How To Reduce Your Car Insurance Premiums

In the current financial climate, here in the United Kingdom, many people would jump at the chance of reducing their bills. You will be pleased to hear that this may be possible with your car insurance premiums so let’s have a look at some of the factors that can have an impact upon what you are paying.

Certain factors affect the car insurance premiums you pay

Car accident

Types of cover

The obvious thing to start with is probably the type of car insurance that you have in place at the moment. There are three types –third party, third party fire and theft and fully comprehensive car insurance. The least expensive is the first mentioned, the next most expensive is the middle one and the most expensive is the later.

As with most types of insurance you get what you pay for. For instance, third party car insurance only covers you for damage to other vehicles, other property and other people – it does not cover you for any damage to your own car. To cover your own car you would need to have fully comprehensive car insurance. So, if you have a car that may only be worth a few hundred pounds is it really worth paying out, potentially, just as much in car insurance premiums as you may have to do for fully comprehensive cover? However, if you car is worth several thousand pounds, it may be sensible to have fully comprehensive cover.

Shopping around

Use a price comparison website to see if you can get a better deal elsewhere.

Overnight parking

Other factors that affect the premiums you pay are such things as where you park your car overnight. For instance, your premium is likely to be lower if you can park your car on your drive or in the garage rather than on the street outside your home.


If you only travel 5,000 miles each year then there is no point insuring the car to cover you for driving 25,000 miles as your premium is probably going to be higher as there is a greater risk of having an accident.


If you are prepared to pay more towards the cost of any insurance claim then your premium is likely to be lower.

Other drivers

Be selective about who you are prepared to have as additional driver(s) on your car insurance policy. For instance, if you are insured for any driver over the age of 25 that may cost more than if only your spouse was an additional driver.

The above are just some of the ways that you may be able to lower your car insurance premiums.