Drivers
Cheap new driver insurance: what it costs and when the price drops
Cheap new driver insurance is hard to find early on. See what sets the cost, at 17, 21 or 40, and how it usually falls as no claims years build.
Cheap new driver insurance is hard to come by in your first year, because insurers have no driving history to go on and price that uncertainty in. The cost usually starts to come down at your first claim-free renewal and keeps easing as your no claims years and age build up, but nobody can promise a figure, and the drop is never certain.
That is the short answer. The rest of this page covers what actually sets the price, how it tends to change year by year, what changes if you pass at 21, 30 or 45, and what you can honestly do to bring it down.
How much does new driver insurance cost?
There is no single price. Each insurer works out a premium for you based on the risk it thinks you present, so two new drivers of the same age can get very different quotes. The Association of British Insurers (ABI) says the cost of comprehensive cover "can vary depending on age, driving ability, the type of car you own and the area you live in", and that main driver policies "tend to be more expensive for young drivers than for older, more experienced motorists".
For context, the ABI's own tracker put the average motor premium actually paid across all drivers at £566 in Q2 2026. That is an average for everyone, including drivers with decades of no claims, so it says little about what any one new driver will be quoted.
Is new driver insurance expensive, and why?
Yes, usually. The reason is risk. Which?, citing Department for Transport figures for 2023, notes that young male drivers aged 17 to 24 were four times more likely to be killed or seriously injured than drivers aged 25 or over. Insurers also tend to set a higher compulsory excess for younger drivers, sometimes several hundred pounds rather than the lower amounts older drivers see.
The main things that feed into a new driver's price:
| Factor | Why it matters to an insurer |
|---|---|
| Age | Under-25s are statistically more likely to be in serious collisions |
| How long you have held a full licence | Less experience means less evidence about how you drive |
| No claims discount | New drivers start with none |
| The car | Higher insurance group cars cost more to repair, replace or are more powerful |
| Where you live and park | Theft, damage and accident rates vary by area |
| Mileage and use | More time on the road means more exposure to risk |
| Points and convictions | A sign of higher risk, and more serious for new drivers (see below) |
When does new driver insurance go down?
For most people the first real change comes at the first renewal, a year after buying cover. If you have not made a claim, you earn one year of no claims discount, and that is usually when the price starts to ease. Each further claim-free year adds to it, up to a cap that varies between insurers.
Here is how the first few years typically look. There are no prices here because they depend on your details and the market at the time.
| Stage | What changes |
|---|---|
| Just passed | No no claims discount, no history. Six points in your first two years means losing your licence |
| First renewal (year 1) | First year of no claims if you have not claimed. Often the first noticeable fall |
| Second anniversary of passing | You are out of the two-year new driver period for penalty points |
| Each claim-free year after | Another year of no claims, so the discount keeps growing up to the insurer's cap |
| Turning 25 | You move out of the age band insurers see as highest risk |
Three honest caveats:
- The whole market moves. If repair costs and claims rise across the industry, premiums can go up for everyone, so your renewal might not fall even with a clean year.
- A claim can set you back. Depending on the policy, a claim can cut or remove your no claims discount.
- Gaps cost you. If you are uninsured for more than two years, you may have to rebuild your no claims from scratch or with fewer years.
Renewal prices are also protected by a regulator rule. Since 1 January 2022, the Financial Conduct Authority requires insurers to offer renewing customers a price "no higher than they would pay as a new customer". That stops you being charged more simply for staying, but it does not stop your renewal going up if the risk or the market changes.
New driver insurance at 21, 30 or 40: does passing later help?
Most guides treat "new driver" as "under 25", but plenty of people pass in their 30s, 40s or later. Insurers look at two separate things: your age and how long you have held a full licence. A typical quote form asks for both (our insurance quote checklist covers the full list).
How much is insurance for a new driver aged 21?
A 21-year-old who has just passed has both factors working against them: under 25, and no driving history. Nobody can give an honest single figure, but it is usually higher than for a 21-year-old who passed at 17 and has built up a few years of no claims.
Passing at 30, 40 or later
An older new driver avoids the higher pricing insurers apply to under-25s. They still start with no no claims discount and no record, so early quotes are usually higher than for someone of the same age with years of driving behind them. The licence rules are the same whatever your age: six or more points within two years of passing means your licence is revoked, and you have to reapply for a provisional licence and pass both the theory and practical tests again. That applies to a 45-year-old just as much as a 17-year-old.
How do people get cheap new driver insurance?
There is no trick that makes a new driver cheap to insure. What people do is lower the risk they present, or the parts of the price they control. The common options:
- The car. Cars in lower insurance groups are usually cheaper to cover. The rating is advisory, so insurers can still price differently.
- Black box policies. A telematics policy tracks things like speed, braking, cornering, time of day and mileage. Careful driving can help, but poor driving can raise the premium and some insurers may cancel cover. Some policies also carry fees, for example for missed installation appointments.
- Pass Plus. The government's Pass Plus course is at least six hours with a Pass Plus registered approved driving instructor and "may help you get a car insurance discount". Not every insurer offers one.
- The excess. A higher voluntary excess can lower the premium, but you pay the total excess (compulsory plus voluntary) if you claim.
- Paying annually or monthly. Which? found the average interest rate among insurers charging for monthly instalments was 24% in December 2025.
- A clean licence. Points raise premiums and, in the first two years, put your licence itself at risk.
- Mileage and security. An accurate, lower mileage estimate and good security can help, as long as both are true.
For more on making changes that do not cause problems later, see how to reduce car insurance without invalidating your policy.
What about being a named driver on a parent's policy?
Being added to a parent's policy as a named driver is legitimate when the parent really is the main driver of that car. The ABI explains that a named driver gets the same level of cover as the main driver. The catch is that named drivers usually do not build their own no claims, so it may not help your price later. If you had learner cover before passing, does learner insurance count as no claims? explains how that works.
What is not legitimate is fronting: putting the policy in a parent's name when the young driver is really the main user. Which? describes it as a criminal offence, and the ABI warns that the policy could be declared invalid and the driver could be forced to pay any costs arising from an accident.
Can a broker find you a lower price on new driver insurance?
Honestly, no one can promise you a particular price, or a low one. The premium is set by the insurer, based on your details. What a specialist broker can do is search the insurers they work with, ask the right questions so your details are accurate, and explain what each policy does and does not cover, such as the excess, black box terms and who can drive the car.
Kompare is not an insurer and does not compare prices. If you want help, you can get young driver insurance quotes: you fill in a short form and a specialist FCA-authorised broker from our panel contacts you with quotes to look through. Whatever route you take, check the excess, the cover level and any conditions before you buy, so that a lower premium does not come with cover that falls short when you need it.