Drivers able to cut insurance premiums by £745 with one year of no-claims discount
The cost of insurance continues to fall by £1,772 after ten years of no-claims motoring.
Drivers can slash the cost of their car insurance premiums by having a single year of no-claims discount, new data has revealed.
Car insurance premiums drop by £745 after one year of no-claims discount, according to new research from comparison site Compare the Market. Furthermore, premiums also fall considerably in the second year of no-claims, dropping by £354 and by £219 in the third year.
Drivers who make no claims over an ‘extended’ period could experience significant savings, too, with the price difference in insurance premiums for drivers without no claims compared to those with ten years of no claims being £1,772 on average.
Though Compare the Market does say that a number of factors influence premium costs – including the driver’s age and address, the make and model of the car and the keeper’s annual mileage – having a no-claims discount could make an ‘additional’ difference to the cost of cover.
Julie Daniels, motor insurance expert at Compare the Market, comments: “The easiest way to check your no claims discount policy is to look at the documentation provided by your insurer, which may have been sent in the post or might be available online.
“If you cannot find the details in your renewal notice or other paperwork, you may wish to get in touch with your provider directly.”
Rising insurance costs have rocked motorists, with Compare the Market’s data showing that coverage has increased by £546 – or 54 per cent – year-on-year for drivers with one year of no claims. This carries on to increases of £441 for drivers with two years of no-claims and £342 for those with three years. Drivers with ten years of no-claims bonus have experienced a rise of £186 for their premiums on average, too.
