drive the car very irregularly and don’t tend to need the car very often. This can significantly increase the cost too.

No Claims

The best overall way to cut insurance is a long term no claims bonus. This is the best way to cut costs and it’s possible to get a 90% discount because of this factor. No claims bonus differ between insurers and you should delve into the criteria for each potential insurer to save.


Taking more of an excess will also cut insurance costs and if you agree to pay more voluntarily then you will save on your insurance. Obviously, you will have to pay for as much as this excess is and may be a factor for consideration.


There are all sorts of devices and tracking systems that can be used to shave money off insurance. For instance, a tracking device for young drivers that measures speed and other information can be a great way to cut costs. Although, it does mean you will have to behave within the confines of the rules of the road at all times or risk paying more.

In addition, items such as immobilisers and alarms also reduce the risk of a car being broken into or stolen and so reduce the cost of insurance.


Obviously, the fewer miles you travel, the less risk you have of crashing into something or being involved in a prang. Reducing the amount of mileage you do and placing a limit on it can save you a significant amount. However, be certain that you don’t reduce it by too much and end up risking invalidating your premium.


The place you park your car has a big weight on the cost of insurance and so the higher the risk, the higher the cost. If you can garage your car then do and try to avoid on-road parking because this is the most expensive and will raise premiums.

Of course there are all sorts of other variables, such as whether or not the car is a contract hire auto, whether there are provisional drivers on the insurance and even things like post codes and addresses. However, these will go a long way to cut the cost of your insurance.

These are just some tips on lowering insurance and cutting down on auto costs.