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Finding the right car insurance cover can feel overwhelming, but focusing on a few key factors can help you make a more informed decision.
Whether you’re insuring a car for the first time or renewing an existing policy, understanding what really matters can help you get the right level of protection at the right price.
If you’re looking for cover, Saga has been providing car insurance for people over 50 for more than 30 years. All three of its comprehensive cover levels were named Which? Best Buys in January 2026, with Saga Plus and Saga Select at the top of the table. With 99% of claims paid last year, it’s no wonder more than one million drivers trust Saga.
Here are six essential factors to consider when buying car insurance.
1. Type of cover
There are three main types of car insurance cover:
- Third party car insurance. This protects other people, vehicles, and property, but not your own car.
- Third party, fire and theft cover. This is the next level of cover up from third party cover. It covers everything that third party cover does and, as the name suggests, also covers the cost of repairs or replacement if your vehicle is stolen or damaged by fire.
- Comprehensive car insurance. This offers the broadest level of cover available. It typically covers damage to your car or another vehicle, regardless of who was at fault, injuries either to you or another person, fire, accidental or malicious damage to your car, and theft.
When thinking about the type of cover you want, it’s important also to consider where you plan to drive. Some providers extend the same level of cover you have in the UK across many European countries, whereas others may restrict your cover to the UK alone. Having insurance which includes European cover can be particularly valuable for those who regularly drive abroad or who may be planning extended trips.
Car insurance you can count on from Saga
Whether you’re buying a new car or looking to get new car insurance, Saga offers three Comprehensive cover levels, which are all Defaqto 5 Star rated. Saga Plus comes with a 2-year fixed price, if nothing changes. 99% of claims paid in 2025. Trusted by over 1 million drivers.
2. Cover limits and exclusions
Not all car insurance policies offer the same benefits, so understanding the limits of what’s covered as well as what’s excluded is crucial.
Limits to be aware of include how much the insurer will pay out for things like repairs, personal belongings in the car, or medical expenses. Some policies offer enhanced benefits, such as protecting your No Claims Discount (NCD) even if you have to make a claim. You may want uninsured driver cover, which protects your NCD and may refund an excess paid if your car is hit by an uninsured driver. Some providers offer a courtesy car if yours is out of action or cover if you accidentally fill your car up with the wrong type of fuel.
These added extras can prove extremely valuable, so it’s well worth reviewing policy documents carefully before buying.
Common exclusions might include wear and tear, using the car for business without the correct cover, or failing to report modifications.
3. Cost
Insurance premiums are essentially based on how much of a risk the insurer thinks you are. When assessing how much you’ll pay, insurers will look at the following:
Your driving history: Previous claims, driving convictions, and the number of years you’ve held your licence all have an impact on the cost of your car insurance. If you have a clean driving record with a long no-claims history, your premiums could be lower than if you’ve made a claim.
Your car: The make, model, age, and engine size of your car all affect the likelihood and cost of a claim. High-performance or luxury cars typically cost more to insure, while smaller, safer, and more economical vehicles generally fall into lower-risk insurance groups.
Where you live: Your postcode plays a big role in determining your premium. If you live in a city, you’ll often pay higher premiums due to greater risks of accidents, theft, or vandalism. Living in a rural area or if you can park off-road or in a garage can sometimes help reduce your costs.
Honesty is key: It may be tempting to tweak details to lower your premium, such as underestimating your annual mileage or not disclosing previous claims, but this could lead to your insurer refusing to pay out in the event of a claim.
You shouldn’t necessarily go for the cheapest cover you can find, as it may not provide you with all the benefits you need, so always check cover limits carefully before buying. Some insurers offer fixed-price car insurance policies, where the cost won’t rise for a set period, even if you need to claim. This can be useful if you’re looking for more certainty over future renewal costs.
Saga Car Insurance is a Which? Best Buy
Saga Plus and Saga Select cover levels top the Which? Best Buy car insurance comparison table. Saga Standard is up there too, so you know whichever you choose, you’re making a great choice.
4. Policy excess
When you buy car insurance you’ll need to decide how much excess you want to pay if you need to make a claim. This is the part of any claim you must pay yourself and is comprised of two parts:
A compulsory excess is set by your provider based on your driving history, your vehicle and anyone else named on your driving policy. It can’t be changed.
A voluntary excess is any additional money you can pay on top of the compulsory excess, and you can choose the amount when you take out the policy. Generally, if you agree to pay a higher voluntary excess, your insurance premiums will be cheaper, and vice versa.
It’s usually not a good idea to select a high voluntary excess just to make your overall insurance price cheaper. You must make sure the excess you choose is an amount you could afford to pay if you had to.
5. No claim discount and loyalty rewards
Building up your NCD can be one of the most effective ways to reduce your premiums over time. Many insurers offer discounts for drivers who haven’t made a claim on their policy for several years.
As mentioned earlier, some providers offer protected NCD cover as standard. If you have built up several years of NCDs some insurers will agree to protect it even if you make a number of fault claims in a fixed period. These types of benefits can make a big difference to the cost of cover, especially for experienced drivers.
NCD protection can safeguard you from being affected by certain types of claims, for example, against vandalism, theft, fire, storm, hit when parked or if you’re hit by an uninsured driver.
Car insurance you can count on from Saga
Whether you’re buying a new car or looking to get new car insurance, Saga offers three Comprehensive cover levels, which are all Defaqto 5 Star rated. Saga Plus comes with a 2-year fixed price, if nothing changes. 99% of claims paid in 2025. Trusted by over 1 million drivers.
6. Customer service and claims support
Insurance is only as good as the support you receive when something goes wrong. That’s why it’s vital to review an insurer’s claims process before you buy.
Look for 24/7 claims support, especially if you often drive during unsociable hours or need help quickly after an incident. It’s also worth checking whether a courtesy car is included while your vehicle is being repaired. This can prove invaluable if you rely on your car day-to-day.
Online reviews and customer satisfaction scores can offer helpful insight into how an insurer performs when it matters most, so always check reviews on sites such as Trustpilot.
Choose the best
Car insurance is a legal requirement, but it also provides a valuable financial safety net. It’s essential to think carefully about the type of cover you need, the factors that are likely to affect your premiums, and the ways in which your insurer might support you in the event that you need to make a claim.
By carefully considering the factors above, you should be in a stronger position to choose a policy that works for you. Look for one that offers the right protection, fair pricing, and reliable service and support when it matters. And always check the terms and conditions before you buy.
When it comes to recommendations, all three Saga car insurance cover levels are Which? Best Buys, and Saga was named the UK’s top insurer for customer satisfaction by The Institute of Customer Service, with 99% of claims paid in 2025. Saga Car Insurance has been Defaqto Five Star rated for the past 14 years. It’s no wonder over one million drivers trust Saga.