Car Insurance UK

Car Insurance Types

Third Party Car Insurance
The basic option, a 3rd party policy covers injury to passengers in your car and damage to other vehicles. It will typically cover any emergency medical costs too, although it is unlikely that any ongoing costs will be included in the policy.

Furthermore, broken windows, overheating engines and theft or damage to property within the car all usually fall outside the scope of the cover.

As it is the basic option, 3rd party cover is also generally the most affordable, so might be a good idea for newly qualified drivers, students or those in a high-risk category such as young males. However, if you know you are at risk of needing to make a claim, it may be worth spending a little extra and ensuring you get the cover you need.

Third Party Fire and Theft
This provides the same cover as 3rd party, but with a few extra benefits. For instance, if your car catches fire - or is torched - your insurance company should still pay out. If it is stolen, you should also still be covered.

c Other kinds of accidental damage may be included, but it is likely that these will vary between providers. As always, it is a good idea to check the small-print before signing any contracts.

Fully Comprehensive Car Insurance
The most complete insurance policy generally available, fully comp - short for fully comprehensive - includes a wealth of features not usually covered by other policies.

These typically include broken windows and audio-visual equipment such as your car radio, CD or DVD player.

Some providers will include extra features under this designation, which also means that a change in provider may mean a change in what's covered - again, the small-print will make clear exactly what is included.

Pay As You Drive
A relatively new introduction to the range of policies available, pay-as-you-drive is based on global positioning systems (GPS) and tracks where and when you drive your car. Insurance premiums are usually charged by the mile at different rates depending on the time of day and the class of road on which you drive.

For example, a car driving in the rush hour every morning might be charged more per mile than one driving on an empty motorway in the middle of the night. Insurance companies say this is a good option for those who don't drive often or who only drive at off-peak times, as it may be able to save money overall.

Female Car Insurance
With women statistically less likely to have an accident, a number of female car insurance providers have started offering policies just for the girls.

Companies such as Diva or Sheila's Wheels provide policies which may be cheaper than those sold by unisex firms.

Sheila's Wheels, for example, says it will extend cover to include your spouse, so it may be cheaper for a couple to insure their car in the woman's name and take advantage of the lower premiums.

Student Car Insurance
Because a student is normally a young person they typically pay a higher premium for car insurance.

Students should consider the options on what type of car insurance policy to have. Overall there are 3 main types of car insurance: Third party only insurance, third party fire and theft and fully comprehensive.

Young Driver Car Insurance
If you are a newly qualified or learner driver (provisional licence) with a you have probably discovered that it is difficult to find cheap car insurance.

Many factors can influence the quote price you receive such as car modifications, not having an alarm fitted.

Try to get as many quotes as possible as some insurance companies deal specifically with insuring younger drivers.

Grey Import Car Insurance
If you have a car that is not built and designed for the UK market then you must look to a specialist company to provide your car insurance.

In order to classify your car as a grey import it must have no British equivalent. Many of the bigger companies offer this kind of insurance, but its worth checking before you ask for a quote.

Many of these grey import car insurance providers can be found on specialist car insurance websites or classic car magazines.

Northern Ireland Insurance
Many insurance providers provide comprehensive car insurance cover to most UK countries, although it can be difficult to find a UK based company that will cover Northern island.

You should make sure that your car is covered if you are a resident of Northern Island.

Suggestions for keeping your car insurance premiums low

Most new and learner drivers are on a limited budget are looking for cheap car insurance. Here are some car insurance tips and suggestions to consider when trying to get a low cost motor insurance policy and keep premiums down:

1. Opt to pay a higher excess in the event of an insurance claim.
2. If you have recently passed your driving test, investigate whether it would be cost-effective to complete the Pass Plus training programme to qualify for car insurance discounts.
Investigate buying car insurance online as some companies offer a worthwhile discount for policies purchased in this way.
3. If your vehicle is not fitted with an approved immobiliser, compare car insurance quotes with and without one fitted. It may be cost-effective to have one installed.
4. Limit the number of miles you drive each year, and tell insurance companies your typical annual mileage when getting quotes.
5. Use an insurance broker if you can't spare the time to 'phone or shop around to get quotations yourself. Alternatively, consider using an online comparison service such as Moneysupermarket.com or Q4 Insure to automatically compare motor insurance quotes from multiple providers.
6. If you are a student, include Endsleigh in the list of insurance companies that you contact for car insurance quotations.
7. Restrict the drivers on your car insurance policy. In particular, minimise the number of young drivers under twenty-five.
8. Drive a cheap car with a small engine.
9. Start building and protecting a 'no claims' bonus as soon as possible. In the long run, this will have a significant impact on your ability to get cheap car insurance.
10. Don't modify or customise your car.
11. If your car was very cheap, it may be cost-effective to have third-party, fire and theft insurance instead of fully comprehensive cover. Compare quotes.
12. Park your car in a locked garage or other, secure, off-street location overnight.
13. If you belong to a trade union or professional society check whether it has negotiated cheap car insurance policies for its members. If it has, include the associated insurer in the list of companies from whom you seek quotes.

Car Insurance Tips

The law requires you buy car insurance. So if you must get cover, how can you reduce costs? Here's seven easy ways to get the best possible car insurance deal.

1. Multiple quotes
Get multiple quotes - use the internet and call a few brokers. It's easy to gather some good comparison quotes. Remember to get different types of quotes e.g. one from a direct-sell insurance company; another from an offline broker who keeps a database of quotes; and a couple from the internet. Cheapest might not mean best. Will they pay out if you make a claim? How financially secure? How reputable? Check around with family and friends, and look for online reviews.

2. Different type of car
Insurance costs vary depending on car type. Obviously, that £100k sports model costs more to insure than your average runabout. If you're planning to buy a new car, check insurance costs before you buy.

3. Age and value of car
Maybe you're buying a used car? Maybe your car saw better days a few years ago, and now values much lower? So why pay for high-priced car insurance? In particular, do you still need fully comprehensive coverage? A good rule of thumb multiplies insurance premium by 10, and compares that figure with your car value. So if you're quoted a £1000 premium and your car is worth less than £10,000 you may want to think if comprehensive represents good value. If you drop collision and/or comprehensive coverage, you should get big savings.
4. Higher deductibles (excess charges)
Most car insurance companies use deductibles to keep policy cost down. Deductibles, or excess charges, show what you pay before your car insurance policy kicks in. Try requesting quotes with different levels of deductibles, and see how your quotes vary.

5. Most internet quote forms contain a box where you can specify preferred level of deductibles. Ask your broker his recommended level. For example, going from £250 to £500 deductible can slash your insurance costs by 20% or more. Go to £1000 and you save a lot of money. But you must pay the deductible if you need to make a claim!

6. Multiple insurances
This might come under the 'Get Multiple Quotes' heading, but it's still worth mentioning separately. You usually get an insurance break if you buy multiple policies with the same insurer. This might mean multiple vehicles, or homeowner and car insurance. Either way it's worth asking about multi-policy discounts.

7. Low mileage
More and more people work at home. No more commuting. Fewer business trips. Low mileage on your car. Maybe you do travel to work, but car how about a pool? Either way, look for low mileage discounts.

8. Good Driving Record
A good driving record always reduces your car insurance costs. Keep a clean drivers license. Don't speed, don't drive dangerously, and you'll save money (apart from other benefits!)

9. Bonus tip
Extra tips, include fitting an anti-theft device to your car, going on an advanced driver training course and using daytime running lights. If you're a university student away from home, consider adding yourself to your parents’ policy.