I saved £1,600 on my son’s first car insurance: Why it pays to shop around –  and tweak your job title

When my 17-year-old son Christian passed his driving test first time, it was something to celebrate, but also to worry about. 

Would he be safe? Should I let him take friends as passengers? And would he ever understand that a speed limit isn’t a speed aspiration?

One unexpected worry was the cost of car insurance. I couldn’t believe the first quote of £2,917.82 from Nubee for a car that cost me £223.14 to insure for myself with the AA. 

Ironically, I’d contacted Nubee because its website trumpets that it was created for users of Collingwood’s Learner Driver insurance ‘to help keep your costs down’.

Subsequent quotes were not much better. I pointed out that I wasn’t insuring a Mercedes, just a small Hyundai i20, recently valued at £2,000. ‘But you have to consider the Mercedes your son might hit,’ one sales agent replied.

Young driver: Jane Knight with her son, Christian, who was quoted £2,917.82 to insure his humble Hyundai i20 car

The high prices reflect the fact that young drivers are much more of a risk to insure. According to the Association of British Insurers (ABI), those aged 17 to 19 make up just 1.5 per cent of license holders, but are involved in nearly 12 per cent of fatal and serious crashes.

However, there are ways to decrease premiums. I managed to get Christian’s insurance down to just over £1,300 with a company called Ticker, using a variety of hacks that are largely applicable to anyone purchasing car insurance.

To do this, I used three comparison websites, approached individual insurers and tried the insurance broker Adrian Flux; the latter quoted me £2,028.13.

Julie Daniels, motor insurance expert at price comparison website Comparethemarket, says: ‘With every type of insurance, I can’t emphasise enough the need to shop around. Providers update their premiums daily.’

The price of car insurance is based on risk; anything you can do to lower that risk, such as having a small-engine car, will decrease your premium.

‘In terms of the risk factors, the type of car, the size of the engine, its age, where it’s parked, whether the driver has any convictions, the average mileage you’ll do — will all be considered,’ she says.

As my son was desperate to drive as soon as possible, we couldn’t take advantage of MoneySavingExpert.com’s (MSE) top tip: ‘When getting quotes, get your car insurance cover to start about 23 days ahead as analysis has shown us that is usually the cheapest time to buy.’

Apparently, if you leave it until a day or so before you need it, insurers think you are disorganised and, therefore, more risky.

I did, though, cut costs by adding myself as a named driver, even though the policy is in my son’s name. I have 35 years’ driving experience, nine years’ no-claims bonus, and I will also drive the car, which decreases the risk of it being involved in an accident.

Be aware that you must never put someone down as a main driver if they are not going to be. This is known as ‘fronting’ and is fraud — and can lead to a criminal conviction and the invalidation of your insurance.

Best deal: Jane managed to get Christian’s insurance down to just over £1,300 with a company called Ticker, using a variety of hacks

As a named driver, I could use another handy MSE tip. Anthony Forchione, senior insurance analyst at the consumer website, says: ‘Tweak your job title — by using an insurance job picker tool — to see if another job title for the same job can cut your cost. Whatever you do, always be truthful.’

By entering ‘editorial staff’ instead of ‘journalist’, for example, insurance that would cost £1,000 is reduced to £792, according to the website’s job picker tool.

Another surprising hack is that it isn’t always cheaper to get third-party insurance, which is the legally required minimum level. 

This covers you for damage to someone else’s vehicle, or injury to someone in an accident. This includes accidents caused by your passenger. It doesn’t, however, cover medical costs if you are injured or repairs to your own car.

Those taking out third-party cover are statistically more likely to make a claim than those buying fully comprehensive cover, jacking the price up.

‘Increasing the voluntary excess [a sum of money you agree to pay towards the cost of a car insurance claim, which is separate from the compulsory excess set by your insurer, can also reduce your premium, but you should make sure that the excess is an amount you can afford to pay yourself should your car get damaged,’ says Sam Richardson, of consumer champion Which? Money.

Like all insurance, it is cheaper to pay annually rather than in monthly instalments. And you might shave off hundreds of pounds if you have multi-car insurance. Also, if you live somewhere where your child isn’t going to drive much, consider paying per mile.

Marmalade quoted me £233.89 for every 500 miles after the starter price of £363.40, including the first 500 miles. 

Savings: Like all insurance, it is cheaper to pay for your car insurance annually rather than in monthly instalments. And you might shave off hundreds of pounds if you have a multi-car deal

We live in the countryside, so this wasn’t an option. Nor was a car club — a short-term car rental service that allows members access to locally parked cars for which you pay by the minute, hour or day.

Most require young drivers to have held their licence for at least a year, and some have a minimum age requirement.

Most policies I looked at involved using a black box, which measures driving in terms of braking, speed, steering, times and distance — this is known as telematics.

The device is supplied by the insurance company. You can stick it to your windscreen or plug into the cigarette lighter; it communicates with an app on your phone. Sometimes, no device is needed — just a smartphone.

Telematics policies can make a difference, particularly in year two,’ says Mr Daniels, adding that companies reward good drivers with discounts.

Be aware, though, of curfews, which limit the times you can drive. Bell, which is part of the Admiral insurance group doesn’t have a curfew, but in its FAQ, it states that ‘frequently driving at risky times such as after 10pm will reduce your driving score’. A salesman was not able to define ‘frequently’, and suggested that if it was more than a few times, the policy wasn’t for us.

Although my son has a black box with Ticker, and often drives after 10pm, he has maintained a ‘gold’ standard driving score. So, hopefully, he can look forward to a lower premium next year.

It’s not the same for his 85-year-old grandfather, though. ABI says: ‘Our data shows that for drivers aged 86 to 90, the frequency of claims and average cost is higher, which pushes premiums up for older drivers.’

Nubee and Bell were approached for comment. Bell subsequently agreed that it had not adequately addressed the issue of what was considered ‘regularly’ driving at night. 

A spokesman later said that, ‘if someone takes a short trip once or twice a week between 10pm and 4am, and overall drives a larger number of miles annually, then it should not impact too much on their driving score’.

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