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Car insurance for new drivers

Cheap insurance for new drivers isn't a myth, you just need to be savvy

Benjamin Taylor
Benjamin Taylor | Edited by Rosie Hamilton
Updated 10 May 2024

You've passed your test, you've got the keys and you are ready to get out on the road. BUT you'll need insurance first, and new drivers' insurance can be eye-wateringly expensive. Use the tips in this guide to make sure you get the best deal possible on your first policy.

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What counts as a new driver?

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It doesn't matter how old you are, by law, you're counted as a new driver until two years after you pass your test.

During this time you're technically under probation, and your licence will be taken away if you get six or more points.

And if you're going to drive, you'll NEED car insurance. It's a legal requirement to have at least third-party car insurance, unless your car is declared off the road. This will cover you if you damage other road users' vehicles or property, or if someone is injured in an incident, but you won't be able to claim for any repairs to, or the replacement of, your own car – or for any injury caused to yourself.

Bear in mind though that other policy types are available that WILL give you further protection, such as covering you if your car is stolen or damaged or destroyed by fire, and/or for repairs or a replacement vehicle in the event of an accident that's your fault. It could well be that the greater the protection, the greater the price, though – except this isn't always the case.

New to driving? Check out these tools and guides:

What type of insurance should new drivers get?

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The level of car insurance you get will depend on your budget and what you want included. There are three main types of cover:

  • Third-party insurance: Your insurance provider will pay out if you damage another driver's car or property. You'll need at least this level of insurance to legally drive in the UK.

  • Third-party, theft and fire cover: You'll get all the cover provided by third-party insurance, plus cover if your car is stolen or suffers fire damage.

  • Comprehensive insurance: This is (as it says on the tin) the most comprehensive form of car insurance. Not only will theft, fire damage, or damage to someone else's car be covered, your insurer will also cover any costs incurred due to an accident, even if it's your fault.

For full info on the different types of car insurance and other add-ons that you can opt in or out of, see our full How to get cheap car insurance guide. 

Comprehensive cover isn't always the most expensive

It might seem logical for comprehensive insurance to be more expensive than third-party, fire and theft insurance, because it provides the most cover, but it doesn't always work like that – comprehensive insurance is often actually the cheapest option. 

If you're looking for the cheapest possible cover we'd recommend comparing multiple providers and levels of cover. See How do you get cheap car insurance as a new driver? below for more.

Factors that affect the cost of car insurance

Insurers base quotes on perceived risk, because the more likely you are to get into an accident, the more likely they'll have to pay out. 

New drivers (and particularly young drivers) are statistically more likely to be involved in road accidents, and are therefore deemed 'higher risk' by insurers. This is why quotes for new driver insurance are so high. It's often the same for drivers over 70. Other factors insurers consider include:

  • Your job. If where you work means you have a long commute or are more likely to drive at unsociable hours, it could affect your quote.

  • Your address and where you keep your car. You may get a different quote if you live in a densely populated urban area vs a more rural setting.

  • Your driving history. How much you pay can be based on your claims history, including whether or not you have a no-claims bonus built up, and how much, if so.

  • Your car. Insurers look at everything from make and model, to engine size and age. 

For more information, see our What can affect my car insurance quote? guide.

Keep on top of your car insurance

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Want to know when YOUR cheapest time to get car insurance is? The MSE App has a new tool called Bill Buster – give us a few details about your car insurance policy and we'll track it, then alert you when it's ending so you know when to start getting quotes to save.

Try it in the MSE App – available in Apple's App Store or Google's Play Store. 

How do you get cheap car insurance as a new driver?

Whether you're a new driver or an old hand at the wheel, it's best to get as many car insurance quotes as possible to find the best price for you. If you're a young driver, there are sites specifically for you, but we'd recommend using these in tandem with as many different comparison sites as possible, as prices will vary.

Consider the following to find cheaper quotes

Thinking about the way you present yourself to insurers can also help to lower costs. Here are some steps you may be able to take to help you get a cheaper quote:

  • Add an experienced driver to the policy. Never misrepresent the car's main driver, but if you can add an extra driver who might realistically drive the car, you could save £100s. Young drivers living at home could choose their mum or dad, but new drivers of any age could save by adding an experienced driver with a good driving record.

  • If you've been named on someone else's policy before, check with that insurer. If you've previously been a named driver on another person's insurance policy – perhaps a family member or friend's car you practised in while learning to drive – there's a chance you could get a cheaper quote if you contact their insurance provider. Even a little bit of insurance history is better than none.

  • Tweak your job title. If you're employed, how you present your job could affect what price you're offered. Check our Car Insurance Job Picker tool to see if there's a cheaper option.

  • Park in a secure location. If you can park off road on a drive or in a garage, tell your insurer and it can reduce the cost of your insurance.

  • Do an advanced driver course. Other than polishing your skills, sometimes completing one of these courses can help you seem less risky to your insurer – meaning you may get access to lower-priced policies.
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There are some more general tips about how you pay which can also alter the prices you're offered. See more in our full How to get cheap car insurance guide. But briefly... 

  • Pay annually. Paying once a year rather than each month tends to be cheaper.

  • Agree to pay a higher excess. This is the fee you pay to your insurer if you have to make a claim. If you know you can afford it, agreeing a higher figure can make your premium cheaper.

Consider short-term car insurance

If you'll only need to drive your car or someone else's car for a short period of time, short-term car insurance might be cheaper than getting an annual policy. 

Short-term insurance can also be useful if you need to fill in any gaps between policies. For example, you could get temporary cover for when you drive the car home after buying it.

Major comparison sites don't typically list temporary policies, so you'll have to go directly to insurers to get a quote.

Quick questions

  • Can getting a black box reduce the cost of my insurance?

    It can do. A 'black box' is a telematics device which monitors the way you drive. It tracks factors such as what time of day you drive, your speed and how hard you brake. Your insurer then uses this to help determine the price of your policy. 

    If you drive safely, the price of your insurance can go down accordingly, so it can be a money saver if you are certain that your driving is exemplary.

    Trouble is, if you do make mistakes, the cost of your insurance can also go up.

  • Is it cheaper for a new driver to use a parent's car?

    Being added as a named driver on a parent's car can be cheaper than taking out your own policy. Your parent's insurance might go up, but not as much as a new policy would cost. 

    However, if you're not the main driver of the car, you won't qualify for a no-claims discount, which means you may have to pay more if you decide to get your own car in the future. 

  • Are newer cars cheaper to insure?

    The age and model of the insured car are certainly used as factors when determining the price of your policy, but it's not a simple correlation between the age of the car and the cost. 

    Newer cars are typically considered less risky on the road as they have more modern safety equipment – which can make your insurance cheaper – but they are also usually much more expensive to repair or replace – which can increase your insurance costs. 

When's the best time to buy car insurance?

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Following extensive MSE analysis of millions of car insurance quotes from the top four comparison sites, we found that you'll get the best price on your insurance if you start looking a few weeks before you need the coverage to start. 

This works whether you are a new driver, or have been driving for many years.

Try to get cover around three weeks ahead, NOT on the day

Car insurance will usually be cheapest if you get it 26 days before you start your policy. So if you are able to plan in advance, this could be very lucrative for you.

MoneySavingExpert founder Martin Lewis explains how it works below.

Martin Lewis, MSE founder.

Insurance is like comedy... timing is everything. We analysed 70 million quotes to find the optimum time before you want your cover to start to get quotes from new firms. It bottoms out at 26 days before renewal, though any time between 20 and 27 days does the job.

Leave it later and quotes can almost double. This is because insurance is priced on risk, and providers' 'actuarial charts' apparently show those who renew last minute are often a higher risk. Now this is about averages, so it won't work for everyone, but if I had a penny for everyone who'd got in touch with their shock at big success with this, well... I'd probably have £21.52 by now.

What are the cheapest cars to insure for new drivers?

The type of car you are insuring can often have a big impact on the amount you have to pay for a policy. Insurance providers will have determined that certain cars are more risky to insure or more expensive to repair if the driver ends up claiming. 

For new drivers, smaller, less powerful models tend to be on the cheaper side. With data from MoneySupermarket, the table below shows the cheapest cars to insure for new drivers. Prices are averages and remember, your actual price will depend on a wide range of factors, including where you live and your job.

Cheapest cars for new drivers to insure

Car Average premium (1)
Toyota Aygo Platinum

£757.21
Fiat 500 Pop £771.65
Hyundai i10 Active

£833.15

Peugeot 107 Urban

 £852.09

Citroën C1 VTR

 £858.04

(1) Prices based on MoneySupermarket data gathered between January and July 2023 in cases where fully comprehensive cover has been sold with more than 500 enquiries. Based on drivers who have held their licence for less than one year.

If you haven't yet got a car to insure, it's worth checking how much it costs to insure a few different models. There's no one-size-fits-all rule to this, as prices can vary wildly across the market depending on car type.

For example, having a smaller engine doesn't always mean cheaper insurance. So your best bet is to try out a few of the models you're interested in and see which gets the best price.

What is the most cost-effective way to drive?

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Once you've got your car and insurance, the way you drive can help you save on petrol or diesel costs. Full info on how to drive economically here, but briefly:

  • Accelerate gradually up to desired speeds. The harder you press the pedal, the more fuel flows. So if you increase speed smoothly without over-revving you should achieve the same speed using less power. 

  • Avoid harsh braking. Allow the car to slow naturally where possible. 

  • Reduce weight in the car. The heavier the car, the more fuel it takes to drive. So try to avoid storing heavy objects unnecessarily in the car and/or driving around lots of passengers. Fuel is also heavy, so avoid filling up the tank. 

  • Reduce drag on the car. Make sure your tyres are properly inflated, and remove your roof rack if you have one. This can allow the car to accelerate using less fuel.

Find 50+ tips on cutting the cost of motoring in our full guide.

Cheap car insurance tips

We've a whole host of car insurance top tips and tricks to help you get the best cover. Below is a quick round-up of where we'd suggest you head to next. 

Suggestions for you

  • Benchmark your cheapest policy using our Compare+ Car Insurance tool, with personalised MoneySaving tips.

  • Read our full Cheap car insurance guide, including nine ways to cut the cost of cover.

  • See our full Car insurance section with all our key tools and guides.

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