Renew car insurance three weeks early to get the best deal

1 August 2018
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Timing is crucial if you want to get the best deal on your car insurance, according to new analysis.

A study from MoneySavingExpert has revealed that the best time to buy is 21 days before your renewal date.

On the renewal date, the average policy costs £1,156, however three weeks ahead of this deadline, the average is just £589.

The consumer group analysed 18 million quotes between January and May this year from price comparison sites including ComparetheMarket, Confused, and MoneySuperMarket.

It also found that motorists who are super-organised pay over the odds. Buying 30 days ahead (the earliest point at which you can usually get a quote) of renewal typically worked out £531 more expensive than buying three weeks early.

Martin Lewis, founder of MoneySavingExpert, says: “Car insurance pricing is based on a mix of actuarial risk and which section of the market is targeted. To find the risk insurers look for patterns, and we've uncovered that one of those is how early you get a quote before renewal.

“To avoid being a last-minute loser, everyone with car insurance should at the very least, put a note in their diary 25 days before renewal to sort it within a week.”

Comments

In reply to by anonymous_stub (not verified)

OK, I will give it a go, date is in the diary!

In reply to by chrisrich (not verified)

OK well I got my quote with 21 days to go and it beat last years' renewal but only by about £20. What I will say though is that the website that gave me the cheapest quote has consistently given me the highest quote for the last 5 consecutive years (at least). The saving this year on average (strictly speaking only about this specific comparison site) is about £400 but as I said, £20 less than last years' renewal, will now wait to see what this years' renewal quote is. With respects to the other two sites I checked, again, I check them every year and the price doesn't seem to be much difference as to what I'd expect to be quoted a week before my current policy's expiry, it's in the same ball park in other words and so sadly for me the huge saving mentioned in the article hasn't been so for me this year.

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