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Student Car Insurance

How to save money on your car insurance

If you're leaving home for university, looking for a car insurance policy probably isn't at the top of your 'to do' list. But finding the right cover for your car could save you money, and may help make your student loan go further. Car insurance for young drivers can be expensive, but here we look at the cover that's available and offer some tips which could help you save money.

Levels of car insurance cover

Third Party Only offers a basic level of cover. It covers you for claims made against you by other people following an accident. It covers your liability for injury to others and damage to their property.

Third Party Fire and Theft provides the same level of protection as Third Party Only, but also covers your vehicle against fire damage or theft.

If you're a student, Third Party Fire and Theft is worth considering. Generally, it's not that much more expensive than Third Party Only, but provides important cover against fire and theft. If you're a student at university in a large city, cover against car theft is something you should consider.

Comprehensive cover provides all of the above, and includes accidental damage cover for your own car, plus other benefits such as cover for personal possessions or medical expenses.

Make your no-claims discount a priority

Leaving home to become a university student could be the point at which you make the switch from being insured as an additional driver of a parent's car to insuring your own car. The insurers of your parent's car may not wish to continue providing cover if you take the car with you to university. If you decide to take your own car you will need to insure it yourself. Once you have your own policy your goal should be to earn your first no-claims discount.

If you drive sensibly, by following the Highway Code and staying within the speed limit, this may help you to avoid making claims on your policy, which could mean you earn a reduction in your premium when you come to renew your insurance policy.

The car you drive

The age, model and engine size of your car will all affect the cost of your motor insurance. Generally, the smaller and less powerful the car, the cheaper the policy may be. If you're buying a car, look for a vehicle in a low car insurance group.

Think about your mileage

It's worth thinking about the amount of driving you'll be doing while you're a student. If you're driving to university think about how far you have to drive to the campus. Could you reduce your annual mileage by living closer to the university? If you can reduce your annual mileage you are likely to receive cheaper car insurance quotes.

Car security

Where you keep your car at night will affect the car insurance premium you'll pay. If you are able to keep your car off the roadside at night, or better still keep it in a locked garage, this could mean you pay a lower premium. If you have to park your car on the street outside your your student accommodation, make sure you park in a well-lit area and remember not to leave any valuables in the car which may attract thieves.

If you're living off campus in an area where you're concerned about car theft, it may be worth installing extra-security devices to your car. Insurance companies can advise on which security devices will bring a discount. Tracking devices and immobilisers are likely to attract the best discounts from insurers and may help you find a policy with a lower premium.

If you need insurance while you're a student, you could find the cover you need with AA Car Insurance.