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How much cheaper is car insurance?
How much cheaper is car insurance... after one year? Or when you turn 25? Or for a multi car policy? Or for a classic car? NimbleFins has all the answers, backed up by data, below.
How much cheaper is car insurance with NimbleFins?
- You can save up to £530*
- 4.8 out of 5 stars on Reviews.co.uk**
- Cheap quotes from 100+ providers
How much cheaper is car insurance after 1 year
Depending on driver age, car insurance can drop nearly 30% or even more after 1 year. The younger the driver is, the more money they'll save each year.
For example, NimbleFins tests show that in the one year from age 19 to 20 years old, car insurance drops 28% on average from £1,761 to £1,268, saving the driver £493 on their premium.
The savings after one year become smaller with each year that passes. For example, the data gathered by NimbleFins show that in the one year from age 24 to 25 years old, car insurance becomes 8% cheaper, dropping from £663 to £610, saving the driver around £53.
These figures represent the average of the 5 cheapest providers found for a driver with a good record who lives in Bristol and drives a T-Roc. These figures are illustrative only; your quotes will certainly vary.
How much cheaper is multi car insurance
In the UK, it's quite common to achieve savings of at least 12.5% on multi car insurance, compared to insuring the cars individually.
A top insurer, LV= states that motorists save 12.5% on multicar policies, while insurance giant AXA says motorists can save up to 15% by insuring cars on the same policy.
Other companies state potential savings in £ figures; Admiral says that 10% of customers saved as much as £353 with a multicar policy. Hastings Direct puts their figure at up to £414 of savings. Note the wording—90% of customers would save less than these figures!
| Multi car insurance savings | per car |
|---|---|
| Admiral | up to £353^ |
| AXA | up to 15% |
| Churchill | unspecified savings (minimum premiums apply) |
| Direct Line | unspecified savings (minimum premiums apply) |
| Hastings Direct | up to £414^ |
| LV= | 12.5% per car |
^ Admiral states that "10% of customers saved £353 with MultiCover versus identical single policies (data from Dec ‘23 to May ‘24)". Hastings states that "10% of customers saved £413.71 with Multi Car vs like for like car policy (June - August '24)".
Note that multi car discounts don't typically apply to optional extras, like breakdown cover, windscreen, courtesy car or motor legal. Top tip: if you want these types of extras, it may be cheaper to buy a higher tier policy that includes them as standard (not as an optional extra) so you can get a larger multi car discount. Why does this work? If these features are included as standard, you can get the multi car discount on them because their cost is essentially hidden in the core policy premium.
Also, to get the multi car discounts, in many cases the cars must be registered at the same address. Discount does not apply to optional extras. And multi car offers may apply to new policies only, and may only be valid for the first year of cover (i.e. AXA).
How much cheaper is car insurance when you turn 25
Is 25 a magic age for getting cheaper car insurance? We quoted hundreds of policies to find out.
The data show some inconsistencies across providers, but overall, car insurance is around 8% cheaper from age 24 to 25 years old. Of the 5 cheapest providers we found, the average premium decreased by £52.80 per year when a driver turns 25.
Note, we excluded Admiral from this analysis because their premiums increased for the 25 year old, which is a flag to us of a pricing anomaly.
How much cheaper is classic car insurance
The cost of classic car insurance is largely dependent upon the value of the car, because policies state that the max payout for damage to the vehicle is the market value of the car. This means that if you're in an at-fault accident that causes damage to your classic car, the most the insurance company will pay is the market value of the car.
Classic cars are less expensive than you might realise—so classic car insurance can be cheaper as well.
For example, the following chart shows the number of classic cars for sale on AutoTrader by price bucket (for cars built before the year 2000). As you can see, the majority of classic cars cost between £10,000 and £25,000. This is far less than the average cost of cars in the UK (e.g. even small cars have starting OTR prices between £19,600 - £25,700, with larger cars costing even more). As a result, classic car insurance can be significantly cheaper than regular car insurance.
