is the prime time to renew your car insurance to save the most money?
While ultra-organised drivers research quotes almost a month in advance, some more relaxed motorists don't bother at all, letting their existing policy roll over for another 12 months.
But there is a sweet-spot somewhere in between where experts say you pay the lowest price - and it could save the average motorist more than £160 if they time it to perfection.
However, with providers typically sending out renewal letters between two and four weeks ahead of cover lapsing, many motorists are at risk of missing the optimum day to buy insurance.
Analysis of insurance quotes ran on GoCompare throughout 2024 has revealed the exact date ahead of your policy renewal when you should lock in your motor cover.
Those who purchased their new policy 26 days before their existing premium lapsed paid on average £390 - the lowest median price of all based on days ahead of renewal.
That compared to an average premium cost of £554 for those who bought the day their insurance policy was due to end, some £164 more than those who secured a new deal 26 days earlier.
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Car insurance can be purchased up to 29 days in advance of an existing policy ending.
GoCompare's research highlights that buying three weeks before renewal provides the best savings.
The lowest median prices in 2024 were paid between 21 and 28 days ahead of an existing policy terminating.
Tom Banks, car insurance spokesperson for the comparison site, said: 'It’s no secret that insurers consider multiple factors when calculating your premium, but many drivers don’t realise that the day you buy your policy can also impact the price.
'Drivers who leave it until the last minute are often perceived as higher risk, which can result in higher premiums.
'On the other hand, purchasing in advance signals that you’re organised and responsible - traits that insurers reward with lower prices.'
Car insurance can be purchased up to 29 days in advance of an existing policy ending but research by GoCompare suggests its best to wait three days before buying another
The recommendation to drivers to secure a new policy 26 days ahead of their renewal date comes as motorists have faced cripplingly high insurance costs in recent years.
The latest update on motor premiums from the Association of British Insurers (ABI) said the average cost of cover in the final three months of last year was £621.
This was 2 per cent lower than the average record high price of £636 at the start of 2024.
Premiums have rocketed on the back of rising motor claim payouts linked to high vehicle theft rates and an increasing cost of car parts as well as supply issues.
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When taken as an annual average, the cost of cover in 2024 was £622, some 15 per cent (£78) higher than 2023.
Last year saw insurers pay out the highest claims on record for a calendar year, with the 2024 bill reaching a staggering £11.7bn.
Mark Shepherd, head of general insurance policy at the ABI, said the motor insurance industry was 'doing all that it can' to tackle sky-high premiums.
However, he added that government needed to step in to 'take the necessary action' to combat high claim costs, including not raising Insurance Premium Tax at the upcoming Spring Forecast.
Car insurance bills have a habit of creeping up, so comparing prices for the best deal is a wise move.
Insurers have been heavily bumping up renewal quotes, so it makes sense to check for better deals on the comparison sites.
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