11 October 2024

Car insurance: how shopping around saves money

British drivers appreciate low costs when it comes to their car insurance. Indeed, one in five motorists would switch insurers for a saving as low as £25.

A potential saving of £25 would be a good enough reason for switching car insurance providers for a quarter of British motorists. Despite this, a study from a leading comparison site revealed that one in four drivers automatically renew their car insurance with their current provider instead of shopping around.

Unsurprisingly, price is the main source of motivation for switching car insurance providers. Two thirds of drivers admitted they would change insurer if they found a cheaper policy with the same coverage. A few took even less convincing, confessing they would switch for added incentives such as a cash back offer, free breakdown cover or a gift voucher.

Savers by categories

Surprisingly enough, figures show that saving money on car insurance is valued more by older Brits than by their younger counterparts. Younger drivers want to see a larger saving to be convinced to switch insurer..

Regarding regions, the research highlights the significant difference between drivers in London – who look for at least £70 in order to make them switch their car insurance policy – and those in the South West, who are looking for a saving of around £40.

Despite drivers caring about finding cheap car insurance, figures released by the Motor Insurers' Bureau (MIB) revealed that a shocking 1 in 3 (34%) of all uninsured drivers are under the age of thirty.

In fact, according to the study, 1 in 10 drivers among the 18 to 34 age bracket are unaware that car insurance is a legal requirement.