What is new drivers' car insurance?
New drivers' car insurance is no different from any other policy, but refers to cover for those who have just started driving.
Although your first car insurance policy will likely be the most expensive you ever purchase, you can save hundreds just by shopping around and finding the right cover.
If you want an explanation of how car insurance works, read our guide What is car insurance?
Why is new drivers' car insurance expensive?
There are 2 main factors: risk and inexperience.
1 in 4 18-24 year olds crash within 2 years of passing their test.
New drivers are far more likely to be involved in an accident and make a claim on their insurance than experienced drivers.
Insurance companies also have no driving record to assess the safety of your driving, and you will not have any no claims discount to reduce the cost.
How to save on new drivers' car insurance
Choose the right car
Look for a car that will be cheap to insure; nearly new cars with small engines tend to be the cheapest because they are in the lowest car insurance group. You can find out more about car insurance groups in our guide to car insurance.
Increase your excess
The insurance excess is the amount you will have to pay out when you claim, and by agreeing to pay more you can reduce your insurance premiums. Before you do this you need to be sure you could afford to pay the excess if you did have an accident. This guide explains how to work out whether or not you should increase your excess.
Consider black box insurance
This is a good option for new drivers because a telematics box measures your driving and can show your insurer you are a safe driver and result in cheaper cover. Our black box insurance guide can help you decide if this is the right cover for you.
Get extra qualifications
You can show insurers you are a capable driver by taking extra qualifications like Pass Plus.
Some insurers offer a discount if you have a Pass Plus qualification but not all, so look for those that do to get the best deal.
Drive fewer miles
When you take out your policy the insurer will ask you how many miles you plan to drive. The less you drive the less of a risk you will be and the less you will pay. Make sure the amount you give is accurate because you can be charged for going over your limit.
Add an experienced driver
Adding an experienced older driver, a parent for example, as a named driver can reduce the cost of your cover. The best person to add to your policy will have a clean licence and several years of no claims.
Do not be tempted to add yourself as a named driver on someone else's policy if you plan to be the main driver. This is known as fronting and could invalidate your cover, our guide, Can you put your child on your car insurance?, looks at this in more detail.
Insurers will offer cheaper prices if you keep your car somewhere safe, like a driveway or locked garage rather than parking on the road. Installing security enhancing devices like immobilisers, tracking devices and alarms may also help.
Install a dash cam
A dash cam is a camera you install in your car to record your journey. It can be used to prove your innocence when you are involved in an accident, and insurers may cut your premium if you have one.
The cheapest models can cost just £20, but make sure the outlay is worth the potential saving.
For a more in depth look at the best ways to cut the cost of your car insurance, read this guide.
How to find new drivers' car insurance
Shop around and get several quotes from several different insurers once you know the cover you need. You can compare car insurance quotes here.
If you have taken measures to reduce the cost of your cover, like installing a dash cam or taking extra driving qualifications, look for insurers that will offer a discount.
Not all insurers offer cover for new drivers, while some will charge excessively high premiums to deter you from choosing them.
What could increase your premiums?
Once you have taken out your insurance policy you premiums could go up if you:
You must notify your insurance company if you are involved in an accident, even if you do not want to claim.
Have an accident
Get a speeding ticket
Gain any other points on your licence
If you get 6 points in your first two years of driving your licence will be revoked, so it is important you drive safely and sensibly. Here is a list of driving offences that will result in penalty points.
If you do have an accident think about paying out of your own pocket rather than claiming. This may not be worth it if the repairs are expensive, but it will prevent a hike in your premium and help you build up your no claims bonus; find out more about how this saves you money here.
If the repairs are less, or only slightly more, than your excess it is worth paying yourself.
If your repairs cost £300, your excess is £250 but the claim will result in a £150 increase in your premiums when you renew, you will be £100 worse off overall by claiming, and you would lose your no claims bonus.