It's taken a while, but you finally passed your test! Yay! No more expensive driving lessons. I hate to break up the party, but if you have your own car, the overheads have only just started, and one of the biggest, as a new driver, is arranging car insurance.
Now insurance is always a pricey overhead but new drivers aren't exactly a good bet for insurance companies. I'm sure you're the best driver your instructor ever had the pleasure of teaching, but let's face it, he's probably passed out a fair few bad ones too. New drivers are generally young, impetuous, impatient and foolhardy. Insurers see an accident waiting to happen and statistically, new and young drivers are involved in more road accidents.
So it's no surprise that insurance premiums for new drivers are painfully high.
A Few Tips to Help New Drivers Reduce the Cost of Insurance
Black Box Policies
Do you believe you're a good driver? Inexperience doesn't necessarily equate to bad driving. If you're prepared to have your driving monitored there's an option which can prove to insurers that, even as a new driver, you're a better risk than the average. It's called a Black Box insurance policy.
A small device in your car monitors your driving behaviour and patterns; how fast you drive, how hard you brake; how often you break; do you drive during the day or at night? Do you drive on motorways or country lanes?. All this data, and more, paints a picture to the insurance company of what sort of driver you are.
A Black Box insurance policy (also called Telematics insurance) might go some way to lowering your premium if it shows you are a careful, low risk driver.
Advanced Driver Training
Pass Plus is a practical training course which aims to improve a new driver's ability in the first year of driving.
Going that extra mile can prove to an insurance company that you're committed to being a safe driver. If you finish Pass Plus training, you might be able to get a reduced premium on your insurance.
Have Your Own Insurance Policy
Isn't it far cheaper for a new driver to be added to mum and dad's insurance?
Only in the short-term. There are a couple of reasons why you should seriously consider taking out an insurance policy in your own name as soon as possible.
Firstly, whilst your car insurance is likely to be more expensive for that first year, the sooner you get it over with (without having any accidents!), the sooner you'll start to earn a no claims bonus in your own right. That's when the real savings will start to be made, with anything from a 10% to 30% discount typical after 12 months.
Secondly, if the car actually belongs to you and you are the main or only driver, you MUST take out your own insurance policy. Your parents cannot insure your car, with you as a named driver, if they are not the owners and/or the main drivers. Your insurance wold be invalid and you could be prosecuted.
Don't Drive Without Insurance
Even though car insurance is expensive for new drivers, don't neglect to arrange it altogether. The government is clamping down on the rising number of uninsured drivers on the UK's roads; you could risk prosecution, a fine, a criminal record and having your car taken away.
How to Find the Cheapest Insurance
Quite simply, leave it to those who know the insurance market inside out and have all the best deals at their fingertips. An insurance broker can find you the cheapest quotes in just a few minutes. This will save you a lot of time trawling websites and making phone calls.
A broker can also advise you about the type of cover that's best for your situation.
