What is car insurance in the UK?
It's lowest level of cover you need to legally drive your car in the UK. You’ll only be covered for damage you cause to other people, passengers, or their property. There’s no cover for you or your car. If your car’s stolen, damaged or catches fire you won’t be able to claim back the cost. If you need to claim, we’ll pay £250 towards your excess ^.
What is the cheapest type of car insurance?
We found that the cheapest type of car insurance was comprehensive cover, which cost £515 on average. You’d probably expect the most basic level of cover to be the cheapest, but the average cost of third party only insurance is £854 – a massive 65% more expensive than comprehensive cover.
Does the cost of car insurance increase with the underlying value?
Not surprisingly, we found that the cost of car insurance increases with the underlying value of the car. This makes sense since a more expensive car requires a larger payout by the insurer in case of theft, and typically costs more to repair in case of damage.