How does your job title affect your car insurance?

Key takeaways

• There are many factors that affect the price of your car insurance.

• Some professions are statistically associated with a higher risk of accidents, leading to potentially higher insurance costs.

• You can try our car insurance job picker to see if there are similar job titles that could save you mony.

How are car insurance premiums calculated?

There are many factors that affect the price of your car insurance, including your age, where you live and the vehicle you drive.

You may be more surprised to know that your job title is considered too. Insurers will ask about your employment status and what you do for a living. The answers you give here can have a significant impact on the cost of your policy.

How does your job affect the cost of car insurance?

Car insurance prices are based on data about how people drive. Insurance companies keep large amounts of information on claims they’ve paid in the past. By analysing this data, they make predictions about claims they might face in the future.

If particular cars or postcodes feature in a lot of accidents, insurance providers will set their premiums accordingly – and the same applies to job titles. For example, if ‘scaffolder’ comes up in a lot of historic claims information, they’ll charge you more if you’re a scaffolder.

What UK job title is the most expensive for car insurance?

The occupations that have the most expensive premiums are a very varied group. Here are some of the occupations with the highest insurance premiums on average.

What UK job title is the cheapest for car insurance?

Again, the occupations are very varied when looking at who bagged the cheapest premiums. Here are some of the occupations with the lowest insurance premiums on average.

Can I change my job title to save money on my car insurance?

When you buy insurance, your insurer will have a list of job titles. You need to pick one from the list that matches what you do. There’s usually more than one accurate option, so if you are clever (without being dishonest) about how you describe your job, you could be rewarded with a cheaper policy.

For example, if you work as a chef, you could also be a “caterer”. If you work as a journalist, you could also call yourself a “writer” or “publisher”.

Everything you write in your car insurance application has to be the truth though, so the title you pick must fit what you do. If you provide false information and the truth comes to light when you submit a claim, the insurance company will probably refuse to pay the claim or may not pay it in full.

You could also leave yourself open to accusations of insurance fraud, which might make it difficult for you to get insurance in the future – or could lead to prosecution.

What if I have more than one job?

If you work more than one job, you must tell the insurer about each job you do. They will concentrate on your main job or if you do two or more equally, look at each. 

Do I have to tell my insurer if I change jobs?

Yes, you should inform your insurer if you change jobs. Your job can impact your insurance premium because insurers consider factors like how much you drive for work and the nature of your job. For example, if your new job involves more driving or is considered higher risk, your premium might increase. Alternatively, if you drive less or your new job is seen as lower risk, your premium might decrease.

It's important to be honest about your job change to avoid unintentionally invalidating your insurance. You can usually update your details online, by phone, or via email

What if I lose my job or stop working?

You are likely to pay a different premium if you are no longer working because of retirement, unemployment or because you choose to stop working for another reason.

The statistics show that retired people are involved in fewer claims – perhaps because they are not driving during rush hour – so they tend to pay less.

Unemployed people are often charged higher premiums because they may be driving more in search of work, and possibly because they spend less on vehicle maintenance, which could result in accidents.

Students who also work should provide details as requested when filling in their quotation as well, because they will also find that their premium might be affected by the type of work they do.

Do I need to prove my occupation to my insurer?

No, when buying car insurance, you don’t need to prove your occupation to your insurer. However, don’t let this tempt you to be dishonest about your job title. If you do make a claim, your insurer may ask for proof of occupation and you could risk invalidating your policy, as well as charges of insurance fraud.

How can I pay cheaper car insurance if I’m in a higher risk occupation?

Remember job title is not the only factor considered when calculating car insurance premiums. If you find that your job title falls into a higher risk occupation, there are a few things you could do to try and reduce your premiums:

• Letting insurers know that you do not use your car for work purposes or for commuting to and from work (maybe you cycle or take the train or the bus) can help. But if you lie and get caught out, you’ll be regarded uninsured, and receive a fine and penalty points on your licence

• Some insurers charge less if you voluntarily restrict your annual mileage

• Moving your job into a better category may help reduce your premium. But it must be a true representation of what you do

• Shop around. Use a comparison service like MoneySuperMarket to find the best deals. Remember all the other factors that make up a premium quote, not just your job

Compare car insurance

The easiest way to find the best deal on car insurance is to use MoneySuperMarket to compare providers. All you do is provide us with a little bit of information on you, your car and your situation, and we will show you a range of deals for dozens of insurers.