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Car insurance advice for new drivers

If you're new to driving, there's so much information coming your way, it can be a real challenge to take it all in. This guide is intended to make things a little simpler, giving first time drivers like you a better understanding of how to get insurance on your first car.

Learner driver showing his l plate

How to reduce the cost of car insurance

Let's get the bad news out of the way first. If you're a first-time driver (and particularly if you're under 21), you'll probably pay more for car insurance than an experienced driver.

There are, however, some things you can do to help keep your insurance costs down. 

1. Choose the right car

If you haven't picked your car yet, it's worth bearing in mind that your choice can have a major bearing on the cost of insurance. Every car is given an insurance group number, (set out by the Group Rating Panel) from 1-50, with one being the cheapest.

The group rating for each vehicle is measured on the following:

  • Vehicle Performance (speed, acceleration etc.)
  • Standard safety features (such as AEB)
  • Value of the car as new
  • Repair costs and times
  • The price of parts
  • Bumper compatibility (depending on insurer's criteria)
  • Security features (alarms, locks or immobilisers)

When choosing your first car, it's not only the price, but the insurance rating that counts. 

2. Pick the right cover

The different types of cover available are:

  • Third party. This is usually the cheapest option, but only covers damage to there vehicles and property, or injury to others. If your vehicle is damaged, you could end up bearing the cost of repair or replacement.
  • Third party, fire and theft. This is the same as the above, with the addition of cover if your car catches fire or is stolen.
  • Comprehensive cover. This includes all the above, as well as cover when your own car is damaged, even if the accident was your fault.

If third party looks like your cheapest option, it's worth looking into the costs of repairing your vehicle and weighing up the risks before deciding. 

Some insurance packages will come with a host of additional benefits, like breakdown cover and a guarantee on repair work, so it's worth considering this too. 

Mobility Pass

Designed for Electric Vehicle customers financing through Personal Contract Hire, Mobility Pass allows you to build a fund towards the occasional rental of a petrol or diesel vehicle. With a 33% bonus that we will add to your fund at the start, plus eligibility for a 20% discount on all rentals from our dealers, Mobility Pass can seriously boost your spending power, when compared with standard private rental.

Lease with car insurance

For new drivers looking to control their insurance costs, it's worth considering an 'all-in' finance package, such as Peugeot's Just Add Fuel or Simply Drive, available on Citroën and DS models.

Typically, for 18-20 year-olds, this kind of product includes the option of a telematics insurance policy, as well as car road tax, roadside assistance and routine servicing, all in one simple monthly payment. 

More tips to bring insurance costs down

  • A telematics (or black box) insurance policy monitors your journeys and records you for safer driving. 
  • Adding a second (more experienced) driver to your policy. 
  • Installing an alarm or other security features.
  • Parking your car securely overnight, ideally in a private garage or driveway. 
  • Paying for your insurance in a single, annual payment usually costs less than monthly instalments.
  • If you're a younger first-time driver, consider taking the Pass Plus course.

If you own a new or used Citroën, Peugeot or DS vehicle, you may save money with annual car insurance with PSA Finance. Packages include 24-hour accident recovery and courtesy car (subject to availability), so you can be confident you, and your vehicle, will be well looked after.