Check prices early

Young people usually pay more in car insurance – sometimes a lot more – as they are statistically more likely to be involved in an accident and policies are based on overall risk.

Those aged between 17 and 24 pay £828 on average, close to double the £476 typically paid by 25-to 49-year-olds, according to data from the comparison site Go.Compare.

However, comparing quotes can still save you hundreds of pounds. Comparison sites – others include MoneySuperMarket, Confused.com and Compare the Market – let you easily see prices across dozens of insurers.

Experts say getting quotes about three to four weeks before your policy is due to start often results in cheaper deals.

Add an experienced driver

Adding a parent, or any other experienced motorist as a named driver – as long as they drive the car occasionally – can help lower your premium. Insurers see this as spreading the risk as the vehicle is not just driven by someone with little experience.

Look for someone with a clean licence and many years of no claims. Whatever you do, don’t pretend someone else is the main driver – that is known as “fronting”, and is illegal.

Pick the right car

Generally, the smaller and less powerful the car, the cheaper it will be to insure. Go for something in a low insurance group (cars are put into one of 50 groups), typically the less expensive models with small engines and where the cost of parts and repairs are generally lower.

The cheapest for 17- to 25-year-olds include Volkswagen’s up! (averaging £576 a year), the Suzuki Alto (£597) and the Fiat 500 (£604), according to Go.Compare.

“This shows it is smaller cars – specifically modest one-litre engine hatchbacks – which are taking the top spots as the cheapest cars to insure for young drivers,” says Tom Banks at Go.Compare.

Buying secondhand will keep costs down. Just make sure it is in good condition and has a full service history.

“Avoid making modifications, too, as these could lead to a hike in the price,” says Andrew Lee at the insurer Marmalade, which specialises in young drivers.

Consider a black box

A black box, or telematics, is a great way to reduce costs over time. A small device (or an app on your phone) tracks how safely you drive.

If you stick to speed limits, avoid harsh braking and do not drive late at night, you could earn a lower insurance quote or repayments, adds Banks.

“If the data shows consistent safe driving, insurers might reward policyholders with benefits like lower premiums, cashback or a voucher, either during your policy term, or when it’s time to renew,” he adds.

According to Go.Compare, the median price for a 19-year-old driver with a telematics policy is £864 a year. This compares with £1,096 without telematics.

At age 23, the difference is only £21: £636 with telematics; £657 without. If you don’t make a claim, you will earn a no-claims discount, which can further reduce costs.

However, there are some potential disadvantages to a black box. It will record poor habits and so could result in higher premiums.

“If you don’t drive carefully, or within pre-arranged limits of your policy, you could end up paying more,” Banks says.

Avoid automatic renewal

If you are already insured, do not just accept your renewal quote. Use comparison sites to see what others are charging for the same, or similar, cover, then go back to your current insurer and see whether it will match, or beat, those prices.

Pay annually (if you can)

Monthly payments may be easier for some younger people to handle, but they often involve paying interest on the premiums – sometimes as much as 30% APR. If you can afford to pay in one go, it is nearly always cheaper.

If an annual payment is not possible, it is worth looking into alternatives such as a 0% interest credit card (provided you can pay it off before interest kicks in). Or set aside money each month.

Up your security

Where, and how, you park matters. Insurers like driveways more than street parking, so prices tend to fall if you have access to one. If your building has designated private parking, whether gated or residents only, that is also usually rated as safer than street parking. If you have a fob-controlled or gated car park, even better. Mention it when getting quotes.

And adding a steering wheel lock, immobiliser or dashcam can help. The more secure your car, the less of a risk it poses – and the more likely something will be shaved off your premium.

Tweak your job title

What you put as your job title can affect how much you pay – sometimes by hundreds of pounds. That’s because data based on years of claims is used. Some professions are flagged as higher risk, either because of how often people in those jobs claim, or the way they are perceived to use their cars.

Many forms include a dropdown menu for job titles, and choosing a different, but still legitimately accurate, title – such as “writer” instead of “journalist” – could lower your premium. Make sure it is truthful. False information could invalidate your policy.

MoneySuperMarket has a “car insurance job picker” to help you identify the role that best describes what you do, and find the average premium for each job.

Increase your excess

Your excess is what you pay towards a claim before your insurer chips in. It is usually split into two parts: a compulsory excess, which is set by your insurer and non-negotiable; and a voluntary excess, the extra you choose to pay on top.

“The most common excess chosen by our customers is £250,” says Rhydian Jones, a car insurance expert at Confused.com. “But opting for a higher – or sometimes even lower – excess can help reduce the overall cost of your cover. Experiment with your excess amount when comparing quotes to see if you could save.”

The higher the voluntary excess, the lower your premium tends to be. “Make sure you can afford to pay the excess amount you have stated,” says Lee, otherwise you could be left in a tricky situation.

Build your no-claims discount

The discount increases with each year you drive claim-free. After just one year, you could get a 20% to 30% discount. After five years, some insurers will knock 60% or more off your premium.

Your no-claims discount is tied to you, not the car – so if you change your vehicle or insurer, you can usually transfer it. Even if you have an accident, it will not always wipe out your discount – especially if you are not at fault and the other driver’s insurer pays.

It is worth asking your insurer to confirm how much your premium would go up by if you made a claim.