What is the best car insurance for teenagers?
Key takeaways
The best car insurance options for teenagers include telematics or pay-as-you-go insurance, and being a named driver on an existing policy
Learner-drivers are usually covered by their driving school but may want to consider short-term temporary insurance if they practise in a friend or family member’s car
Choosing a car from a low insurance group and building a no-claims bonus can help lower your premium
What is the best car insurance for teenagers?
It is a legal requirement to have at least third-party car insurance, and the best options for teenagers include:
Telematics insurance: A telematics or ‘black box’ policy involves having a device in your vehicle that allows your insurer to monitor your driving habits. You may get an upfront discount or benefit from lower premiums once your insurer can see you’re a safe driver
Pay-as-you-go insurance: You’ll typically pay a per-mile charge, along with a set monthly fee with a pay-as-you-go policy. So, if you’re a low-mileage driver, doing less than 6,000 miles per year, this could be the best option
Named driver insurance: If you don’t own a car you could be added to your parent’s car as a named driver, which could be cheaper than having your own policy for your own car. But be wary of the illegal practice known as ‘fronting’. If you’re the primary driver, you should be listed as such, with your parent added as a named driver
What is the best car insurance if I’m a learner-driver?
If you’re learning to drive with a driving school it will usually cover you with their own insurance. But if you’re taking private lessons in your car, or using a friend's or family member's car while supervised, getting cover is a must.
The best car insurance options for learner-drivers include:
Short-term temporary cover: This usually costs more per day than annual cover but could be a good solution until you pass your test
Being a named driver
💡 Top tip:Once you pass your driving test you need to inform your insurer and upgrade your insurance policy or change providers
How much does car insurance for teenagers cost?
Teenagers often have the highest car insurance premiums. But once you get into your mid-twenties, with a few years’ driving experience, your premiums should start to become more affordable.
Age of main driver | Average annual premiums |
|---|---|
17 to 19 | £1470.20 |
20 to 29 | £946.40 |
30 to 39 | £630.83 |
Which cover level is best for teenagers?
Our data suggests that third-party only car insurance is the cheapest cover level for teenagers aged 17-19.
Policy type | Average annual price for 17-19-year-olds |
|---|---|
Third-party only | £1,266.10 |
Comprehensive | £1,470.20 |
Third-party, fire and theft | £1,642.03 |
These are average prices so it’s worth comparing cover levels as your car insurance quote
will depend on personal factors like where you live and what car you drive.
Remember that comprehensive insurance is the highest cover level and will cover you for fault and non-fault accidents. Comprehensive cover also includes more features as standard whereas you may have to pay extra to add these on to third-party only.
Why is car insurance more expensive for teenagers?
Car insurance is often more expensive for teenagers because insurers view young drivers as higher risk. This is due to:
Accident statistics
Lack of driving experience
Potential for risk-taking behaviour
However, insurers calculate premiums based on a whole range of factors.
Read our guide: Why is car insurance so expensive?
📣 Did you know? In 2025, 29% of all killed or seriously injured casualties from car accidents involved a young car driver, according to Department for Transport statistics.
At what age does car insurance start to get cheaper?
Young driver car insurance gets cheaper, on average, once you are in your 20s, provided you have built up a no-claims discount and you have a clean driving licence. If you have a history of claims or any serious driving convictions then your premiums may remain high well beyond the age of 25.
How can teenagers get cheaper car insurance?
Despite the high baseline costs, there are ways teenagers can find more affordable car insurance:
Choose the right car
Smaller, less powerful cars, which fall intolower insurance groups, tend to be cheaper to insure
Pay annually
If you can afford to, paying annually is usually cheaper than monthly as you won’t be paying interest
Consider a telematics policy
Black box car insurance rewards safe driving with lower premiums
Add a named driver
If the driver you add to your policy is an experienced, older driver this could lower costs
Check your mileage
Use our annual mileage calculator to make sure your mileage is accurate. Over-estimating your mileage could lead to higher premiums. If you’re a low-mileage driver (under 6,000 miles a year) you should also look at pay-as-you-go car insurance
Build a no-claims bonus
Once you have had car insurance for a year without making any claims you earn a no-claims discount, which can be as high as 30%. Also look for insurers who offer an accelerated no-claims bonus, which lets you earn the discount in 10 months instead of 12 months.
Tweak your job title
Try using our car insurance job picker tool to see if you could save money by choosing a different job title - provided it still describes your work accurately
Increase your excess
Paying a higher voluntary excess is one of the easiest ways to reduce your premium as it means an insurer will have to contribute less money towards a claim. But make sure you set your excess at a level you can afford
Limit your add-ons
Think carefully about whether you need to pay for optional extras. For example, it might be cheaper to get breakdown cover separately rather than adding it on to your insurance
Compare quotes
Shopping around can help you find a cheaper deal, as prices can vary widely between insurers
Can an advanced driving course save money?
Yes, taking an advanced driving course, such as Pass Plus, can lead to reduced insurance costs with some insurance providers.
However, MoneySuperMarket data suggest the savings aren’t significant and you’ll need to factor in the cost of the training.
You may still find it worthwhile as the training should make you a safer driver, which lowers the risk of you having an accident.
What are the cheapest cars to insure for teenagers?
Some of the cheapest cars to insure for new and young drivers, according to MoneySuperMarket data, are the Fiat 500, Volkswagen Up! and Peugeot 108. These types of cars cost less to repair or write-off if you have an accident so their insurance costs are lower.
Are used cars cheaper to insure for teenagers?
Yes, used cars can be a cheaper option for teenagers but they won’t have the latest safety feature and they could cost more to maintain than a new car.
Your insurance premium will depend on your specific model, as well as your mileage, location, and other personal factors.
Can a 16-year-old get car insurance in the UK?
Yes, in certain circumstances a 16-year-old can get car insurance in the UK. If, for example, you have a disability or long-term health condition and receive certain benefits such as the ‘mobility part’ of Personal Independence Payment (PIP) at the higher rate, you can start learning to drive in England and Wales at 16. There is more guidance available on GOV.UK
How can I compare car insurance options for teenagers?
Comparing car insurance quotes on MoneySuperMarket is the best way to browse deals from multiple providers.
All you need to do is enter a few details about yourself, your car and driving history, and you’ll be able to see car insurance deals tailored for you and your vehicle.
Once you’ve found the best quote for you, click on the deal and you’ll go straight to the provider’s website.
Author
Sarah Tooze
Car & Van Insurance Expert
Sarah Tooze has been a motoring journalist for more than 15 years, specialising in company cars and vans, and has won a number of awards during her career, including the Newspress ‘Automotive...
Reviewer
Beth Leslie
Senior Insurance Content Editor
Beth is an experienced writer and editor who specialises in financial and economic content. She is currently the Senior Insurance Content Editor for MoneySuperMarket. Beth is passionate about making...
