Car insurance premiums have been steadily rising in recent years, affecting both new and existing drivers. However, experts say that choosing the right day to renew your policy can significantly reduce the cost.
Recent research from price comparison site Go.Compare reveals that renewing car insurance 26 days before the renewal date can save you over £150. The site’s latest analysis, based on car insurance purchases made through Go.Compare in 2024, found that purchasing a policy 26 days ahead of renewal costs an average of £390, £164 less than buying on the renewal day.
The study also highlighted that waiting until the last day to renew can lead to a 42% price hike, with premiums rising to £554.
While car insurance can be bought up to 29 days in advance, Go.Compare’s research suggests that the most significant savings come from purchasing between 21 and 28 days before your renewal date.
Tom Banks, a spokesperson for Go.Compare, explained, “It’s well known that insurers factor in various elements when calculating premiums, but many drivers aren’t aware that the timing of their purchase can also influence the price. Those who wait until the last minute are often seen as higher risk, which leads to higher premiums.”
He continued, “Buying early indicates that you are organised and responsible, qualities that insurers typically reward with lower rates.”
In addition to timing, other factors such as annual mileage, where you park your car, and the type of vehicle you own can impact your premium. While these aspects are not easily changeable, there are still practical steps drivers can take to reduce the cost of their car insurance.
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