Categories: University Admissions 2023

Cheapest Car Insurance for New Drivers

Finding affordable car insurance as a new driver in the UK can feel overwhelming. With limited driving history and higher perceived risk, premiums can skyrocket. But don’t worry — with the right strategy, you can still secure the cheapest car insurance for new drivers without compromising essential coverage.

In this guide, we’ll break down:

Why is insurance expensive for new drivers
The best tips to lower your premium
A list of UK insurers known for offering cheap policies to new drivers
How to compare quotes effectively

Why Is Car Insurance Expensive for New Drivers?

New drivers in the UK typically face higher insurance costs due to:

Lack of driving experience: Less time on the road means a higher risk of accidents.
Statistical risk: Data shows new and young drivers are more likely to make claims.
Smaller no-claims discount: You’re starting from scratch, with no reward for safe driving yet.

Tips to Get the Cheapest Car Insurance as a New Driver

Even with these challenges, you can reduce your costs using the following strategies:

1. Choose the Right Car

Pick a car in a lower insurance group. Cars with smaller engines (under 1.4L), good safety ratings, and low repair costs are typically cheaper to insure.

Popular low-cost options include:

Vauxhall Corsa
Ford Fiesta
Hyundai i10
Volkswagen Polo

2. Add a Named Experienced Driver

Adding a parent or experienced driver as a named driver (not the main driver) can lower premiums. Avoid “fronting” — falsely naming someone else as the main driver — as it’s illegal and invalidates your policy.

3. Install a Black Box (Telematics Policy)

Many UK insurers offer black box insurance. These policies monitor your driving behaviour via an app or installed device. Safe driving is rewarded with lower premiums over time.

Top telematics providers include:

Admiral LittleBox
Direct Line DrivePlus
Hastings SmartMiles
Tesco Bank Box Insurance

4. Increase Your Voluntary Excess

Raising your voluntary excess (the amount you pay in the event of a claim) can bring down your premium. Just make sure you can afford to pay it if needed.

5. Pay Annually

Paying annually instead of monthly avoids interest charges and reduces the overall cost.

Cheapest Car Insurance Providers for New Drivers in the UK (2025)

Here are some UK insurers known for competitive prices for new drivers:

Insurer	Best For	Notes
Admiral	Telematics + multi-car discounts	Offers black box and multi-car bundles.
Direct Line	No comparison site middlemen	Only available directly. Often lower fees.
Hastings Direct	Low-cost, customisable cover	Offers SmartMiles for new drivers.
Churchill	Budget policies + add-ons	Competitive for city-based drivers.
Tesco Bank	Clubcard discounts	Good black box policies for young/new drivers.

Use a Comparison Site – But with Caution

Comparison websites like Compare the Market, GoCompare, MoneySuperMarket, and Confused.com are great for browsing prices. However, always check direct with insurers like Direct Line, which don’t appear on these platforms.

Tip: Use incognito mode to avoid price changes based on your browsing history.

Frequently Asked Questions (FAQs)

What is the average cost of car insurance for new drivers in the UK?

In 2025, new drivers can expect to pay £1,200–£2,500 annually, depending on age, location, vehicle, and coverage type.

Can I get cheap insurance as a 17-year-old?

Yes, but expect higher premiums. Telematics policies and choosing a Group 1 or 2 insurance car can significantly reduce costs.

Is third-party insurance cheaper for new drivers?

Not always. Ironically, comprehensive cover is often cheaper than third-party for new drivers due to risk profiling.

Final Thoughts

Securing the cheapest car insurance for new drivers in the UK comes down to strategy. Drive safely, choose your car wisely, consider telematics, and shop around before buying. While your first premium may be high, smart decisions now can lead to significant savings in the long run.

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